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Recently, we heard a lot of issues about centralized exchange especially the China crackdown on some centralized exchanges like they have this law for people of China about restricted to have activities on most the centralized exchanges.
And here's the decentralized exchanges starting to make some noise, and I always heard dydx exchange, serum, uniswap, etc.

So, as traders. For you, what is/are the advantage is disadvantages of using decentralized exchange over centralized exchange these days?

users are sometimes untrusting to deposit coins or tokens but they can avoid doing this with dex since assets stays in the wallet even when trading. were all familiar with uniswap which kyc is not needed as well which is what dex users want for privacy.

even dex today are prohibiting users from China. they prompt an update changes to their TOS about citizens from China. it doesnt sound dex when they do this.

China prepared and implemented regulations to help their e-yuan gets as best launch as possible. However, the regulations can not prevent Chinese to get more exposure to cryptocurrency and use it in their lives.

When their e-yuan gets enough success, I think they will allow crypto exchanges to operate in China mainland again.

People will try to find the more convenient options and when centralized exchanges are in troubles, decentralized exchanges will be their choice.

Do you think it is a bit funny because decentralized exchanges are available since 2020 but now they are seeding and making noise again? Many coins of those decentralized exchanges already grow too much since 2020.

Well, for me decentralized is still not becomes an alternative to centralized exchanges because we have to pay more there as trading and transaction fee also cross chain transactions are not possible and also fiat. But people choose to trade on DEX when they are not ready to comply KYC.

Not all people care of KYC and their privacy. They only want to buy and sell coins. KYC is not their priority. DEX with swap feature, cross chain transactions give them multiple pairs to switch their portfolios. I think if the transaction fee for swap is not high, on chain like Solana or Near and if these ecosystems become bigger and integrated more on decentralized exchanges, people will like DEX more than CEX.

Hopefully in future the decentralized exchanges will progress and become more convenient for trading regularly but for now I am avoiding due to low trading volume and high fee on most of the time then fiat conversion is lacking there.

Privacy - I don't have to send my KYC details to some anonymous stranger who will send it to a bunch of third parties for verification from where it will likely be sold or stolen and end up on the black market, and I don't have a centralized exchange analyzing all my deposits and withdrawals and sharing all that information with blockchain analysis companies, governments, and other third parties.
Security - I don't have give up control of my coins to a centralized third party who could be hacked or could choose to scam me, freeze my account, or seize my coins at any time.
Censorship resistant - I can trade with who I want when I want without requiring a third party to give me permission first.

The first version of Bisq was released in 2014 - https://github.com/bisq-network/bisq/releases/tag/v0.1.0. Bisq has been around longer than most centralized exchanges.

You ain't wrong at all because it is yes that Chinese government is looking for ways to make sure its citizens use digital Yuan which makes them to ban crypto like bitcoin. But do you think China will ever support coins like bitcoin? I do not think they can because nothing outside of China are Chinese government supporting, just like social media that they also ban.

Centralized exchanges makes things easier but they owns the keys to your coins which is the reason we have to be very careful while using any centralized exchanges. But I noticed that centralized exchanges have ways to attract customers, many of them are not concerned about privacy, most people can not differentiate between centralized and decentralized exchanges now, many people accept centralized exchanges because they are complying with government laws but no privacy.

I think you are pertaining on DEX built on Ethereum not in general. Fee on other like BSC, SOL and Polygon are extremely cheap. The disadvantage I'm seeing on DEX is the ability to trade directly into fiat since Bank needs a KYC for AML requirements. This is the gray which DEX facing right now, At the end of the day, You will still need to find a reliable CEX to withdraw/deposit your fiat.

Apart from the benefit of KYC, I guess users will have more stable market as most CEXs are manipulating the market movement. Last night, there was a big drop of BTC to $50k for a while but it was to liquidate the future traders position. If DEXs are mostly used, there will be no party to have our fund on custodial and no one will be able to manipulate the market by our funds. Well, still, there will be whale but without the help of CEX, they will not be able to influence the market much.

For me the best and easy thing is that they didn't require KYC, I'm not talking about all of the decentralized exchanges but I personally think that most of these exchanges didn't require KYC which is quite easy and simple way of exchange, but there will be more risk of security as compared to binance, it has a strong security even though.

Some people are still unaware of the benefit of the BSC, SOL and Polygon DEX, and other products. However, I think some DEX exchanges on Best Change offer crypto to fiat service though I have used any of it before.

Having said that, the major disadvantage DEX has is a limited list of pair coins.

Agreed with you but this is what they always to do benefit themselves so they will always find a way to influence the market.

I do believe this market manipulations on reputable centralized exchange, but this what you are saying is true especially for bitcoin, but bitcoin was never gone down below $50000 yesterday, it did not even go down below $53000, but I have noticed abrupt price increase and decrease within 5 minutes while people with high leverage can easily have their money liquidated.

Market manipulation or not, people that do not leverage and buy will not be affect, the end result will be like people holding their coins on noncustodial wallet, I do not means in term of control but in term of price increase and decrease. But what I know is that no privacy while using centralized exchanges and exchange owners are in total control not the customers.

Everyone wants low fees, high liquidity, full fee access without KYC > which is perfect decentralized platform but unless cryptocurrencies blockchains can talk to each other there will be a point of failure and the platform may end up being hacked.

The definition of decentralization varies from one person to another. Some link it to KYC, and others link it to the extent to which a party can control the platform.

any way, high volumes, low fees and fast book ranking is what makes Dex perfect.

I'll always choose Dex to Cex when doing transactions. Except for security and more trade options on Cexes, there's more freedom, privacy and ease when trading on a Dex. Nobody wants to go through all the complex process before withdrawing their coin on a Cex

That is right. You can't expect all the coins that you need to trade will be found in DEX or if ever they have good liquidity.  This is why CEX has still advantage on this part. With long list of choices and if you are choosing top CEXs, you have no problem with their liquidity. Anyway, at the end of the day, just secure your own assets in your wallet. Both types of exchanges have their pros and cons, so just use them wisely. Because at some point, you both need them especially if you are active in this trading market.

I’m a trader and honestly, I trade a lot on CEX compare to DEX since the options on DEX is not enough for me to trade and some of the tokens or coins are not available on DEX but the good thing with DEX is that, they didn’t require any KYC and that’s your advantage to remain anonymous.

Well, we heard a lot of good news with DEX since then and Uniswap really making their names on this category, we can also include pancakeswap on the options. If CEX is not available in your play, DEX is the best option for you.

There is no opportunity to buy order or sell order in decentralized exchanges. Here only you can swap your crypto. Many times we hold crypto and wait for the price to rise. In that case you can make a sell order at CEX but not at DEX.

I've recently fallen in love with trading on DEXs and AMMs and the experience isn't totally different from using a centralized exchange. But my major concern has been whether or not regulators would crack down on decentralized exchanges too. I'm not so sure but there was a time I held uniswap would restrict users from certain jurisdictions. (Not sure if it's true but worth checking out).

I don't think so, I already experience one on the Solana network. They have this Decentralized Exchange (DEX) called Serum, they have a lot of user interfaces under Serum DEX, if you take a look that DEX, they got a lot of similarities on a normal centralized exchange, there you can see also trading books, you can set limit buy or sell orders too.
For me, the downside is only how fast your every trade transaction is since it is on-chain, so you will need to wait for your transaction to get confirmed.

Pls. permit me to mention few based on my lil knowledge.  ;D

Advantages
I) Transaction on DEX is quite faster than CEX, as transaction on DEX has do with one-time swap.
II) Upon finalising your swapping, your newly swapped token will go directly to your desired wallet and you won't feel the urge and stress to have it transfer to your desired non-exchange wallet again like CEX.
III) Majority of this new launched tokens prefers to go through DEX first before having it listed on CEX.

Disadvantage
I think the no. 1 and most fearful disadvantages of DEX is that DEX is still at ita infancy stage as one's wallet can easily get compromised if care is not taken.

Swaps seem a little bit more limited. Centralized ones are using the benefit turning fiat to crypto and vice versa for their power, you could use swap in between but you will always need centralized ones to put money into crypto or take it out. Which is why swaps are good and all but I doubt they would ever be as good as what centralized ones can do, which is turning fiat into crypto.

Uniswap has god knows how much volume right now and I believe that there are way too many people making way too much money from it, we are talking about tens of billions of dollars swapped daily in all swaps in all chains, so it is definitely a huge deal. However we gotta realize that it is obvious for centralized ones are 100x bigger because they can do so much more. Aside from the whole fiat/bank deal, I believe swaps are definitely much better in my opinion.

Bisq is a real decentralized exchange but its liquidity is low. Other decentralized exchanges I implied in my post (since 2020) are from DeFi projects. Their team members are publicly announced and known. A decentralized project can not be actually decentralized if owners or core members can be arrested and given pressure to shut down those exchanges.

They don't ban crypto and they won't be able to. They wanted and will want to do so but they won't be able to do it and maintain their ban for too long.

The global trend of crypto adoption will force Chinese government have to lift their ban in the future. With some sort of restrictions, as many as they can do, like what they restrict Chinese to use the Internet in China mainland with Great Firewall.

This experience made me use CEX more often than DEX, indeed what I experienced happened in the early days of DEX such as etherdelta, idex, forkdelta and others, the transactions speed is very slow compared to CEX, liquidity is still less than CEX, and currently if trading ETH Tokens on DEX must pay an unreasonable fee in my opinion. Lastly using waves dex because there are many other features such as staking and lending options, but still CEX still my main place to trades.

Not true. With a true DEX, your coins remain in your control until you trade them and are never deposited to a centralized wallet. There is no possibility of your exchange account being hacked for coins because your coins are never on the exchange. If your DEX requires you to deposit coins to a central wallet, then it's not really a DEX.

The same can be said of any exchange which runs via a centralized website, as law enforcement can simply shut down the website. Bisq is the only exchange which runs on peer to peer software, and so is completely resistant to censorship.

Trading on DEX is completely onchain which needs to go through some smart contract calling process which in my opinion is less efficient, transaction speed it depends on fee level, mempool etc. So, not guaranteed to be faster than CEX (CEX is always superior in trading speed).

The sales method followed what was mainstream at the time.
2017-2018: ICOs are trending.
2019: IEOs are trending.
2020 (mid) - now: IDOs are trending

For me in my personal opinion the advantage of decentralised exchanges is the fact that you don't need to pass KYC stuff in other platform in order to trade in different assets, wherein unlike centralised exchanges that its a must for every traders. In fact that's the reason why mostly traders, decentralised is the common choice to trade because also of sone doubts of some frauds in the internet.  I dont know if centralised exchanges is totally safe when it comes to such thing..

For me, the only disadvantage of using decentralised exchange over centralized exchange is high gas fee.. Centralized exchanges requires less gas fee than decentralised exchanges.

Decentralized exchanges are yet not fully established. They have liquidity and high fee problem. Centralized exchanges like binance have a lot of volume and currently there is very less volume in decentralized exchanges. However, with passage of time we will see decentralized exchanges will grow but it may take another three to five years.

Big holders usually more like choosing decentralized exchanges because they caring about security of their assets, there are a lot of cases that centralized exchanges experienced a hack issues and the victime usually the big assets owner. So i think if you are a big holder or a whale, using decentralized exchange is more suitable due to security reason

Centralized exchange means you need to provide your all information to exchange owner, and Decentralize exchange means not need to provide your information to others third party, it is totally secure system and also need kyc verification for maximum centralized exchange for withdrawal fund but not have any kyc requirement in decentralize exchange. So Everybody can use decentralize exchange and it the main advantage of DEX.                         

As long as the internet persists, government cannot entirely prevent its citizens from doing crypto. With strong  VPN, Chinese can access some CEX while DEX can be accessed without limitations.

DEXs such as Uniswap, dYdX, pancakeswap etc would get more volume and patronage with this most recent regulation/ban from the Chinese government.

It so happened that I use both centralized and decentralized exchanges and this is due to the fact that I also use different cryptocurrencies, take part in different crypto projects and all this makes me understand that at the moment there is no universal crypto exchange where it was possible would use any cryptocurrencies and trade them. Based on this, it is difficult to say that, for example, decentralized crypto-exchanges are better than centralized ones and vice versa. Each of the cryptocurrency exchanges has both disadvantages and advantages, and they are all different and their own. Therefore, as a trader, I always use those crypto-exchanges that are right for me to achieve my goals and these can be different crypto-exchanges.

As far as I have checked, most of the decentralized exchanges are only for smart contract based tokens and not for native blockchain based coins. It means you will never get your desired trading pair in most of the decentralized exchanges. This must be the biggest disadvantage of decentralized exchanges.

Another disadvantage of decentralized exchanges is, you might need to move your tokens twice in order to get ready for the trading. First one is, moving into your deposit address and then for trading again you need to make another transaction but in centralized exchanges just depositing will get you ready for trading.

Advantages of decentralised exchanges -
Have control on our coins as we own them, and they don't stay on exchanges
Low fees on certain Dex if use their native tokens, also get rewards in their native tokens

Disadvantages of decentralised exchanges -
Liquidity is low compared to centralised exchanges
Very limited trading pairs as not all coins are available on Dex
Sometimes transaction fails due to either less fee or nearly less slippage
Some trading pairs need high slippage which breaks down the capital and we must wait for the price to gain too much because the same slippage will be used when selling that token

One of the biggest issues I've had since I started trading on DEX is that the liquidity is usually too low and leads to high price impact which is not a good experience for me. You can't execute those big money trades and that's a huge downside and until DEXs starts getting that level of liquidity to support big money trades, CEX will still maintain its dominance.

Increasing slippage isn't a good experience too.

Here's the thing, this new projects coming up this days calming to be decentralized aren't that decentralized as they calm. You think your transaction on Binance chain aren't been moderated. They're just centralized project riding on the downside (high fees) of the Ethereum blockchain. I don't know much about Solana but if I'm not mistaken the network was paused just few months back after it got attack while that of Binance, the network is been controlled by Binance itself.

I'm pretty sure, your coins can be easily frozen on this blockchain unlike that of Bitcoin blockchain. For low (fixed) fees you won't be getting total decentralization that's just how it works. All this blockchain having fixed fee price are just centralized and been controlled.

My biggest issue with the so called decentralized exchanges is that, they aren't totally decentralized, for example, Binance Dex has restrictions on certain regions and the hacks this exchange surfer are becoming alarming.

Decentralized exchanges offer a very large list of coins that are not available on centralized exchanges. And this is the main advantage of DEX for a trader - it is an opportunity to buy a new coin at a low price until it has received a listing on CEX. Thus, the trader gets a big profit by buying on DEX and selling later on CEX.

Those are involved of what if's because not all coins would be listed out on CEX which means you would might end up on trading that particular coin on DEX for a long time but  if you do see some potential

then it isn't really bad to consider on buying it out because we've seen on how Centralized exchangers do really consider on listing a particular project basing not only on the liquidity but also into its real use  case.

It cant be denied that when it comes to wide variety then DEX could give it but when it comes to value and somewhat dealing off with fiat then theres no other way but with CEX.

Huge gamble but it may pay off. Turn a $100 "investment" in a microcap token into thousands after a month or more hehe.

The more appropriate name should probably be "non-custodial exchanges" since you can still connect your non-custodial wallet to these platforms but that's not as marketable as "DEX". It's probably too late to change that now.

Both have their advantages and disadvantages.
For me, I prefer to use centralized exchanges moreover that have a top reputation.
I know that it may be also risky moreover if related to the KYC requirement. I actually don't like this but cannot do anything because so far, using this exchange is easier, quicker, has more options, and also more trusted.

In some DEX, I only use them if the tokens that I got are only listed on those exchanges and then send the results to the cex.

Both have their own good and bad. Although one thing that people are going to like about decentralized exchanges is the fact that there is nothing like KYC compliance, you can trade as much as you want to trade without any restrictions at all and no KYC.

Unlike centralized exchanges where you will have to do KYC and go through all those stress and still face some restrictions, because they are controlled by the government. But decentralized exchanges are usually not that easy for newbies to grab, it is not as easy as Centralized exchanges, it is going to take them time to understand.

In my point Of view Decentralized Exchanges are the best to use for trading cryptocurrency.In China we saw that many Centralized exchanges are not working and there Decentralized Exchanges are being popular in recent time.Because it gives an user highest security of his funds and privacy too.
But To be true Centralized Exchanges are very easy to use and have higher liquidity in market.
So both exchanges have advantages and disadvantages.And basically both are good with their features.
We can easily know in details about Centralized and Decentralized Exchanges with full comparison from this  Article (https://articles.whalesheaven.com/centralized-vs-decentralized-exchanges-comparing-security-privacy-and-more/)

Not necessarily,,, until only recently you could still go without KYC on some CEXs like Binance and Bittrex. These are not controlled by the government either,,, but by private companies.

Some "DEXs" are also much easier to use. I remember Waves DEX from before, you could use it in blink of an eye,,, unlike Binance even now can be so hard to use with 100s of options.

CEXs and DEXs have their respective pros and cons. However, ever since I’ve started getting into cryptocurrency, I mostly trade on CEXs and a little bit on DEXs. I like the fact that CEXs does have lower fees and faster executions than DEX, but we don’t have the full custody of our coins and tokens due to the fact that they don’t offer seed phrases or private keys. Plus, KYC is mandatory in most CEXs because of complying with the country regulators.

Now a days Decentralised exchange much popular and the potential investors always choice Decentralised exchange for exchange there crypto. Coz there are no need kyc verification for trading. Here people can exchange unlimited amount without any kyc. But centralized exchange need kyc for big amount withdrawal. so, the big investors didn’t like centralized exchange. so, in my opinion i think Decentralised exchanger is better then centralized exchange

Controlled as in KYC, I am sure he didn't mean controlled by government as in exchanges. You give your KYC, then that exchange will that KYC to government or put it on a database or something just in case you are a bad person, and then government will control that. All in all swaps are good but they are not enough, CEX will always survive as long as we need to deposit fiat or withdraw fiat to our bank accounts.

Without CEX there is no way I could turn my crypto to fiat and get it in my hands, and sometimes we need that as well. Don't get me wrong, swaps are getting bigger and bigger, it is something that is amazing and I support them, but it doesn't mean that they are "enough", they are great at what they do, but they have stuff they do not provide which we need.

But that is not true. The government has no deal in this KYC business,,, you should understand that as your right.

Exchanges do KYC because financial law requires them to identify their customers and make sure that they are not law-breaking people or people the country they operate in does not recognize as unlawful.

They will report people they find to the government but the identities of their customers are not automatically given or controlled to their governments. In some places like Europe this is even illegal. Control of KYC data now is a very touchy subject and the government has no right to control or even access it without a justification.

But I agree DEX (or non custody swaps are more accurate) are really good, but I always feel like a big hack or breakdown is coming.

Decentralized exchanges are generally known to be safer than centralized exchanges also a users private keys are stored on centralized exchanges and a loss of funds can occur if the platform is attacked. It is worth noting that centralized exchanges have recorded more than 56 cyberattacks over the past decade, according to a report by the wall street journal, with decentralized exchanges users are responsible for keeping their private keys so that it is less favorable to target hackers.

Yes there is. There are multiple good DEXs which support fiat to bitcoin (and fiat to a handful of major altcoins like Monero and Ethereum) trades. Bisq and LocalCryptos are the two most popular. You can see a list of good decentralized exchanges here, which will tell you which ones support fiat trades: https://kycnot.me/

Why? A real DEX in which you never deposit your coins to a centralized wallet and which you never have to part with your KYC details are significantly safer than centralized exchanges. They cannot be hacked for your coins or your data when they don't have access to either of them in the first place.

Well,,, there was an example of Polygon network (not Polygon Matic another one) a few months back that got hacked, it was running its own dex and layer2 I was not exactly sure but in the defi space. A lot of people who locked their tokens in pools there got their money stolen, including wrapped eth and usdt IIRC.

That is the security or hack or whatever it is called I worry about. And you said a real DEX would never make this happen which is true but which DEX is real in the space now right? Uniswap is not a true DEX and definitely Pancakeswap is not. In theory they can all block or delist tokens from their exchanges, making it 0 value.

The first advantage of decentralized exchange is the same vision of bitcoin of been your own bank.  Decentralized exchange enable you to trade and participate in defi activities without putting your fund in the hand of third party.  You have control over your fund, you are your own bank.  This is the most important advantage of decentralized exchange over centralized exchange!

There's your issue. They may call themselves a DEX, but they are requiring people to deposit their coins to centralized pools or other smart contracts which have been poorly written and are filled with bugs, and the people depositing their coins either can't or don't review the code themselves. There are far too many projects out there which call themselves decentralized when they are nothing of the sort, simply as a marketing gimmick.

I would repeat what I said above: Bisq and LocalCryptos are the two best DEXs at the moment.

Centralised = Not your keys, not your coins. Thats the biggest issue. The second biggest issue is the KYC. Who knows where your info goes? Thirdly, exchanges like Binance with chinese roots are the SECOND MOST dangerous next to low volume/new exchanges. I would not trust anything coming out of China at all.

Decentralised = Your Keys, Your Coins. Full control of your wallet but if someone hacks you and finds your seed phrase/private key then probably nobody will be able to get your money back. Especially since you didn't connect it to a KYC therefore, you can't prove it's yours. Also the fees for swapping on DEXs are quite absurd. Although that will change in the near future.

Decentralized exchange fully controlled by users only, but centralized exchanges control by authorities. Kyc systems mandatory for only centralized exchanges but most of the biggest investors don't prefer to kyc . I prefer decentralized exchanges excluding uniswap. Case uniswap has a huge amounts of excessive Ethereum network fees.

The word itself would be enough for someone to distinguish the difference of the two which is clear as day that DEX isnt really controlled by someone but only yourself not like when you are dealing with centralized
platforms which the exchange itself is the ones who had the hold of your coins or totally centralized thats why some people doesnt really like that way and do stick out with dex platforms

but the biggest hassle that you could have when dealing with DEX is that you wont really have the chance on dealing with Fiat which most people been preferring when it comes to conversion.
Thats why majority of us doesnt have a choice but do deal with CEX.

At least we do have some options to take rather than on having one.

That is not fiat, that is basically stablecoin, it doesn't send it to my bank account, so it is no different to having USDT or BUSD or USDC or whatever you want to name it. The problem here is that CEX would be able to send the money into my bank account in fiat, that's still not a thing in dex, you need a bank account to send money to my bank account and if there is a bank account that could send money to me that means it is not decentralized.

Having fiat trade is not the exact thing as having fiat sent to your bank account and that was the main topic of my post, not that you can't trade fiat, because you can do it with USDT for nearly 4 years now, it is about sending fiat to bank account, that's the key point here.

I totally agree and think Bisq and Localcryptos are the closest that you can ever get to a true DEX,,, but to be fair to Uniswap and Pancakeswap, they are also non custody DEXs and their coding is mostly (to my understanding) open source anyway,,, so if the smart contracts are poor, then anyone who knows coding should be able to discover it but the fact is that Localcryptos and Bisq have probably far better devs. And we can never say for sure if they cannot be hacked, like most hacks, they lie in place for years and only until the hacker gets a good volume or a hack that is worth it does he/she trigger the theft.

I cannot review code myself and have no idea and I am sure most people are like me. So for majority of people, we cannot understand and never can make a true comparison from DEX to DEX (by name or by trait).

Yes it is.

No it isn't.

Yes it does.

It absolutely is. I've been trading on DEXs with fiat from my bank account for years now, since before most centralized exchanges like Binance even existed. Yes, there are a bunch of DEXs which aren't really exchanges at all but simply coin swapping platforms, but there are also DEXs like the two I've mentioned above which let you trade using bank transfers, bank wires, cash, money orders, and a bunch of other fiat methods. See the following links:
https://docs.bisq.network/payment-methods
https://localcryptos.com/payment-methods

It means the fiat side of the trade is centralized, as all fiat trades will be unless you trade in cash. The crypto side of the trade remains decentralized.

The main disadvantage of decentralized exchanges is, it is less liquid than most centralized exchanges. Consistent high slippage will definitely be a big problem for an active trader. It’s acceptable, if you buy cryptocurrencies once a month only for HODLing.

Decentralized and centralized exchanges,both have responsibilities to the company,but different  sector to manage,Decentralized exchanges-tranfering ,conyrolling and decisioning.Centralizeds exchange,single and individuals in one place.That's why both need to accompany.

There are a lot of differences between decentralized exchanges and centralized ones, but in my opinion the main difference is that when trading on DEX, your cryptocurrency remains in your wallet, and when trading on CEX, you transfer your money to the exchange account. And this in fact means that the exchange is the owner of your cryptocurrency and it can theoretically block your deposit.

Those loading wallet in DEX can be our personal wallet but in order to make a trade, you must need to move your coins to exchange's wallet; from this moment DEX and CEX are not have big differences. Moreover, I never use my personal addys for signing up a DEX but I do generate on DEX itself. So, just having the seed/privatekey does not mean that I am using my personal wallet.

Yeah, only low volumes do happen at most of the DEX as most trades are real in DEX unlike in CEX where bots are being incorporated to populate fake orders to show no gap in price levels and to show good volume (I am not blaming all the CEX but I had experienced such in most places I have tried to trade).

I liked the decentralized exchanges. Because decentralized exchanges are more safe and secure then the centralized exchanges. Decentralized exchanges are in our control and there is no central authority that is controlling decentralized exchanges. But centralized exchanges are in control of an owner. And anytime they can allow or block our account. That is why i prefer decentralized exchanges then centralized exchanges.

You are right. Decentralised exchange is safe and secure and there are no need kyc verification This is a very good aspect for us. personally i also like Decentralised exchange. But i used centralized exchange for use p2p trading for convert crypto with Fiat money

But sometimes, you can't avoid to use centralized exchanges because there are some alts that you can't find in DEX. So you have no option but use the centralized trading platform. Also, a lot of DEXs actually have very low liquidity, unless, you are in popular platforms like pancakeswap or uniswap. So in this case, the use of DEX or CEX depends on the trader's preferences. You can't expect every trader to go for DEX because they have other considerations to look at.

DyDx and Serum have really revolutionized decentralized exchanges and their mechanisms the earlier decentralized exchanges were not only slow but very expensive as most of them were based on the Ethereum blockchain but the news ones especially the one's coming on solana blockchain like Serum are extremely fast and cheap, even DyDx despite based on Eth blockchain has managed to keep itself cheap and offered vast variety of perpetual contracts, I think if you are not a scalper or a day trader, the decentralized exchanges are excellent for you but if you are a scalper or day trader better go with centralized exchanges only.

Decentralized exchanges have always been the future of bitcoin and the market in general, bitcoin is a decentralized currency that runs opposite to the goals of the governments of monitoring and controlling every single transaction that you make, so it is obvious they are going to use their power to go against any form of centralization that exists in the market, governments went against the mining industry and against centralized exchanges, so as long as decentralized exchanges can deliver a decent performance compared to what we see with centralized exchanges they will come to eventually dominate this market.

It's not only the pros and cons of centralized and decentralized exchange. Marketing plays a huge role too, decentralized exchanges will never be able to financially surpass the centralized ones. Average Joe doesn't care much whether he will have to upload the KYC documents or not. The argument is following: I am doing everything legally, so what I have to hide? How will they benefit via my decomunts? The average Joe doesn't find opposite answers on this questions and then he continues his registration, that's all, the truth, a brief story of the situation that happens right now.

With the way things are going, the current decentralized exchange that are trending now aren't the best example of decentralization. For example, they're the ones getting hacked recently as hackers have been able to exploit the exchanges due to finding a bug in the code and since 90% are just copy cats of each other, this hackers have been able to repeat this hacks on multiple occasions.

We're far from perfection when it comes to total decentralization but surely we'll get there someday. For now when ever you used this said exchange that ar decentralized, don't think you're totally decentralized as one way or the other there's a centralized features that is yet to be uncovered. Idex that was once the leading decentralized exchange, ended up requesting their customers to pass mandatory KYC procedure.

You are not wrong however it is possible that in the future we are going to see some push back against those policies, for example that push back is already coming in the form of bitcoin, decentralized exchanges and the people like us which are using them, however sooner or later more people will begin to wake up to the fact thy are giving all of this information to those private companies and at some point they will want to look for an alternative, and when they do, this market will be there to give them a chance to avoid those practices.

If we consider coins created on the Ethereum blockchain, the best way today is to trade them on centralized exchanges, since the commission on the DEX network completely levels your profit. At the same time, using DEX will allow an investor to buy a coin at the lowest price even before listing on CEX. In any case, today we have to use these two types of exchanges in accordance with our goals.

I understand that all the decentralized exchanges are on smart contract and not for native blockchain based coins (please correct me if I am missing anything); if it is true then what is the point of calling them as decentralized exchange whereas they should be called as dApps exchange or smart contract exchange?

A decentralized exchanging might have become possible only because of smart contracts? I do not think so. There are many other methods are available to have P2P exchange (to ensure decentralization) other than smart contract but we are having only smart contract based exchanges and comparing it with our traditional way of exchanges which is versatile to handle both native blockchain and dApps tokens.

Now we can't say which one is better but we are all have preference is decentralised so let's try to compare both,
Centralisation involves systemic and consistent reservation authority. Decentralised involves systemic dispersal of authority. Decision making is slow in cex and comparatively faster in dex. The main advantages are cds has proper coordination and leadership but in dec sharing of burden and responsibility. Decision making lies with the top management in cd cex and multiple persons have the power of decision making in dex.

But we aren't that blind on not to say or to compare between dex and cex when it comes to volume which CEX is way too far than with dex which is understandable because if you do look at then people do prefer on places which they could deal with fiat which

it isn't really that possible when you do deal with DEX which it is really understandable on this kind of situation.

Its true that whether using DEX or CEX then its a personal choice because we do have different needs and preference.

I agree. Someone chooses DEX or CEX because he/she has a reason, it should be respected. Even CEX may require KYC, doesn't mean it is totally dangerous. What we must avoid is to use untrusted CEX or DEX, the risk should be higher for using them. While for trusted (reputable) exchanges, it is not really a problem to use them even they CEX or DEX. FYI, I used both CEX dan DEX, I have no problem using them so far.

Well I have got your point and you are right.
I don't even understand why people hated KYC in using CEXs, --for me does not a problem as long as the exchange is reliable and trusted enough. I also used DEX if necessary but usually, when I was selling my token there I use DEXs. That is right, we have different preferences, like and dislike and I think no matter it is decentralized or centralized exchange as long as you are comfortable in your trading that is fine.

One reason I think is data privacy, some people don't want to send their KYC details to avoid their private infos leaked into the public. Those CEX exchanges can be hacked anytime and not only your money will be lost but also your private information. Bad actors can able to sell your stolen private datas into big companies like big social media giants are doing, or even those Cex are also selling your user data, well we don't know.

Because there is no such thing as a reliable or trusted centralized exchange.

Even the biggest and most "trusted" centralized exchanges have let their customers' KYC details fall in to the hands of third parties. Binance were hacked for thousands of users' worth of KYC details. Coinbase were actively selling customer information to third parties. It's impossible to keep track of the number of smaller exchanges which have had customer information lost, hacked, stolen, or sold. Every time you complete KYC at any exchange or service, you run the risk of your information ending up on black markets, being bought by criminals, and being used to commit financial crimes or fraud.

Most of the trader didn't want to pass the kyc and they didn't want to utilize their time by kyc, so they simple started trading in these type of exchanges which didn't want kyc, so they made easy for themselves and exchange in dex exchanges just like pancakeswap, so it needs only wallet of the trader whether trust wallet etc. I think kyc is good option.