What's your take on CEX platforms integrating DEX capabilities like swapping?

[R1dwanRz]

So, what's your take on CEX platforms integrating DEX capabilities?

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[noorman0]

It's nothing new, you can actually find a swapping feature in various CEXs, it's called "instant swap/exchange".

The implementation of swapping on CEX is actually more efficient, because they usually only charge a relatively cheap service fee and the settlement speed is only a few seconds like regular spot trading.

[libert19]

It's good, here you don't need to pay gas fees either.

[el kaka22]

There are some places that are taking whatever features that people liked with DEX, but that doesn't mean that it's actually decentralized, plus not like we really need it to be like that neither, we are fine with as it is and shouldn't really approach it any differently.

I personally believe that the best thing we could do at this moment is to make sure that CEX we use will not scam us and take all our money and leave, there has been a lot of places like that, so do not invest into some small cap exchange just because it has your favorite new meme shit token, there are a lot of people who lost millions combined just because of things like that.

Real centralized exchanges, ones like coinbase, binance and so forth are real places that people like to keep their money in, and those places are much better than any decentralized exchange you can think of, it's really making a big deal out of the situation and should be used a lot more on the long run whenever you can.

[jeraldskie11]

So, what's your take on CEX platforms integrating DEX capabilities?

In my opinion, having that feature on the CEX is not ideal because you can trade. The only advantage of having swapping feature is that you don't have to take multiple steps before you can have the crypto you desired. You can convert your token other tokes with trading so there's no point to add swapping feature in the exchange especially if you're using Binance with it's new feature "convert", you really don't have to pay for the fee.

[Hamza2424]

So, what's your take on CEX platforms integrating DEX capabilities?

The swap system is not new to the CEXs, I think that good for both parties and ultimately good for the users where both of these competitors are gonna try hard to introduce new features to attract more users. The Only issue why still people are sticking to the CEXs is inappropriate information and Network fees.

The DEX trading costs far more fees compared to the centralized trading platform. I've seen maximum users preferring their trading activities on the CEXs and risking their funds custody just to save on the fees.

OP I have some suggestions for you such types of topics are really not considered Quality contributions, You should put more effort while creating a new topic, such questions can be asked on any relevant thread by mentioning any senior.

[Husires]

We cannot say that DEX capabilities are DEX unless the code is open source and you can host the service yourself or it is a type of P2P where you can access the private key and send money to guarantee it. It is a multi-signature wallet with 3 or more keys and one of these keys is for guarantee.
What is happening is that some CEX platforms are trying to attract some customers by adding features that do not require KYC or tokens that do not need to be listed, meaning that some CEX platforms are managing a smart contract and allowing others to use it.

[GreatArkansas]

Still, if your funds are still in their custody, I don't see any Decentralized thing there because they are the one who holds your funds.
You are using a centralized cryptocurrency wallet while using a Decentralized Exchange (DEX)? Why just use your own self-custody cryptocurrency wallet?

[The Future]

So, what's your take on CEX platforms integrating DEX capabilities?

I think it's a pretty interesting development to see centralized exchanges (CEX) incorporating decentralized exchange (DEX) capabilities like swapping. This trend seems to be driven by the growing popularity of DeFi and the desire for users to have more control over their assets. It could potentially offer users the best of both worlds: the liquidity and speed of CEXs and the security and privacy of DEXs. One platform that comes to mind is BitgetSwap. It's a relatively new player in the space, and it's been gaining some attention.

[Z_MBFM]

It's nothing new, you can actually find a swapping feature in various CEXs, it's called "instant swap/exchange".

The implementation of swapping on CEX is actually more efficient, because they usually only charge a relatively cheap service fee and the settlement speed is only a few seconds like regular spot trading.

Yes CEX exchanges have now started offering Web3 facilities. a popular exchange like Binance has also launched it. there are swap facilities and you get a different wallet and also have a system to back up that wallet. so I agree with you that this is nothing new. But it will have full cex account connector and depend on it so it can't give full joy of DEX.  Cex and Dex will not be the same but two completely different things.

[yhiaali3]

What is the difference? It remains central in the end. It is true that it provides services similar to DEX, such as instant swap as well as liquidity, but they all remain central services, and this is the worst of the matter.

The big advantage that DEX offers regardless of liquidity is decentralization, so if DEX switches to centralization it will no longer have this big advantage and its use will be greatly reduced.

So I personally find no benefit from CEX platforms that integrate DEX capabilities.

[Hamza2424]

I think the idea of traditional exchanges adding features from DEXs is quite interesting. It's like combining the best of both worlds. CEXs can become more versatile and user-friendly by offering DEX-like features. IMO, this would make trading cryptocurrencies easier for everyone.

I'm not sure about it but what I know is the centralized exchanges are almost hitting their limits there's nothing they can do anymore, the reason why they're still the center of attention is due to the new entries in the industry and the only cheap option, but when it comes to the transparency & security they really cant offer better than this.

No doubt their overall user experience is far more developed compared to the DEX's but what DEX's are offering is far more superior to the centralized excnages, I'm sure in near future with the network fees solution ther'e gonna lead the way.

[TimeTeller]

What is the difference? It remains central in the end. It is true that it provides services similar to DEX, such as instant swap as well as liquidity, but they all remain central services, and this is the worst of the matter.

The big advantage that DEX offers regardless of liquidity is decentralization, so if DEX switches to centralization it will no longer have this big advantage and its use will be greatly reduced.

So I personally find no benefit from CEX platforms that integrate DEX capabilities.

You may not find this feature not favorable on your end, but I believe a lot of traders are using it.
Some traders are trusting CEXs because they can easily get support when they need it, particularly from those top trading platforms.
This integration actually is not new, it has been there for quite a while now as they need to cover all potential clients.
In my opinion, the use of this feature depends on the trader himself, whether he sees this as advantage for him or not.

[hd49728]

So, what's your take on CEX platforms integrating DEX capabilities?

They, centralized exchanges, can create their Decentralized exchanges. You can use their DEX or refuse to use their DEX but with different reasons to accept their DEX product or worry about it and don't use it.

Is it a good platform that is decentralized if it is built up by a centralized team with many members like founders, core members, compliance and marketing team members are known by governments and the public?

It is not good and if you think their DEX is actually decentralized, you have to correct your thinking. A true decentralized exchange must be built by an anonymous team to help it can not be shut down by arresting a founder or a core team member.

[rat03gopoh]

if you're using Binance with it's new feature "convert", you really don't have to pay for the fee.

Which feature are you referring to? I honestly just heard this about binance, would you mind giving me the page (without logging in if possible).
All I know is conversion feature of the dust balance to BNB, and even that requires a fee.

[hugeblack]

This step is supposed to expand the features of the new hybrid platform so that it has all the features and anyone who wants any use will find it, whether he wants to use the platform with identity verification or not.
Is this what will happen? No, in fact, it will combine the disadvantages of both platforms while trying to defraud some users by giving them the ability to trade without requesting data from them. Try to stay away from such platforms, as they often search for hot words.

[jaberwock]

Still, if your funds are still in their custody, I don't see any Decentralized thing there because they are the one who holds your funds.
You are using a centralized cryptocurrency wallet while using a Decentralized Exchange (DEX)? Why just use your own self-custody cryptocurrency wallet?

Well, what do you expect? They only adopt some of the decentralized exchange capabilities anyway, and inspite of it, they are still a centralized exchange. If we don't like our funds being hostage by a centralized exchange, we are always welcome of using a decentralized exchange. On the second thing that you said, many are like that and it's funny right?

If they truly support decentralization, then they should also use a decentralized wallet, but I guess there is this unique feature that only a centralized wallet and exchanges have and this is why they are still leading. People are willing to sacrifice their privacy and security, only to avail those.

[tjtonmoy]

Even if you have to pay a little bit of fee that doesn't mean you should compromise your privacy. Decentralized things implemented in a centralized platform doesn't make it decentralized. Instead, it's just a feature which is centralized but act the same way as decentralized platform. So if privacy is your first concern, things like decentralized exchange which is swapping / converting that are implemented in centralized exchange should not be take into consideration.

It cost a little bit more or it cost a little bit which is available free in centralized platform indicates that those centralized platform are taking advantage thus they are giving the service for free. Could also be for attracting more people. But the more people use the service the more money they make.

Something was just cheap isn't always bad and also something that cost a bit more doesn't mean it is good. But when there are hidden agendas involved, doesn't matter how cheap it is, it is better to stay away from it. Use the thing that is meant to be doing what it says even if it cost you. You are the one who keeps your assets safe. Those centralized platform aren't going to take any blame for your losses.

[DVlog]

So, what's your take on CEX platforms integrating DEX capabilities?

The only difference I see is that you don't need to pay for the gas fees for your transaction. Actually CEX has most of the capabilities a dex has and on top of that CEX provides some extra benefits like massive liquidity and excludes the necessity of transaction fees. Perhaps this is a reason why CEX is still more popular than dex even after incidents like Mr.Gox and FTX where their users lost millions of dollars worth of assets.

[Altcoiner007]

There are some places that are taking whatever features that people liked with DEX, but that doesn't mean that it's actually decentralized, plus not like we really need it to be like that neither, we are fine with as it is and shouldn't really approach it any differently.

I personally believe that the best thing we could do at this moment is to make sure that CEX we use will not scam us and take all our money and leave, there has been a lot of places like that, so do not invest into some small cap exchange just because it has your favorite new meme shit token, there are a lot of people who lost millions combined just because of things like that.

Real centralized exchanges, ones like coinbase, binance and so forth are real places that people like to keep their money in, and those places are much better than any decentralized exchange you can think of, it's really making a big deal out of the situation and should be used a lot more on the long run whenever you can.

Rightly said! Most Exchange users are comfortable keeping their funds in and using some of these existing CEX and following the recent news of Regulations and all, I think some are really trying hard to keep up to the expectation of the people in order to show their commitment to their users. I read of a particular CEX, I think Bitget in short secession making partnership with an off Exchange digital asset custody outfit, increased their user protection funds and updating their proof of reserve. They also along with Binance, coinbase and others are among the top cex that have implemented it. All these I feel are geared toward satisfying their users and making their Platform more attractive to investors. We shouldn't mind the bad elements in the space and ignore the efforts of the few commitment ones.