DEX: http://cryptoincome.io/dex-decentralized-exchange/ (Content from this URL)
There are two types of cryptocurrency exchanges in operation today, centralized exchanges and decentralized exchanges. Investors should understand the difference between them before trading.
A decentralized exchange (DEX) is a marketplace for cryptocurrencies or blockchain investments that is totally open sourced. Nobody is in control at a DEX, instead buyers and sell deal with each other on a one-on-one basis via peer-peer (P25) trading applications.
A good way to think of a DEX is as a “do-it-yourself trading solution.” You make the trades and hold the funds or instruments in your own account. The biggest advantage to this system is that your funds will be not entrusted to a trading company or other third party.
A centralized exchange operates like a brokerage house, you deposit funds in an account and the exchange makes the trades for you. The advantage to this is that the exchange does all the work, and it is often insured and regulated by authorities.
Most of the large and well-known exchanges; such as GDAX (Coinbase) and CEX.IO are centralized. A popular benefit to these exchanges is that they will take credit or debit card and bank-transfer payments. They may also pay out in fiat currencies like dollars or Euros which many users prefer.
ADVANTAGES OF A DECENTRALIZED EXCHANGE
A lot of traders like DEXs because they have some serious advantages. Strangely enough, these advantages are why a lot of traders distrust decentralized exchanges.
Top advantages of a decentralized exchange can include:
AdexNetworks.com
DexCurrency.com
Dex247.com
BTBdex.com
CoinDexchange.com
DexIndia.com
Crypto-DEX.com
There are two types of cryptocurrency exchanges in operation today, centralized exchanges and decentralized exchanges. Investors should understand the difference between them before trading.
A decentralized exchange (DEX) is a marketplace for cryptocurrencies or blockchain investments that is totally open sourced. Nobody is in control at a DEX, instead buyers and sell deal with each other on a one-on-one basis via peer-peer (P25) trading applications.
A good way to think of a DEX is as a “do-it-yourself trading solution.” You make the trades and hold the funds or instruments in your own account. The biggest advantage to this system is that your funds will be not entrusted to a trading company or other third party.
A centralized exchange operates like a brokerage house, you deposit funds in an account and the exchange makes the trades for you. The advantage to this is that the exchange does all the work, and it is often insured and regulated by authorities.
Most of the large and well-known exchanges; such as GDAX (Coinbase) and CEX.IO are centralized. A popular benefit to these exchanges is that they will take credit or debit card and bank-transfer payments. They may also pay out in fiat currencies like dollars or Euros which many users prefer.
ADVANTAGES OF A DECENTRALIZED EXCHANGE
A lot of traders like DEXs because they have some serious advantages. Strangely enough, these advantages are why a lot of traders distrust decentralized exchanges.
Top advantages of a decentralized exchange can include:
- A DEX can be more resistant to hacking than a centralized exchange because account information is not shared with the exchange operator. Instead ,funds might be kept in your account and you will be the only person with access.
- Theoretically, governments or regulators cannot shut down a DEX because it is decentralized operating through a wide variety of nodes. Note: governments might be able to disrupt or wreck a DEX via malware.
- There is no server which can go down or get hacked. Instead, a DEX operates all over the cloud through a variety of nodes.
- There is a higher degree of privacy because you are not sharing your data with the exchange operator.
- You keep control of your funds in your own account.
AdexNetworks.com
DexCurrency.com
Dex247.com
BTBdex.com
CoinDexchange.com
DexIndia.com
Crypto-DEX.com
