A Crypto Trading exchange is a digital hub where cryptocurrencies are bought, sold, and traded.
Crypto exchanges can be divided into two main categories: centralized and decentralized platforms.
Centralized exchanges (CEXs) are controlled by central authorities, providing convenience for traders.
The downside is the reliance on the exchange for fund storage, which increases exposure to hacks.
Alternatively, decentralized exchanges (DEXs) enable users to transact independently. Relying on decentralized infrastructure, DEXs reduce the risk of hacks but can be complex to navigate.
Choosing a crypto exchange requires considering various factors. Knowledge of both types assists in effective trading.
