What are digital currency exchanges?

Digital currency exchanges mainly include centralized exchanges (CEX), decentralized exchanges (DEX) and hybrid exchanges. They are respectively operated by centralized institutions to provide legal currency transactions and allow direct transactions based on blockchain. Wallet transactions, as well as providing a full range of services based on the characteristics of both parties mentioned above.

Digital Currency Exchange

What digital currency exchanges are there?

• Centralized Exchange (CEX):

  • is operated by a centralized organization and provides fiat and digital currency transactions. Serve.
  • Examples: Binance, Coinbase, Kraken

• Decentralized Exchange (DEX):

  • Based on blockchain technology, allowing users to conduct transactions directly between wallets.
  • Examples: Uniswap, PancakeSwap, SushiSwap

• Hybrid exchange:

  • Combined hub features of centralized and decentralized exchanges and provides comprehensive trading services.
  • Examples: FTX, Gemini, Crypto.com

##Features of different exchanges:

centralized exchange

• Advantages:

  User-friendly, fast transaction speed
  • provided Fiat currency transactions
  • are usually more secure

• Disadvantages:

  Require users to trust the exchange
  • The handling fee may be higher

Decentralized exchange

• Advantages:

  Non-custodial, users retain full control over their assets
  • Low transaction fees
  • Strong anonymity

• Disadvantages:

  Poor user experience
  • Slow transaction speed
  • Liquidity may be low Low

Mixed Exchange

• ## Advantages:
  Provides the convenience of a centralized exchange and the security of a decentralized exchange
  • High liquidity and fast transaction speed
• Disadvantages:
  The handling fee may be higher than that of decentralized exchanges
  • Security still depends on the exchange itself

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