#CEXvsDEX101

Centralized Exchanges (CEX) like Binance or Coinbase are run by companies that manage user accounts, custody assets, and offer fast, user-friendly trading. They often require KYC and provide high liquidity but involve trust in a central authority. Decentralized Exchanges (DEX) like Uniswap or PancakeSwap run on blockchain, allowing peer-to-peer trading via smart contracts. Users retain full control of their funds and trade anonymously, but may face higher fees, lower liquidity, and complex interfaces. CEXs are ideal for beginners and convenience, while DEXs appeal to users valuing privacy and self-custody. Choosing between them depends on your priorities: control vs. convenience, or decentralization vs. security.