Pakatete
2 Following
33 Followers
31 Liked
4 Shared
Posts
See original
1. Trading Fees
Fees charged when you buy/sell crypto assets on an exchange.
Maker Fee: When you create an order that does not immediately match (e.g., limit order). Usually cheaper.
Taker Fee: When you take liquidity from the order book (e.g., market order). Usually more expensive.
> 💡 Example: Binance charges a 0.1% fee for maker/taker, which can be cheaper if you pay with BNB.
---
2. Network Fees / Gas Fees
Fees paid to the blockchain network to process transactions.
Example of network fees:
Blockchain Average Fee Caused By
Ethereum High (can be tens of $) Contract complexity & network congestion
Bitcoin Medium Transaction size & network traffic
Solana Low (cents < $0.01) Blockchain design efficiency
Polygon Low Layer 2 of Ethereum
> 🛠️ These fees are paid in the native coin of the respective network (ETH, BTC, SOL, etc.).
---
3. Withdrawal Fees
Fees charged by the exchange when you send crypto to a personal wallet.
Can be flat or network-based.
Example: Binance may charge 0.0005 BTC for Bitcoin withdrawal.
> ⚠️ Fees can vary greatly depending on the chosen network (e.g., USDT on ERC-20 vs TRC-20 vs BEP-20).
---
4. Swap Fees
When you swap tokens on a Decentralized Exchange (DEX) like Uniswap or PancakeSwap.
There is a fee for liquidity providers (usually 0.3%)
Plus network gas fee
> 🔄 Swapping on cheap networks (like Arbitrum, Polygon) can save costs.
---
5. Staking Fees
If you stake on third-party platforms (like Lido or exchanges), they may take a cut from your rewards.
Example: Lido takes ~10% from your ETH rewards.
---
6. Hidden Fees
Slippage: The difference between the order price and the execution price.
Price Markup: On some swap platforms, the token price may be marked up behind the scenes.
Spread: The difference between the buy and sell price on exchanges (especially on smaller exchanges).
#CryptoFees101
Fees charged when you buy/sell crypto assets on an exchange.
Maker Fee: When you create an order that does not immediately match (e.g., limit order). Usually cheaper.
Taker Fee: When you take liquidity from the order book (e.g., market order). Usually more expensive.
> 💡 Example: Binance charges a 0.1% fee for maker/taker, which can be cheaper if you pay with BNB.
---
2. Network Fees / Gas Fees
Fees paid to the blockchain network to process transactions.
Example of network fees:
Blockchain Average Fee Caused By
Ethereum High (can be tens of $) Contract complexity & network congestion
Bitcoin Medium Transaction size & network traffic
Solana Low (cents < $0.01) Blockchain design efficiency
Polygon Low Layer 2 of Ethereum
> 🛠️ These fees are paid in the native coin of the respective network (ETH, BTC, SOL, etc.).
---
3. Withdrawal Fees
Fees charged by the exchange when you send crypto to a personal wallet.
Can be flat or network-based.
Example: Binance may charge 0.0005 BTC for Bitcoin withdrawal.
> ⚠️ Fees can vary greatly depending on the chosen network (e.g., USDT on ERC-20 vs TRC-20 vs BEP-20).
---
4. Swap Fees
When you swap tokens on a Decentralized Exchange (DEX) like Uniswap or PancakeSwap.
There is a fee for liquidity providers (usually 0.3%)
Plus network gas fee
> 🔄 Swapping on cheap networks (like Arbitrum, Polygon) can save costs.
---
5. Staking Fees
If you stake on third-party platforms (like Lido or exchanges), they may take a cut from your rewards.
Example: Lido takes ~10% from your ETH rewards.
---
6. Hidden Fees
Slippage: The difference between the order price and the execution price.
Price Markup: On some swap platforms, the token price may be marked up behind the scenes.
Spread: The difference between the buy and sell price on exchanges (especially on smaller exchanges).
#CryptoFees101
See original
1. Understand the Difference between Exchange and Wallet
Exchange (e.g., Binance, Coinbase, Tokocrypto) is used for buying and selling assets, but it is not the safest place for long-term storage.
Wallet (crypto wallet) is a safer place to store assets, especially if you control the private key.
> 🔑 Main principle: "Not your keys, not your coins"
---
2. Types of Wallets & Their Security
Type of Wallet Security Description
Hot Wallet Medium Connected to the internet. Easy to use but vulnerable to hacks. Example: MetaMask, Trust Wallet.
Cold Wallet High Offline. Safe from online attacks. Example: Ledger, Trezor.
Paper Wallet High Private key printed on paper. Safe but easy to lose or damage.
Custodial Wallet Low-Medium Controlled by a third party. You do not have the private key.
---
3. Private Key vs Seed Phrase
Private Key: Direct access to one wallet.
Seed Phrase (12/24 words): Master key to access all wallets created from that phrase.
> ⚠️ Never share your seed phrase or private key with anyone!
---
4. Protect Your Account & Wallet
Use strong and unique passwords for each crypto account.
Enable 2FA (Two-Factor Authentication) on all exchanges and wallets.
Never store your seed phrase or private key in the cloud (Google Drive, iCloud, etc.).
Keep a backup of your seed phrase in a secure physical location (e.g., safe).
---
5. Be Wary of Phishing and Scams
Always check the website URL before logging in. Many fake sites mimic exchange sites.
Do not click on suspicious links from emails, Telegram, or Twitter DMs.
Beware of fake airdrops, scam bots, and unverified DeFi projects.
---
6. Pay Attention to Smart Contracts
Do not carelessly connect your wallet to dApps/websites with unclear reputations.
Use tools like DeBank or Revoke.cash to check and revoke permissions from unknown smart contracts.
#CryptoSecurity101
Exchange (e.g., Binance, Coinbase, Tokocrypto) is used for buying and selling assets, but it is not the safest place for long-term storage.
Wallet (crypto wallet) is a safer place to store assets, especially if you control the private key.
> 🔑 Main principle: "Not your keys, not your coins"
---
2. Types of Wallets & Their Security
Type of Wallet Security Description
Hot Wallet Medium Connected to the internet. Easy to use but vulnerable to hacks. Example: MetaMask, Trust Wallet.
Cold Wallet High Offline. Safe from online attacks. Example: Ledger, Trezor.
Paper Wallet High Private key printed on paper. Safe but easy to lose or damage.
Custodial Wallet Low-Medium Controlled by a third party. You do not have the private key.
---
3. Private Key vs Seed Phrase
Private Key: Direct access to one wallet.
Seed Phrase (12/24 words): Master key to access all wallets created from that phrase.
> ⚠️ Never share your seed phrase or private key with anyone!
---
4. Protect Your Account & Wallet
Use strong and unique passwords for each crypto account.
Enable 2FA (Two-Factor Authentication) on all exchanges and wallets.
Never store your seed phrase or private key in the cloud (Google Drive, iCloud, etc.).
Keep a backup of your seed phrase in a secure physical location (e.g., safe).
---
5. Be Wary of Phishing and Scams
Always check the website URL before logging in. Many fake sites mimic exchange sites.
Do not click on suspicious links from emails, Telegram, or Twitter DMs.
Beware of fake airdrops, scam bots, and unverified DeFi projects.
---
6. Pay Attention to Smart Contracts
Do not carelessly connect your wallet to dApps/websites with unclear reputations.
Use tools like DeBank or Revoke.cash to check and revoke permissions from unknown smart contracts.
#CryptoSecurity101
See original
🔄 What Is a Trading Pair?
A trading pair is a combination of two assets that can be traded against each other on an exchange platform.
Most common examples:
> BTC/USDT → you are trading Bitcoin against USDT (Tether).
Meaning:
If you buy this pair, you are exchanging USDT for BTC.
If you sell this pair, you are exchanging BTC for USDT.
---
🧠 Basic Concepts: Base & Quote
Component Explanation
Base Currency The first asset in the pair (example: BTC)
Quote Currency The second asset (example: USDT) → as a measure of value
BTC/USDT = 68,000 → means 1 BTC is worth 68,000 USDT.
---
💡 Types of Trading Pairs
1. Crypto-to-Stable (Crypto/USDT, Crypto/BUSD)
Most common & popular (for example: BTC/USDT, ETH/USDC)
Suitable for beginners as it is easier to calculate its value in USD
Usually more liquid & low spread
2. Crypto-to-Crypto (ETH/BTC, SOL/ETH, AVAX/BNB)
For advanced traders
Used to swap between assets without needing to go into stablecoins
Important if you want to "counter" the performance of other assets (for example: outperform BTC)
3. Fiat-to-Crypto (BTC/IDR, ETH/USD, BTC/EUR)
Directly buy crypto with official currency (IDR, USD, etc.)
Usually available on local exchanges (Tokocrypto, Pintu, Rekeningku)
A trading pair is a combination of two assets that can be traded against each other on an exchange platform.
Most common examples:
> BTC/USDT → you are trading Bitcoin against USDT (Tether).
Meaning:
If you buy this pair, you are exchanging USDT for BTC.
If you sell this pair, you are exchanging BTC for USDT.
---
🧠 Basic Concepts: Base & Quote
Component Explanation
Base Currency The first asset in the pair (example: BTC)
Quote Currency The second asset (example: USDT) → as a measure of value
BTC/USDT = 68,000 → means 1 BTC is worth 68,000 USDT.
---
💡 Types of Trading Pairs
1. Crypto-to-Stable (Crypto/USDT, Crypto/BUSD)
Most common & popular (for example: BTC/USDT, ETH/USDC)
Suitable for beginners as it is easier to calculate its value in USD
Usually more liquid & low spread
2. Crypto-to-Crypto (ETH/BTC, SOL/ETH, AVAX/BNB)
For advanced traders
Used to swap between assets without needing to go into stablecoins
Important if you want to "counter" the performance of other assets (for example: outperform BTC)
3. Fiat-to-Crypto (BTC/IDR, ETH/USD, BTC/EUR)
Directly buy crypto with official currency (IDR, USD, etc.)
Usually available on local exchanges (Tokocrypto, Pintu, Rekeningku)
See original
What Are Crypto Charts
A crypto chart is a visualization of the price movements of a crypto asset such as Bitcoin or Ethereum over time. Charts help traders analyze trends, determine entry/exit points, and understand market psychology.
---
🧱 1. Commonly Used Chart Types
Chart Type Description
Line Chart A single line connecting the closing prices of each period. Simple.
Bar Chart Displays the opening, highest, lowest, and closing prices (OHLC).
Candlestick Chart 🕯️ A visual version of the bar chart, most popular in crypto trading.
---
🕯 2. How to Read Candlesticks
Each candlestick shows price movement over a certain time period (e.g., 1 minute, 1 hour, 1 day).
Body: between the opening (open) and closing (close) prices
Green (bullish): close > open
Red (bearish): close < open
Wick (shadow): upper and lower lines show the highest and lowest prices
The size of the candle indicates the strength of the movement
Example:
If a BTC 1H candle is large and green → it means buyers dominated the last hour.
---
📈 3. Price Trends (Trend)
Uptrend: prices make higher highs and higher lows
Downtrend: prices make lower highs and lower lows
Sideways / Consolidation: prices move within a narrow range (support & resistance)
Use trendlines or moving averages to identify trends.
---
🛠 4. Important Tools & Indicators
Indicator Function
Moving Average (MA) Shows the direction of the overall trend
RSI (Relative Strength Index) Assesses whether an asset is overbought (>70) or oversold (<30)
MACD Measures momentum & potential trend reversals
Volume Indicates the strength of price movement (high volume = strong confirmation)
#CryptoCharts101
A crypto chart is a visualization of the price movements of a crypto asset such as Bitcoin or Ethereum over time. Charts help traders analyze trends, determine entry/exit points, and understand market psychology.
---
🧱 1. Commonly Used Chart Types
Chart Type Description
Line Chart A single line connecting the closing prices of each period. Simple.
Bar Chart Displays the opening, highest, lowest, and closing prices (OHLC).
Candlestick Chart 🕯️ A visual version of the bar chart, most popular in crypto trading.
---
🕯 2. How to Read Candlesticks
Each candlestick shows price movement over a certain time period (e.g., 1 minute, 1 hour, 1 day).
Body: between the opening (open) and closing (close) prices
Green (bullish): close > open
Red (bearish): close < open
Wick (shadow): upper and lower lines show the highest and lowest prices
The size of the candle indicates the strength of the movement
Example:
If a BTC 1H candle is large and green → it means buyers dominated the last hour.
---
📈 3. Price Trends (Trend)
Uptrend: prices make higher highs and higher lows
Downtrend: prices make lower highs and lower lows
Sideways / Consolidation: prices move within a narrow range (support & resistance)
Use trendlines or moving averages to identify trends.
---
🛠 4. Important Tools & Indicators
Indicator Function
Moving Average (MA) Shows the direction of the overall trend
RSI (Relative Strength Index) Assesses whether an asset is overbought (>70) or oversold (<30)
MACD Measures momentum & potential trend reversals
Volume Indicates the strength of price movement (high volume = strong confirmation)
#CryptoCharts101
See original
🤖 What is a Stablecoin?
A stablecoin is a cryptocurrency whose value is pegged to stable assets like USD, EUR, or gold.
The goal is to provide price stability amidst the volatility of the crypto market.
---
🧠 Why are Big Tech Companies Interested in Stablecoins?
Big tech companies want to:
🔁 Control the payment system within their ecosystem
💳 Facilitate cross-border digital transactions
💼 Enter the financial sector without becoming a bank
---
🏢 Examples of Stablecoins from Big Tech
1. Libra → Diem (Facebook / Meta)
🌍 Initial initiative: Libra (2019)
🎯 Vision: A global stablecoin supported by a basket of assets
🔄 Rebranded to Diem, focusing on USD
❌ Canceled in 2022 due to regulatory pressure
#Libra #Diem #MetaCrypto
---
2. Amazon Coin? (Speculative)
🔍 Not official yet, but often rumored
Amazon has an internal credit system in several services
Potential internal stablecoin for global e-commerce
#AmazonCoin #Speculation
---
3. PayPal USD (PYUSD)
✅ Officially launched August 2023
USD-backed stablecoin issued by Paxos
Used for payments, remittances, and transfers within PayPal/Venmo
🔒 Fully backed by USD & short-term treasuries
🧾 Also available on several CEX (like Crypto.com, Kraken)
#PYUSD #PayPalCrypto
---
4. Apple & Google
❌ No official stablecoin yet, but:
Apple Pay & Google Pay have already integrated digital payment infrastructure
Potential to become stablecoin platforms in the future
#AppleCrypto #GoogleCrypto #FintechFuture
---
🔐 Challenges for Big Tech Stablecoins
⚖️ High regulatory pressure (especially from the US & EU)
🏛️ Concerns about replacing the role of central banks
🔍 Privacy issues & user data dominance
💥 Risk of financial monopoly in a closed ecosystem
---
🔮 Future: Stablecoin + Big Tech = Fintech 2.0?
The combination of technology, a large user base, and global infrastructure makes stablecoins from Big Tech highly influential on a macro scale.
But strict oversight is needed to prevent disruption to the traditional financial system.
#BigTechStablecoin
A stablecoin is a cryptocurrency whose value is pegged to stable assets like USD, EUR, or gold.
The goal is to provide price stability amidst the volatility of the crypto market.
---
🧠 Why are Big Tech Companies Interested in Stablecoins?
Big tech companies want to:
🔁 Control the payment system within their ecosystem
💳 Facilitate cross-border digital transactions
💼 Enter the financial sector without becoming a bank
---
🏢 Examples of Stablecoins from Big Tech
1. Libra → Diem (Facebook / Meta)
🌍 Initial initiative: Libra (2019)
🎯 Vision: A global stablecoin supported by a basket of assets
🔄 Rebranded to Diem, focusing on USD
❌ Canceled in 2022 due to regulatory pressure
#Libra #Diem #MetaCrypto
---
2. Amazon Coin? (Speculative)
🔍 Not official yet, but often rumored
Amazon has an internal credit system in several services
Potential internal stablecoin for global e-commerce
#AmazonCoin #Speculation
---
3. PayPal USD (PYUSD)
✅ Officially launched August 2023
USD-backed stablecoin issued by Paxos
Used for payments, remittances, and transfers within PayPal/Venmo
🔒 Fully backed by USD & short-term treasuries
🧾 Also available on several CEX (like Crypto.com, Kraken)
#PYUSD #PayPalCrypto
---
4. Apple & Google
❌ No official stablecoin yet, but:
Apple Pay & Google Pay have already integrated digital payment infrastructure
Potential to become stablecoin platforms in the future
#AppleCrypto #GoogleCrypto #FintechFuture
---
🔐 Challenges for Big Tech Stablecoins
⚖️ High regulatory pressure (especially from the US & EU)
🏛️ Concerns about replacing the role of central banks
🔍 Privacy issues & user data dominance
💥 Risk of financial monopoly in a closed ecosystem
---
🔮 Future: Stablecoin + Big Tech = Fintech 2.0?
The combination of technology, a large user base, and global infrastructure makes stablecoins from Big Tech highly influential on a macro scale.
But strict oversight is needed to prevent disruption to the traditional financial system.
#BigTechStablecoin
See original
🔍 What is Liquidity?
Liquidity = How easily and quickly you can buy/sell an asset without moving the price too far.
📌 The higher the liquidity, the easier it is to trade at a fair price.
📌 The lower the liquidity, the greater the slippage and volatility.
---
🧪 Simple Example
Liquid market: You buy 1 BTC, the price hardly changes.
Illiquid market: You buy 1 BTC, the price suddenly rises dramatically because the order book is thin.
---
📊 Characteristics of Liquid Assets/Pairs:
✅ High transaction volume
✅ Many buyers & sellers
✅ Small spread (the difference between buying and selling price)
✅ Thick order book
Example:
BTC/USDT → Very liquid
Small altcoins / new tokens → Tend to be illiquid
---
🧱 Types of Liquidity:
1. Market Liquidity
How actively the asset is traded in the market.
Affected by volume, spread, and trader activity.
2. Exchange Liquidity
How large the asset reserves held by the exchange are to meet user orders.
---
⚠️ Risks of Illiquid Assets
📉 High slippage: Buying/selling prices become suboptimal
⏳ Orders are hard to execute
🎢 Prices can be easily moved by large traders (whales)
💀 Vulnerable to market manipulation & rug pulls
---
🧠 Tips to Avoid Illiquid Assets:
✔️ Always check the 24-hour volume
✔️ Look at the bid-ask spread
✔️ Avoid FOMO on new tokens without volume
✔️ Use CEX/DEX with a high reputation
#Liquidity101
Liquidity = How easily and quickly you can buy/sell an asset without moving the price too far.
📌 The higher the liquidity, the easier it is to trade at a fair price.
📌 The lower the liquidity, the greater the slippage and volatility.
---
🧪 Simple Example
Liquid market: You buy 1 BTC, the price hardly changes.
Illiquid market: You buy 1 BTC, the price suddenly rises dramatically because the order book is thin.
---
📊 Characteristics of Liquid Assets/Pairs:
✅ High transaction volume
✅ Many buyers & sellers
✅ Small spread (the difference between buying and selling price)
✅ Thick order book
Example:
BTC/USDT → Very liquid
Small altcoins / new tokens → Tend to be illiquid
---
🧱 Types of Liquidity:
1. Market Liquidity
How actively the asset is traded in the market.
Affected by volume, spread, and trader activity.
2. Exchange Liquidity
How large the asset reserves held by the exchange are to meet user orders.
---
⚠️ Risks of Illiquid Assets
📉 High slippage: Buying/selling prices become suboptimal
⏳ Orders are hard to execute
🎢 Prices can be easily moved by large traders (whales)
💀 Vulnerable to market manipulation & rug pulls
---
🧠 Tips to Avoid Illiquid Assets:
✔️ Always check the 24-hour volume
✔️ Look at the bid-ask spread
✔️ Avoid FOMO on new tokens without volume
✔️ Use CEX/DEX with a high reputation
#Liquidity101
See original
✅ 1. Market Order
Description: Buy or sell directly at the current market price.
⏱️ Execution: Instant
⚠️ Risk: Can be affected by slippage (price jump)
🧠 Suitable for: Traders who want to quickly enter/exit positions
📌 Example: Click "Buy BTC" → executed immediately at the best available price.
#MarketOrder #InstantTrade
---
🧭 2. Limit Order
Description: Buy/sell at a specific price that you set.
Will only execute if the price hits that point.
🎯 High precision
⏳ Can wait a long time
🧠 Suitable for: Patient entry, buy low/sell high strategy
📌 Example: Want to buy BTC at $30K → Place a limit buy at $30K
#LimitOrder #PrecisionTrading
---
🚨 3. Stop-Limit Order
Description: A combination of trigger (stop) and limit.
When the price hits the "stop", it will trigger an order at the "limit" price.
🛡️ Suitable for: Locking in profits or limiting losses
💡 Must set 2 prices: Stop & Limit
📌 Example: BTC now $35K → Place stop-limit sell:
Stop: $33K
Limit: $32.8K → Sell BTC if the price drops to $33K
#StopLimitOrder #RiskManagement
---
🧨 4. Stop-Market Order
Description: When the price hits a certain point (stop), the order is executed immediately at the market price.
⛑️ Suitable for: Quick stop-loss
⚡️ Faster than stop-limit, but can experience slippage
📌 Example: BTC now $35K → Place stop-market sell at $33K → When the price drops to $33K, sold immediately at market price
#OrderTypes101
Description: Buy or sell directly at the current market price.
⏱️ Execution: Instant
⚠️ Risk: Can be affected by slippage (price jump)
🧠 Suitable for: Traders who want to quickly enter/exit positions
📌 Example: Click "Buy BTC" → executed immediately at the best available price.
#MarketOrder #InstantTrade
---
🧭 2. Limit Order
Description: Buy/sell at a specific price that you set.
Will only execute if the price hits that point.
🎯 High precision
⏳ Can wait a long time
🧠 Suitable for: Patient entry, buy low/sell high strategy
📌 Example: Want to buy BTC at $30K → Place a limit buy at $30K
#LimitOrder #PrecisionTrading
---
🚨 3. Stop-Limit Order
Description: A combination of trigger (stop) and limit.
When the price hits the "stop", it will trigger an order at the "limit" price.
🛡️ Suitable for: Locking in profits or limiting losses
💡 Must set 2 prices: Stop & Limit
📌 Example: BTC now $35K → Place stop-limit sell:
Stop: $33K
Limit: $32.8K → Sell BTC if the price drops to $33K
#StopLimitOrder #RiskManagement
---
🧨 4. Stop-Market Order
Description: When the price hits a certain point (stop), the order is executed immediately at the market price.
⛑️ Suitable for: Quick stop-loss
⚡️ Faster than stop-limit, but can experience slippage
📌 Example: BTC now $35K → Place stop-market sell at $33K → When the price drops to $33K, sold immediately at market price
#OrderTypes101
See original
Here is a brief, clear explanation of the comparison between Centralized Exchange (CEX) vs Decentralized Exchange (DEX) in a concise format,
⚖️ CEX vs DEX: What’s the Difference?
🏢 CEX (Centralized Exchange)
📌 Examples: Binance, Coinbase, Bybit
Platforms are managed by centralized companies.
You need to register & verify KYC (Know Your Customer).
✅ Advantages:
Fast & high liquidity
Beginner-friendly UI/UX
Complete features: spot, futures, staking, etc.
Customer support available
❌ Disadvantages:
You do not hold the private key
Risk of being blocked or account frozen
Vulnerable to hacking if the system is attacked
🧠 Suitable for:
Beginners and active traders
Want complete features & convenience
🌐 DEX (Decentralized Exchange)
📌 Examples: Uniswap, PancakeSwap, dYdX
No central authority. All transactions are directly through smart contracts.
✅ Advantages:
Non-custodial → you hold the private key
No KYC
More private & permissionless
Faster access to new tokens
❌ Disadvantages:
UI/UX can be confusing for beginners
Gas fees can be high (especially on Ethereum)
Vulnerable to slippage and low liquidity on small tokens
No customer support
🧠 Suitable for:
Users wanting full control over funds
DeFi traders & new token hunters
DEX DeFiTrading CryptoFreedom
🧾 Brief Comparison
FeatureCEXDEXKYCYesNoCustodyHeld by exchangeYou hold it yourselfSpeedFastDepends on the networkFeeUsually cheaperDepends on gas feeSecurityDepends on the platformDepends on the wallet & smart contractAccess to new tokensSometimes lateUsually earlier
If you want this explanation to be made into an infographic or PDF, just let me know. Or if you want to know how to use CEX and DEX step-by-step, I can help with that too!
#CEXvsDEX101
⚖️ CEX vs DEX: What’s the Difference?
🏢 CEX (Centralized Exchange)
📌 Examples: Binance, Coinbase, Bybit
Platforms are managed by centralized companies.
You need to register & verify KYC (Know Your Customer).
✅ Advantages:
Fast & high liquidity
Beginner-friendly UI/UX
Complete features: spot, futures, staking, etc.
Customer support available
❌ Disadvantages:
You do not hold the private key
Risk of being blocked or account frozen
Vulnerable to hacking if the system is attacked
🧠 Suitable for:
Beginners and active traders
Want complete features & convenience
🌐 DEX (Decentralized Exchange)
📌 Examples: Uniswap, PancakeSwap, dYdX
No central authority. All transactions are directly through smart contracts.
✅ Advantages:
Non-custodial → you hold the private key
No KYC
More private & permissionless
Faster access to new tokens
❌ Disadvantages:
UI/UX can be confusing for beginners
Gas fees can be high (especially on Ethereum)
Vulnerable to slippage and low liquidity on small tokens
No customer support
🧠 Suitable for:
Users wanting full control over funds
DeFi traders & new token hunters
DEX DeFiTrading CryptoFreedom
🧾 Brief Comparison
FeatureCEXDEXKYCYesNoCustodyHeld by exchangeYou hold it yourselfSpeedFastDepends on the networkFeeUsually cheaperDepends on gas feeSecurityDepends on the platformDepends on the wallet & smart contractAccess to new tokensSometimes lateUsually earlier
If you want this explanation to be made into an infographic or PDF, just let me know. Or if you want to know how to use CEX and DEX step-by-step, I can help with that too!
#CEXvsDEX101
See original
🔰 1. Spot Trading
Buy & sell crypto directly. You truly own the asset after purchase.
🟢 Suitable for beginners
📌 Example: Buy BTC at $30K, sell when it rises to $35K
💸 Low fees
⚙️ Order: Limit / Market / Stop-limit / OCO
⚡️ 2. Margin Trading
Use leverage (borrowed funds) to increase your position.
⚠️ Higher risk due to potential liquidation
📌 Example: Capital $100 → Leverage 5x → Position $500
🧠 Suitable for intermediate traders
📉 3. Futures Trading
Trading contracts (not direct assets), can go long (up) or short (down).
📈 Leverage up to 125x
💣 High risk, quick profit or loss
📌 Type: USDT-M / COIN-M
⚠️ Must understand liquidation & funding fee
🔄 4. Convert
Instantly exchange crypto assets, without looking at the order book.
👌 Suitable for super beginners
📌 Example: Convert BNB to ETH with 1 click
⚠️ Spread may be larger than spot
🤖 5. Strategy / Copy Trading
Auto-trading using bots or following pro trader strategies
📌 Type: Grid, DCA, or Copy Trading
🛏️ Suitable for passive income
⚠️ There are still risks, make sure to understand the strategy
🤝 6. P2P Trading
Buy/sell crypto directly to other users using local banks/e-wallets
📌 Example: Buy USDT using BCA transfer
✅ 0% fee for users
🛡️ Use Binance escrow for security
#TradingTypes101
#TradingTypes101
Buy & sell crypto directly. You truly own the asset after purchase.
🟢 Suitable for beginners
📌 Example: Buy BTC at $30K, sell when it rises to $35K
💸 Low fees
⚙️ Order: Limit / Market / Stop-limit / OCO
⚡️ 2. Margin Trading
Use leverage (borrowed funds) to increase your position.
⚠️ Higher risk due to potential liquidation
📌 Example: Capital $100 → Leverage 5x → Position $500
🧠 Suitable for intermediate traders
📉 3. Futures Trading
Trading contracts (not direct assets), can go long (up) or short (down).
📈 Leverage up to 125x
💣 High risk, quick profit or loss
📌 Type: USDT-M / COIN-M
⚠️ Must understand liquidation & funding fee
🔄 4. Convert
Instantly exchange crypto assets, without looking at the order book.
👌 Suitable for super beginners
📌 Example: Convert BNB to ETH with 1 click
⚠️ Spread may be larger than spot
🤖 5. Strategy / Copy Trading
Auto-trading using bots or following pro trader strategies
📌 Type: Grid, DCA, or Copy Trading
🛏️ Suitable for passive income
⚠️ There are still risks, make sure to understand the strategy
🤝 6. P2P Trading
Buy/sell crypto directly to other users using local banks/e-wallets
📌 Example: Buy USDT using BCA transfer
✅ 0% fee for users
🛡️ Use Binance escrow for security
#TradingTypes101
#TradingTypes101
Login to explore more contents