#CEXvsDEX101 Centralized vs Decentralized Exchanges

🏛️ CEX (Centralized Exchange)

Examples: Binance, Coinbase, Kraken

Custody: The platform holds your assets

Ease of Use: User-friendly, faster trades

Liquidity: Typically higher

KYC/AML: Usually required

Risks: Hacking, frozen accounts, custodial control

🧱 DEX (Decentralized Exchange)

Examples: Uniswap, PancakeSwap, dYdX

Custody: You control your keys

Permissionless: No account needed

Liquidity: Depends on user-supplied pools

Transparency: All on-chain

Risks: Smart contract bugs, slippage, lower support

TL;DR:

CEX = convenience & support

DEX = control & decentralization

Choose based on your risk profile and goals. #CryptoBasics #KnowYourExchange