#CEXvsDEX101 CEXvsDEX101
๐ CEX vs DEX: June 2025 Market Snapshot
๐ Market Share & Trading Volume
Decentralized Exchanges (DEXs): In May 2025, DEXs achieved a record-breaking 25% share of the global cryptocurrency spot trading volume, totaling over $410 billion. This surge indicates a growing trust in decentralized platforms and a shift away from centralized exchanges.
Centralized Exchanges (CEXs): While CEXs continue to dominate in terms of overall volume and liquidity, they have faced challenges, including regulatory scrutiny and security concerns, leading some users to explore decentralized alternatives.
๐ Key Differences Between CEXs and DEXs
Feature Centralized Exchanges (CEXs) Decentralized Exchanges (DEXs)
Custody Platform-controlled User-controlled
Regulation Subject to regulatory oversight Generally unregulated
Security Higher risk of hacks Smart contract vulnerabilities
Liquidity Typically higher Can be lower
User Experience More user-friendly May require technical knowledge
Privacy Requires KYC Typically anonymous
Source: Polkadot Blog
๐ก Recent Developments
BNB Chain's Dominance: BNB Chain has emerged as a leader in the DEX space, recording over $178 billion in monthly trading volume and capturing 40% of the market share.
Shift in Trading Preferences: The crypto community is increasingly favoring DEXs for their transparency and user control, especially in the wake of regulatory actions against major CEXs.
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๐ Token Performance Snapshot
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๐ง Conclusion
The landscape of cryptocurrency exchanges is evolving rapidly. While CEXs offer convenience and higher liquidity, DEXs provide greater control and privacy. The recent surge in DEX usage underscores a significant shift in user preferences, emphasizing the importance of understanding both platforms' advantages and limitations.