Study Notes | Centralized and Decentralized Exchanges
① Centralized exchanges (CEXs) hold users’ assets, and trades are matched on the platform’s internal order book—not every transaction is recorded on-chain.
② Many DEXs don’t have an order book. Instead, they use liquidity pools and automated market-making algorithms to set prices, such as Uniswap on Ethereum.
③ Tokens with low trading volume on DEXs usually have significant price impact. Before swapping, check the estimated amount you’ll receive.
$BNB 739.52（+0.5%）
This is not trading advice.
① Centralized exchanges (CEXs) hold users’ assets, and trades are matched on the platform’s internal order book—not every transaction is recorded on-chain.
② Many DEXs don’t have an order book. Instead, they use liquidity pools and automated market-making algorithms to set prices, such as Uniswap on Ethereum.
③ Tokens with low trading volume on DEXs usually have significant price impact. Before swapping, check the estimated amount you’ll receive.
$BNB 739.52（+0.5%）
This is not trading advice.