#CEXvsDEX101

Centralized Exchanges (CEXs) like Binance or Coinbase are run by companies that manage user accounts, custody funds, and offer fast, user-friendly trading. However, they require KYC and control your assets. Decentralized Exchanges (DEXs) like Uniswap or PancakeSwap run on smart contracts, letting users trade directly from their wallets without intermediaries or KYC. DEXs offer more privacy and control, but may have slower transactions, higher gas fees, and lower liquidity. CEXs are ideal for beginners; DEXs appeal to those valuing decentralization. Each has pros and cons—choose based on your goals, experience, and risk tolerance.