Centralised exchange getting better than Decentralised exchange?

[devil-soul]

Obviously the CEXs offer more guarantees and more security, peace of mind but they have only one major flaw they require KYC so they are not anonymous which is why wr must always opt for the DEXs

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[Best-mary]

Centralized exchanges are needed for trading, decentralized exchanges are needed for swap, where you use your wallet. It's safe and fast, but expensive. Centralized services are prone to scam and hot wallet attacks, decentralized exchanges are prone to vulnerabilities in smart contracts and rug pull scams in liquidity pools. I can't say any platform is better than the other as they both have their advantages and disadvantages. There is no perfect solution.

Actually, I think exchanges are venturing into swapping. Like the one I use Bitget has a swap for different tokens and also has a cold wallet. I don't really know much about other centralised exchange because I haven't researched deeply to know if other exchange supports it as well.

[Best-mary]

For me centralized was better than decentralized at all times and never got below and if you look at the numbers that would support the idea as well. I think it should be noted that we are doing something that would be a lot better for the long term without a doubt.

The difference between the volume is staggering and has always been like that and never changed, it was like that during the bull run and it is like that during bear, it is always centralized that is used more. That alone should provide enough proof that people prefer that but if that's not enough then we could look at the hacked stuff, sure centralized places got hacked before there is no doubt about that but they are owned by people so you either get your money or they go to jail, so there is a response to it, whereas if it is a decentralized place with a malfunctioning code, they are going to get hacked too and there is nothing to be done. In both cases your money is gone, but at least in one of them people go to jail for it.

You've said it all. This is just the truth and is because is decentralised, any slightest hack couldn't be traced compared to centralised

[JeffBrad12]

Centralized exchanges are needed for trading, decentralized exchanges are needed for swap, where you use your wallet. It's safe and fast, but expensive. Centralized services are prone to scam and hot wallet attacks, decentralized exchanges are prone to vulnerabilities in smart contracts and rug pull scams in liquidity pools. I can't say any platform is better than the other as they both have their advantages and disadvantages. There is no perfect solution.

Actually, I think exchanges are venturing into swapping. Like the one I use Bitget has a swap for different tokens and also has a cold wallet. I don't really know much about other centralised exchange because I haven't researched deeply to know if other exchange supports it as well.

most of the exchange also offer swapping like you said like mexc and kucoin literally has a way to convert instantly without the need to make orders.
but of course they will take fee and even sending money to the exchange itself is already charging you fee so basically its the same thing.
the different as mentioned is that using cex, if one is trading their assets frequently, they could save a ton, if only ethereum blockchain or any blockchain thats popular like bitcoin are cheaper i think dex could become popular
but right now, people prefer to save money from fee, since its not some small amounts either.
i guess both would still thrive though for upcoming decades.

[AmoreJaz]

Obviously the CEXs offer more guarantees and more security, peace of mind but they have only one major flaw they require KYC so they are not anonymous which is why wr must always opt for the DEXs

this now depends on the need of the trader. some coins can't be found in DEX. so it is not always that you need to choose DEX. also, a lot of traders are going to CEXs because of the p2p trading feature and other financial services. i believe the demand is high on this aspect as users need their fiat currency when it comes to everyday living. and they are offering wide range of local currencies, just look at binance. and you are pretty sure that you won't get rekt by p2p scammers.

[Best-mary]

Centralized exchanges are needed for trading, decentralized exchanges are needed for swap, where you use your wallet. It's safe and fast, but expensive. Centralized services are prone to scam and hot wallet attacks, decentralized exchanges are prone to vulnerabilities in smart contracts and rug pull scams in liquidity pools. I can't say any platform is better than the other as they both have their advantages and disadvantages. There is no perfect solution.

Actually, I think exchanges are venturing into swapping. Like the one I use Bitget has a swap for different tokens and also has a cold wallet. I don't really know much about other centralised exchange because I haven't researched deeply to know if other exchange supports it as well.

most of the exchange also offer swapping like you said like mexc and kucoin literally has a way to convert instantly without the need to make orders.
but of course they will take fee and even sending money to the exchange itself is already charging you fee so basically its the same thing.
the different as mentioned is that using cex, if one is trading their assets frequently, they could save a ton, if only ethereum blockchain or any blockchain thats popular like bitcoin are cheaper i think dex could become popular
but right now, people prefer to save money from fee, since its not some small amounts either.
I guess both would still thrive though for upcoming decades.

Yes, I think every cex differs in how they charge their fee. I haven't used the swapping yet but those who have said is quite easy to navigate especially when a token is about getting listed. Most times, it gets to be there first before the listing. I don't know if Kucoin does that too

[Blitzboy]

The argument between CEX and DEX is more complicated than many people make it out to be after reading your in-depth explanation. For example, Binance has been able to keep its image even though it has had some problems. Why? Strong security steps and trust from users. On the other hand, what happened with Bitget should be taken as a warning. Ripples arent always caused by the system; sometimes they're caused by people.

When it comes to DEX, you're fully right. Decentralisation is good, but it doesnt make problems go away. This is about getting these details right and not letting big ideas cloud your judgement. When private wallets are brought up, they add another layer to the conversation. Can we ever make security that cant be broken? Most likely not. But the chase? Thats what matters. What we do, what we decide, and how aware we are are what you've called the fulcrum. Whether its CEX, DEX, or private wallets, the board is very big, and we need to be careful with our moves. There are no black or whites in the crypto world; instead, there is a range of greys that needs to be carefully navigated.

[asriloni]

Obviously the CEXs offer more guarantees and more security, peace of mind but they have only one major flaw they require KYC so they are not anonymous which is why wr must always opt for the DEXs

KYC was not a serious problem these days, cex needs you to comply with it to make sure you were not being involved into the criminal activities. In fact, cex is giving more guarantee to the its users rather than dex.
Look at so much money gone caused by dex got hacked easily. There's no true decentralized dex. All of these self proclaimed themselves as decentralized exchaneg site totally bullshit.

There's no real dex here. These dex are still being controlled and monitored by the developers. Cex is performing better since some cex was able reimbursing their users even though this cex got hacked.
Dex is obviously bullshit.

[livingfree]

For CEX:

Security is reliable if you choose the right exchange.

If there's one thing that I've learned from all of the exchanges, it is that none of them are safe. What I mean by that? It's always that all of them are being targeted by attackers and that means to say that even if they've got a reliable security but once they lack update and the attackers see a backdoor, that reliability is gone. We've seen it many times in the past from these known centralized exchanges.

You're less susceptible to phishing scams, especially when using a secure wallet.

Centralized exchanges have the same type of wallets and that's their own wallets. And in fact, they're one of the most targeted websites when it's about phishing links.

Because many users aren't securing themselves and don't know how to do that.

[justdimin]

From time to time, as per my cryptocurrency experience, I am using both CEX and DEX platforms in trading and/or converting my digital assets to USDT which am using for P2P in Binance. I would say, however, that am more into CEX than DEX and this is all because of my full trust in Binance. As of now, both CEX and DEX are doing good business so this is just a matter of choice and convenience. Now, am expecting that years from now, DEX can be able to improve more on security as no one would love to be dealing with risks of hacking anytime.

You are carrying a signature which seems to be an exchange review site. Are you an owner of it? Maybe yes, because you said you are using both CEX and DEX from time to time. It's important so that you can review an exchange better and give an idea if what are their advantages and disadvantages.

DEX are not new so maybe a lot of them have now improved their security especially after we heard in the past that there are lots of hackings that occurred on them. It won't stop there obviously because hackers are also not stopping anytime soon. I don't own a platform like yours but I already tried both types of exchanges, and my remarks are also the same as yours.

[danherbias07]

But still, you cannot keep your assets under their control for a long time. I think I have said this many times, use the exchange as it is defined. An exchange. Centralized or decentralized it doesn't matter. That is not your wallet so you better not keep it there. I think decentralized is better though since you are still under control with your own assets but in centralized, take it as not your coin anymore because you sent it to them which means you lose the rights on it.
I think the forum members here had explained it too much already in different threads and I think the fall of different popular exchanges is already a big proof that we should not keep our coins in their services. There's no assurance and insurance when we make them our wallet, if they declare bankruptcy, expect you will not be paid back or it will take a year or more before you can get all your funds back. But that also means you need to prove it's yours which is not an easy part of the deal.

[Webetcoins]

Centralized exchanges are needed for trading, decentralized exchanges are needed for swap, where you use your wallet. It's safe and fast, but expensive. Centralized services are prone to scam and hot wallet attacks, decentralized exchanges are prone to vulnerabilities in smart contracts and rug pull scams in liquidity pools. I can't say any platform is better than the other as they both have their advantages and disadvantages. There is no perfect solution.

Actually, I think exchanges are venturing into swapping. Like the one I use Bitget has a swap for different tokens and also has a cold wallet. I don't really know much about other centralised exchange because I haven't researched deeply to know if other exchange supports it as well.

Existing centralized exchanges are trying their best to provide all the cryptocurrency-related services in one place, they offer trading opportunities, all sorts of trading including spot, futures, options, copy-trading, P2P, and every other type that one might look for. Now they even offer NFT marketplaces, binance does, but I'm not sure about others, and as you said, they also offer swap or convert options so that their users don't go somewhere else for that service.

They're basically trying to cover everything they can, and they're already preferred by day traders for their trading activities because of the options and advantages they provide such as paying no trading fee for using certain stablecoins or making trades as a maker, and many other things that decentralized exchanges don't offer.

[so98nn]

I am not sure if you have seen the strict regulations going up for the centralized exchanges or not but that is one of the biggest issues in using them. Let us keep the KYC thing aside for a minute. If you still think CEX is full proof running and has more security features then start reading what happened to one of the biggest exchanges in the world. You can start with the example of the same exchange that you wrote to explain how they are better. Binance already winded up their business from the USA long ago due to strict regulations that were employed on them and they failed to fulfill it OR they just did not think they needed to do it. If such a huge exchanger can fail to survive in one of the developed countries then anything can happen. Such an exchange would be the last destination I wanna be with when I have my funds locked up there. Now on the other hand if it is DEX then obviously government has the least control over them and one easily has access from any region thus giving more security to fund access. This is a tricky discussion, the more you learn about one and the other, its gonna pile up with doubts. Just use the one that best fits you.

[Mate2237]

Any exchange platform that asks KYC is no longer decentralized exchange again but Centralized exchange. It is decentralized because you don't have to provide your identity again. Then coming to which is better while and you said. All have their strong and weak point. As for me I will like to use decentralized exchange because it gives user the autonomy and anonymity.  And only things that is make me to run from them is because of the transaction fees and their price. Their price are not encouraging me to patronizing them.

While Centralized exchange are also good and you said. Binance has been my favorite and Remitano. All the exchanges I have used in the cryptocurrency ecosystem worldwide Binance is the best. Their price is attractive, and they also have free transaction fee. Then Remitano is the second to the list. And for the DEX I have not used any because they not attractive.

[Makus]

My answer won't be any different from the others, the centralized and decentralized exchanges has both their merit and demerits, and the choice of using them is based on what you intend to do. For short term holding a decentralized exchange is always recommended so as to keep security and watch over your coins and asset's private keys. While centralized exchange on the other hand is know for its lighting transactions features but, it shouldn't be used for long term holding due to trust issues. I find it more easy to make deposits into a centralized exchange than that of a decentralized exchange, and with all my observations I see the both of them very useful with their different features.

[Mate2237]

For long term holding a decentralized exchange is always recommended so as to keep security and watch over your coins and asset's private keys. While centralized exchange on the other hand is know for its lighting transactions features but, it shouldn't be used for long term holding due to trust issues. I find it more easy to make deposits into a centralized exchange than that of a decentralized exchange, and with all my observations I see the both of them very useful with their different features.

Anything hodling is not good for exchange but for wallet. Using non custodial wallet to hodle and invest in bitcoin is the best. But if you want to invest in short term then you can use decentralized exchange to do that and withdraw the coins once the set date expired. But if it for a long term but brother it is better you us real wallet. Anything exchange is for buying and selling of coins and you move them to your real wall but you want to sell within a short period of time then you are free to keep there  but as for the CEX, you don't have to keep it and you buy, you send it out and as you send it to it, you sell it.

We have to remember this general slogan, "not you key, not you coins". And this statement is referring to exchange and mostly to CEX.

[abel1337]

Both centralized and decentralized exchange has it's pros and cons, up to this date, even the top tier centralized and decentralized exchange haven't managed to merge the features that both type of exchange has. It has to be a thing or features that separates them from each other. Maybe in the future, the debate on what is a better type of exchange will end by having a product that caters both. At the end of the day it will still be our choice on what type of advantage and disadvantage should we take.

[oktana]

For CEX:

Security is reliable if you choose the right exchange.

Transaction fees are reasonable.

It's user-friendly for trading.

You're less susceptible to phishing scams, especially when using a secure wallet.

Various earning opportunities are available.

Let's consider two exchanges I'm familiar with as examples:

For Binance: Despite suffering a massive $570 million hack, Binance remains one of the largest exchanges and not just that, they still keep their standards high.
You can find more details in this link: https://www.investopedia.com/binance-got-hacked-6748215

I’ll cut you here. First, Idk why you mentioned security under CEX especially considering the fact that you’re comparing with DEX. I also don’t know what these centralized exchanges have done to earn people trust so much that someone (well, a newbie) once told me that Binance is safer than Trust wallet. Lol. Let’s not forget what CEX means. No matter how tight their security is, it’s still centralized, and that is no different or safer than the bank.

Also, we’re talking about finance, a hack is a hack and for centralized exchanges, it can happen even if you played your part well. Experienced traders will always warn to not leave your funds in an exchange but only the amount you need to trade at that specific moment.

Unlike CEX, with DEX, you can always disconnect your wallet and be the only owner once again.

Summarily, I’m not saying that CEX is terrible but I see CEX like the local market where you should only go there with your money when you just want to buy or sell.

[Bushdark]

Both centralized and decentralized exchange has it's pros and cons, up to this date, even the top tier centralized and decentralized exchange haven't managed to merge the features that both type of exchange has. It has to be a thing or features that separates them from each other. Maybe in the future, the debate on what is a better type of exchange will end by having a product that caters both. At the end of the day it will still be our choice on what type of advantage and disadvantage should we take.

The both are prone to hack or to be compromised but one thing we have ti understand between the two is because decentralized is actually safe and prevent breach of data because it does not require KYC. KYC is one thing that makes many persons to see a centralized exchange to be a government influenced exchange because the government have full control of user data and can ask for data from the company just to carry out user tracking. We can't find such in a decentralized exchanges because they don't care who we are or what we are got.

[kentrolla]

It completely depends on our preferences as some of us especially newbies don't bother much about the account security as they only focus on aspects like user interface, trading volume and some advanced features like bot trading, grid trading, and margin/futures trading and only centralized exchange can provide these features but t the same time there are tenured and more sensible users who prefer decentralized exchange but this comes at the cost of limited liquidity (volume), not great user interface and minimal support compared to centralized exchange but with DEX one don't have to worry about the risk of the account being frozen, also it can be used at any part of the world as CEX has its own geo-restriction and they have total control over your funds as they have access to private keys and we have seen so many exchanges going bankrupt or owner running away with funds but DEX eliminates all these risks.

I prefer a hybrid model wherein I need the security and anonymity of DEX with user interface, advanced features, and liquidity but there isn't any such exchange available in the market so I prefer CEX only for daily trades and not hodl.