#CEXvsDEX101

The Difference Between Centralized and Decentralized Exchanges

If you are trading in cryptocurrencies, you must know the difference between:

🏛️ Centralized Exchanges (CEX - Centralized Exchanges)

✅ Examples: Binance, Coinbase, Kraken

🔐 Management: Managed by a company or central entity

🧾 Registration: Requires identity verification (KYC)

⚡ Speed and Liquidity: Very high

🛡️ Security: Often offers strong security systems, but is vulnerable to hacking

🌐 Decentralized Exchanges (DEX - Decentralized Exchanges)

✅ Examples: Uniswap, PancakeSwap, dYdX

🔐 Management: No intermediaries, relies on smart contracts

🧾 Registration: No need for KYC – Direct trading from your wallet

⚡ Speed and Liquidity: Generally lower than CEX

🛡️ Control: You always own your funds, reducing platform risks

🤔 Which is better?

Want ease and speed? → CEX

Looking for privacy and full control? → DEX

🎯 The smart one knows how to use both according to their needs!