#CEXvsDEX101
Let's compare CEX (Centralized Exchange) and DEX (Decentralized Exchange):
*CEX:*
- Operated by a central authority
- Users deposit funds, and the exchange manages transactions
- Typically offers higher liquidity and faster transactions
- Examples: Binance, Coinbase
*DEX:*
- Operates on a blockchain, allowing peer-to-peer transactions
- Users retain control of their funds
- Often prioritizes security and decentralization
- Examples: Uniswap, PancakeSwap
Key differences:
- *Control*: CEX manages user funds, while DEX users have full control.
- *Security*: DEX is generally more secure due to decentralization.
- *Liquidity*: CEX often has higher liquidity.
Which aspect of CEX vs DEX would you like to explore further?
