Centralized exchanges (CEX) and decentralized exchanges (DEX) are two types of platforms used to trade cryptocurrency. CEXs like Binance or Coinbase are controlled by companies that manage the trading process. They are usually easier to use, faster, and have more people trading, which means better prices. But they hold your crypto during trades, so you don’t fully control your coins, and there’s a risk if the exchange is hacked or shut down. DEXs like Uniswap or PancakeSwap let people trade directly without a company in the middle. This means you control your coins and your privacy is better, but these platforms can be harder to use, slower, and have fewer trading options.
