#CEXvsDEX101 Centralized exchanges (CEXs), such as Binance and Coinbase, are operated by companies that facilitate crypto trading by acting as intermediaries. They provide high liquidity, fast transaction speeds, and user-friendly platforms, but they require identity verification (KYC) and trust in the exchange’s security.
On the other hand, decentralized exchanges (DEXs) like Uniswap and PancakeSwap use smart contracts to enable peer-to-peer trading without intermediaries. DEXs offer greater privacy and user control but may face challenges like lower liquidity, slower transactions, and higher fees during network congestion.
CEXs are generally more accessible for beginners, while DEXs appeal to users who prioritize anonymity and decentralization. Both types of exchanges are essential to the crypto ecosystem, serving different user preferences and risk profiles.
#TradingTypes101 When it comes to trading, there’s no universal strategy that works for everyone. Traders typically tailor their approach based on their personality, risk tolerance, and financial objectives. Here are two of the most common styles:
1. Day Trading – Involves buying and selling securities within the same trading day. This method demands quick decision-making and continuous attention to market movements.
2. Swing Trading – Focuses on holding positions for several days or weeks, aiming to profit from short- to medium-term price trends.