#CEXvsDEX101
CEX vs DEX 101 is a simple way to introduce the basic knowledge (level 101 – introductory) about the differences between two types of cryptocurrency exchanges: CEX (Centralized Exchange) and DEX (Decentralized Exchange). Below is a clear and easy-to-understand explanation:
🏛️ CEX (Centralized Exchange) – Centralized Exchange
✔️ What is it?
It is an exchange operated by a central organization (for example: Binance, Coinbase, Kraken). Users must create an account and usually undergo KYC (identity verification).
📌 Features:
Fast transactions, high liquidity.
Customer support available.
Suitable for beginners.
Users do not have direct control over their assets (must deposit funds into the exchange's wallet).
⚠️ Disadvantages:
Can be attacked or go bankrupt (for example: FTX).
Dependent on third parties.