Compliance exchange or decentralized exchange, which one do you prefer?

[Kemarit]

For the record though, one DEX has problems recently, Hacker Exploits Flaw in Decentralized Bitcoin Exchange Bisq to Steal $250K.

Of course as personal preference, all we have is a decentralised exchange not those exchanges that require a mandatory KYC and funds are not save. So if you are going to get yourself involved in trading, you need to weight the pros and cons. @sheenshane laid out it out for us to see, so it is really up to us which one do you like best. You can try it yourself though, used bought services and see which one you are comfortable with.

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[Wexnident]

I prefer DEX cause even if it was just an additional reward, the anonymity it provides is just up my wants. But, there is an issue with scams and losing money can be quite painful especially if you pretty much worked your ass for it. This is why even though I prefer DEX, I mostly use CEX every time I trade. It's not like I want to, but I don't have much choice. It's just an issue of probability tbh. Using DEX's provides scammers a lot more chances to scam me, whereas CEX's most often than not have quite a secure system for trading. KYC may be a pain in the ass, but comparing that to me losing my money, well, you could guess which is better right?

[coinfinger]

Just because an exchange is a DEX one doesn't mean that it will never have problems, of course some DEX will face with some issues like this, that is why DEX is not really all that much well into by the public as well, they are acting like they are the improved version of the exchanges whereas they are just shifting the blame on the client side instead of server side and that's it.

Surely we the crypto people love decentralized anything, as long as it is decentralized we will take a look into it, but as you can see the DEX we have are not really high end and they need some improvement, whereas compliance exchanges are all making millions of dollars combined so they are improving a lot faster and a lot better. I can give my freedom very rarely but if the difference is so huge, it just makes sense to use compliance ones.

[ReiMomo]

I will choose exchange site that most traders used. Because it has always had a large volume of coins and pairs to trade.
No matter it is DEX or CEX it always good to trade if it has a large volume, your will easily trade and get more profit to it.
One thing that traders always remember, don't leave your crypto sleep on crypto exchange wallet. Because once you did not control the private key, it means the coins you stored is not yours.

[Quidat]

For the record though, one DEX has problems recently, Hacker Exploits Flaw in Decentralized Bitcoin Exchange Bisq to Steal $250K.

Of course as personal preference, all we have is a decentralised exchange not those exchanges that require a mandatory KYC and funds are not save. So if you are going to get yourself involved in trading, you need to weight the pros and cons. @sheenshane laid out it out for us to see, so it is really up to us which one do you like best. You can try it yourself though, used bought services and see which one you are comfortable with.

In most cases then centralized exchange is commonly being used because of its features specially you can either cash in or buy crypto with fiat and same goes if you
do try to make withdrawals or conversions from crypto with fiat which isnt possible if we do make use of decentralized exchangers thats why we can really see the
difference when it comes to volume and if we do count or compare how many dex now compared to centralized ones then we can tell which do have higher demand.

[TimeTeller]

I will choose exchange site that most traders used. Because it has always had a large volume of coins and pairs to trade.
No matter it is DEX or CEX it always good to trade if it has a large volume, your will easily trade and get more profit to it.
One thing that traders always remember, don't leave your crypto sleep on crypto exchange wallet. Because once you did not control the private key, it means the coins you stored is not yours.

Good volume also means you can get in and out easily.
If you can trade your coins fast and smooth, the chance of withdrawing your coins from the exchange is also fast.
Keeping your coins longer in an exchange, will put your coins vulnerable to potential attacks.
So yes, once you are finished with your trading, withdraw and send it to your secured wallets.

[Ridwan Fauzi]

Honestly I never try to use decentralized exchange so I can't give an assessment against it. I may have to use my time to find more about decentralized exchange and use them as a refference.

I just have a comfortable feeling to use compliance exchange so far, so I never look decentralized exchange as my basic needs (I admit that is wrong behavior). I use binance and my local exchange to trade because both of exchange is freindly used.

I have never face any problem so far, just doing it simultaneously in my whole trade and saving my asset. I have my own principle, as long as the exchange is trusted by many people I have no worry to give my personal identity.

[eaLiTy]

There are more and more centralized exchanges, but less and less trust. Which one do you prefer between regulated compliance exchanges and decentralized exchanges?

I would like to trade in a decentralized exchange but the problem we see is that the liquidity is not that great, if we have a good volume in decentralized exchanges then i am sure everyone would shift to those exchanges. When it comes to security i am yet to see a really good decentralized exchange rather than building that on top of ETH blockchain and i do not see those as completely decentralized.

[spike420211]

It all depends on your goals. I can assume that you are a beginner once asking similar questions.
First of all, I advise you to contact YouTube and watch the training videos for each exchange you are interested in.
Try to choose the exchange among those who advised you above, some rating systems do not display the best exchanges at the top of their lists.

[Coin919pro]

For me decentralised exchanges have always worked and honestly I do not see the need to go for compliance exchanges since the risks are so much higher - at least in my opinion anyway. I just dislike the idea of sharing my account details, outsourcing has not really been my thing since I'm more wary of scams and I'd rather keep my investments as safe as I can.

This is a very cautious strategy, I think the digital currency will live longer than the exchange

[traderethereum]

It all depends on your goals. I can assume that you are a beginner once asking similar questions.
First of all, I advise you to contact YouTube and watch the training videos for each exchange you are interested in.
Try to choose the exchange among those who advised you above, some rating systems do not display the best exchanges at the top of their lists.

Or he can try to trade on both centralized exchange and decentralized exchange to find out more. I am sure that after he tries, he will know which one that he can choose to trade because he will get the experience while he trade, and he will found the right exchange for him. If he only watches a video from Youtube without trying to figure out, he will not get the experience, and he will not feel the difference between the exchanges.

[RealMalatesta]

You might be right about exchanges not really being too secure but do not forget that everything has a chance to be hacked no matter what you use. Dex exchanges have been known to get hacked as well and even tho it didn't really withdrew people's money, it was used to pump and dump so basically it was stolen but in a more indirect way.

Even your own computer could be hacked if people know you store it there, so there is nothing that you can do to stay away from the hacks and security issues, as long as it is digital there is a way to hack it. Which is why compliance exchanges are still far better because you are giving them the power but also held them responsible for them as well, they are taking the risks involved in return of their profits in a way.

[Oilacris]

You might be right about exchanges not really being too secure but do not forget that everything has a chance to be hacked no matter what you use. Dex exchanges have been known to get hacked as well and even tho it didn't really withdrew people's money, it was used to pump and dump so basically it was stolen but in a more indirect way.

Even your own computer could be hacked if people know you store it there, so there is nothing that you can do to stay away from the hacks and security issues, as long as it is digital there is a way to hack it. Which is why compliance exchanges are still far better because you are giving them the power but also held them responsible for them as well, they are taking the risks involved in return of their profits in a way.

Okay lets put up some example in related to that.

https://www.ibtimes.com/bisq-hack-250k-worth-crypto-stolen-users-2955689
https://www.coindesk.com/hacker-exploits-flaw-in-decentralized-exchange-bisq-to-steal-250k

I didnt really expect for Bisq to have that kind of issue yet i do trust this dex ever since. Nothing is indeed safe!

[nelson4lov]

As much as I'd like to be on the side of decentralized exchanges, I can't deny the fact that current Dex(s) have performed far below expectations. If it's not their lack of liquidity and volume, it's the ease of use of their platforms. Let's admit it, setting a decentralized exchange account isn't noob friendly. A lot can go wrong in the process. Also current implementations are all glue to one blockchain or another. They lack cross chain integrations.

[Coin919pro]

There are more and more centralized exchanges, but less and less trust. Which one do you prefer between regulated compliance exchanges and decentralized exchanges?

There are several threads already about the comparison or on the talks between centralized and decentralized exchanges.

https://bitcointalk.org/index.php?topic=5104208.0
https://bitcointalk.org/index.php?topic=5165454.0
On topic, the main difference between the two excluding the privacy thing is that centralized exchanges do have fiat pairs
and thats the main reason why anyone do end up on using cex and we can actually see the difference when it comes to volume or liquidity.

Yes, this topic has been discussed in detail already. Also, most of the time the liquidity of the token or coin in dex is very low to non existent when it is compared to cex.  So it really depends on the coin or token that you want to trade with. You need to evaluate the situation before sending your coins to any of them. But if you do prefer to use a centralized one, I think one safe exchange to use is BNB right now. They have lower btc withdrawal fee also as compared to other popular ones. And no need to undergo KYC if you are only dealing with 2btc and below. But in case you can't find the trading pair on them, just look for a reputable exchange and don't forget to withdraw your money once your trading is finished. This action should be observed at all times when you are in exchanges to avoid possible loss of your money.

Isn't digital currency born for decentralization? Why should we trust an unregulated exchange?

[FanEagle]

Well, the reason why you should trust could change, you do not even have to trust the unregulated exchanges (not like dex is regulated neither) but the reason why people use it is not because they trust them, they use it because they have to and have nowhere else they can trade.

I love all of these people who love to defend Dex but when you look at the volume of many coins in those DEX they are almost zero, if you love it so much go start trading there every day all day and find other people who will too and we will join you guys later on when there is actually enough volume and liquidity to trade there. Why would I give up a trading place that I have been using for years with zero problems and amazing volume and liquidity, just to go to a place because it promises to be better?

[Coin919pro]

There are more and more centralized exchanges, but less and less trust. Which one do you prefer between regulated compliance exchanges and decentralized exchanges?

If binance is a complaint exchange then I go for it. I’m trading with my hard earned money and I have to put it on a greater exchange so I can at least have a confident that my money is safe and I trade well on that. If there’s no trust on an exchange then its better to leave on that one and look for a trusted exchange.

It ’s just that when there is no law, no one knows which exchange is trustworthy

[TheUltraElite]

Good volume also means you can get in and out easily.

Not necessarily. You may have a good volume but the price you are looking for may not have reached. So you would not buy/sell at that price would you?

If you can trade your coins fast and smooth, the chance of withdrawing your coins from the exchange is also fast.

This does not differ with DEX or CEX. With time even CEXs use zero confirmation deposit and adjust withdraw amounts to pool enough fee for a fast transaction.

Keeping your coins longer in an exchange, will put your coins vulnerable to potential attacks.So yes, once you are finished with your trading, withdraw and send it to your secured wallets.

But that is true for both types of exchanges. And if you have not yet completed your trade, you will have to leave orders open for longer periods of time. Or risk losing out when trying deposit during a pump and the price goes sideways in the meantime. Of course it seems like a stalemate here with the trader having to take a lot of risk. But it is what it is.