đ§ CEX vs DEX 101: Whatâs the Difference?
Whether you're a crypto newbie or seasoned trader, understanding the difference between Centralized Exchanges (CEX) and Decentralized Exchanges (DEX) is essential. Here's a simple breakdown:
đ CEX (Centralized Exchange):
Custodial: Platform holds your funds
User-friendly interfaces & high liquidity
Faster transactions
KYC required
âĄïž Examples: Binance, Coinbase
đ DEX (Decentralized Exchange):
Non-custodial: You control your keys
Peer-to-peer trading via smart contracts
More privacy, but lower liquidity
No KYC (in most cases)
âĄïž Examples: Uniswap, PancakeSwap
𧩠Choose CEX for convenience. Go DEX for control.
Both have strengths â your strategy should match your goals.