#CEXvsDEX101
Hello! Let's clarify the difference between centralized (CEX) and decentralized (DEX) cryptocurrency exchanges.
Centralized Exchanges (CEX):
1. Management - Managed by a central authority or company.
2. Security - Can be targets for hackers due to centralized storage of funds.
3. Liquidity - Usually have high liquidity and large trading volumes.
4. Regulation - Most often subject to regulatory authorities.
5. Convenience - Easy to use, especially for beginners.
Decentralized Exchanges (DEX):
1. Management - Operate on the basis of blockchain and smart contracts, without a central authority.
2. Security - Funds are stored in users' wallets, reducing the risk of hacking.
3. Liquidity - May be lower than on CEX, but is constantly increasing.
4. Regulation - Usually not subject to traditional regulatory authorities.
5. Convenience - Can be more complex to use, requiring management of one's own wallet.
I hope this helps you better understand the differences between them!