CEX or DEX: Which One Rewards You More?

[johnsaributua]

For someone who often uses crypto, of course between cex and dex is a complement, I realise that any hype coin comes from phase 1/early. There are 2 oppositions between the 2 market segments, between slippage (dex exchange fees are higher even though it is decentralised without identity) while kyc for cex by not being charged network fees every time you exchange with other assets. The main point is that dex has a lot of good quality and long-standing reputation in each chain. One thing I like is that dex has more opportunities to list new projects and can buy wisely according to each person's fundamental analysis, because there are also devs who do not inject liquidity for the continuity of trading and let non-officials . As for cex I prefer to trade from the profit from dex then send it. or I used to monitor new listings also in some cex if I still keep the coins I have from the beginning. I think the market for crypto is getting better every year because more and more dex and cex are popping up, but I still choose with the best visitors and ratings that have been tested.

[Iamcrypticguy]

If we are to go by votes, people make use of the centralized exchanges more often than the decentralized ones, in which i believe that one of the reasons why they have seen this as being affordable to use was because of their lower transaction fees, but since many are not more engaged with the use of a decentralized exchange, we can wait to see how this government clampdown is going to help in driving traders and other bitcoin investors into using a decentralized exchanges, there we could gather experience and move further in making their comparison on which is better.

I use CEX more than DEX, and the reason is obvious. I don't think the government will clamp down on exchanges that comply with AML laws and are compliant. When it comes to bonuses, I know most platforms offer decent rewards upon registration - Binance, Bybit, Bitget ($15), and other rewards from tasks and competitions. You won't get that from DEX. However, on DEX, once you interact with the ecosystem and stake, you might receive an airdrop, as seen with JUP, STRK, and others. As a crypto user, I suggest being flexible to these options...

[Darker45]

I believe you're talking about swaps, swaps isn't DEX.

please elaborate, i'm curious

Swap is a function, a feature. A DEx is a service, a platform. A swap isn't a function or feature that is exclusively provided by decentralized services or exchanges. You can do swaps even on centralized exchanges. You can also do swaps on services falsely claiming or marketed to be decentralized.

I guess this is the more important point to consider. Just because it is a swap platform doesn't automatically mean it is already a decentralized exchange. And just because it promotes itself as a decentralized exchange doesn't necessarily mean it is truly decentralized. A mere label doesn't mean anything.

[pinggoki]

CEX is better for you if you want to get the most out of your crypto whenever you want to sell because they can do a trade as close to the current price as possible, that's probably the only advantage of CEX in my opinion because there's not a lot of advantages to it not to mention that it's a not your keys, not your coins when it comes to CEX so in the cases of attacks on an exchange, you might be risking a your money storing it there. Some might say that P2P can be an advantage but I doubt it, you can do P2P here in the forum.

[un_rank]

I don't think the government will clamp down on exchanges that comply with AML laws and are compliant.

If an exchange is 100% decentralized, down to their servers, it will not matter if the government wants to clamp down on non-compliant platforms as they are off the grid. But we have very little, if any truly decentralized exchange and many centralized ones claiming not to be. Being a crypto user worried about privacy, it is a struggle joggling your options to pick the right option that gives a balance on privacy, service and liquidity.

The exchange bonuses and rewards are usually just one time payments and are so small they should not influence anyone's decision. You can create a random account with random details and claim them, not to use the exchange again.

- Jay -

[KingsDen]

CEX is better for you if you want to get the most out of your crypto whenever you want to sell because they can do a trade as close to the current price as possible, that's probably the only advantage of CEX in my opinion because there's not a lot of advantages to it not to mention that it's a not your keys, not your coins when it comes to CEX so in the cases of attacks on an exchange, you might be risking a your money storing it there. Some might say that P2P can be an advantage but I doubt it, you can do P2P here in the forum.

That's not the only advantage of CEX of DEX. I am not supporting CEX in this debate but I'm trying to prove that there are other advantages of CEX of DEX apart from selling coins near market price.

• Have you considered the user interface of both and see that CEXs are a way better.
• How about internal feeless transfers.
• Non technicality of usage
• Security of the exchange. This might be confusing, but a DEX  which do not have many developers working on it is a menace.
• I just want both to co-exist in order to get the government distracted.

[Justbillywitt]

The fact that cex ask for kyc is a no go area for me. I don't care about whatever benefit or incentives that's being given at the cex I don't give just like cex. Anything that will expose my data to a third party I will not get myself involved in it. I take my privacy very seriously, what's the essence of you giving me little incentives for loyalty when you are making far more from me. I will go with Dex at anytime, I just prefer being anonymous, whatever service fee that's charged I will pay it, and have rest of mind, knowing fully well that my privacy is intact. I don't want to start panicking tomorrow when there is a clamp down on those cex. Nobody knows what might come up in the future, the best way to avoid any unexpected events is to stay off the radar. Dex it is for me incentives or no incentives.

[Bulltard]

I believe you're talking about swaps, swaps isn't DEX.

please elaborate, i'm curious

Swap is a function, a feature. A DEx is a service, a platform. A swap isn't a function or feature that is exclusively provided by decentralized services or exchanges. You can do swaps even on centralized exchanges. You can also do swaps on services falsely claiming or marketed to be decentralized.

I guess this is the more important point to consider. Just because it is a swap platform doesn't automatically mean it is already a decentralized exchange. And just because it promotes itself as a decentralized exchange doesn't necessarily mean it is truly decentralized. A mere label doesn't mean anything.

i'm even more confused. what is it in the op that makes you say he's not talking about dexes? please explain to me the relation between governance, token incentives and the act of swapping tokens?
and BISQ is the only DEX you know of? wtf?
i don't know, pancakeswap, uniswap, sushiswap and all exchanges found on chain are dexes. that's the idea of a dex my friend.

this place is a joke, you guys use words you don't understand and the worst part is you say things with such confidence that others trust you. ffs how did you get to be legendary with such stupid takes?

p.s: your defihition of swap and dex are correct though. the swap is the feature and the dex is the p2p place where you do the swap... but again what does that have to do with the op?

[Darker45]

I believe you're talking about swaps, swaps isn't DEX.

please elaborate, i'm curious

Swap is a function, a feature. A DEx is a service, a platform. A swap isn't a function or feature that is exclusively provided by decentralized services or exchanges. You can do swaps even on centralized exchanges. You can also do swaps on services falsely claiming or marketed to be decentralized.

I guess this is the more important point to consider. Just because it is a swap platform doesn't automatically mean it is already a decentralized exchange. And just because it promotes itself as a decentralized exchange doesn't necessarily mean it is truly decentralized. A mere label doesn't mean anything.

i'm even more confused. what is it in the op that makes you say he's not talking about dexes? please explain to me the relation between governance, token incentives and the act of swapping tokens?
and BISQ is the only DEX you know of? wtf?
i don't know, pancakeswap, uniswap, sushiswap and all exchanges found on chain are dexes. that's the idea of a dex my friend.

this place is a joke, you guys use words you don't understand and the worst part is you say things with such confidence that others trust you. ffs how did you get to be legendary with such stupid takes?

p.s: your defihition of swap and dex are correct though. the swap is the feature and the dex is the p2p place where you do the swap... but again what does that have to do with the op?

Apparently, I'm responding to you, not the OP.

I'm not a technical expert, but I'm pretty sure that "all exchanges found on chain are dexes" is a very poor oversimplification. That's a very wrong idea of a DEx, my friend.

In the first place, those swap platforms that you're talking about may even be built on a centralized blockchain. That alone is enough to question their decentralized label. Not to mention that these so-called decentralized services have single points of failure resulting to successful hacks. Bitcoin hasn't been hacked simply because there isn't a single point of failure, because it's truly decentralized.

Moreover, how much power does Uniswap Labs have, for example, or the Sushi team? How is it possible that a governing body of a so-called decentralized service ask hack victims to send tickets to a supposed decentralized exchange's official social media account?

[Bulltard]

I believe you're talking about swaps, swaps isn't DEX.

please elaborate, i'm curious

Swap is a function, a feature. A DEx is a service, a platform. A swap isn't a function or feature that is exclusively provided by decentralized services or exchanges. You can do swaps even on centralized exchanges. You can also do swaps on services falsely claiming or marketed to be decentralized.

I guess this is the more important point to consider. Just because it is a swap platform doesn't automatically mean it is already a decentralized exchange. And just because it promotes itself as a decentralized exchange doesn't necessarily mean it is truly decentralized. A mere label doesn't mean anything.

i'm even more confused. what is it in the op that makes you say he's not talking about dexes? please explain to me the relation between governance, token incentives and the act of swapping tokens?
and BISQ is the only DEX you know of? wtf?
i don't know, pancakeswap, uniswap, sushiswap and all exchanges found on chain are dexes. that's the idea of a dex my friend.

this place is a joke, you guys use words you don't understand and the worst part is you say things with such confidence that others trust you. ffs how did you get to be legendary with such stupid takes?

p.s: your defihition of swap and dex are correct though. the swap is the feature and the dex is the p2p place where you do the swap... but again what does that have to do with the op?

Apparently, I'm responding to you, not the OP.

I'm not a technical expert, but I'm pretty sure that "all exchanges found on chain are dexes" is a very poor oversimplification. That's a very wrong idea of a DEx, my friend.

In the first place, those swap platforms that you're talking about may even be built on a centralized blockchain. That alone is enough to question their decentralized label. Not to mention that these so-called decentralized services have single points of failure resulting to successful hacks. Bitcoin hasn't been hacked simply because there isn't a single point of failure, because it's truly decentralized.

Moreover, how much power does Uniswap Labs have, for example, or the Sushi team? How is it possible that a governing body of a so-called decentralized service ask hack victims to send tickets to a supposed decentralized exchange's official social media account?

you're right you're not a technical expert lmao.
seriously bro, stop. you're just posting nonsense at this point.

a dex built on a centralized chain (i don't wanna know what your definition of that is) is still a dex lol.
points of failure? what the f... does that have to do with them being dexes?
as for the last part of your post, sorry but maybe you swapped ( ) words in there in order to look smart but that's a huge fail. i didn't understand any of it, sorry.

go tell maki that sushi is not a dex, go tell hayden that uni is not a dex... rofl. omg, this is hilarious. i'm sure you don't even know who those guys are. google them now.

Can't mods delete posts like these seriously? i understand everyone here is trying to increase their post count and they will post any kind of nonsense to do that but come on, mods should know better. this is a terrible look for this place.

[shield132]

Hey mates, good day to y'all

CEX and DEX are two different beasts when it comes to rewarding users. But which one actually offers more goodies??

CEX:

- Trading fees, discounts, and loyalty programs
- Faster transactions and higher liquidity

DEX:

- Token incentives, governance participation, and community love
- Decentralization, security, and community control

Did I miss anything? You can add more. But Do you prefer the traditional approach of CEX or the community-driven vibes of DEX? Let's talk.

I think that it's individual. CEX reward you with many different products but takes away your privacy while DEX rewards you with privacy but doesn't offer you as many products as CEX can and also doesn't offer as high leverage as CEX offers according to my knowledge.

CEXs are also very individual. For example, what you'll see on Binance mightn't be available on Coinbase, OKX or somewhere else. On CEX, you have many choice to make money, by spot trading, futures, stacking, investing, cloud mining and etc... DEXs don't offer many of these but as I said, their benefit is privacy and for many people, it's a huge benefit that outweighs other negative effects.

[Aanuoluwatofunmi]

If we go by the way of threats from government's regulations on centralized exchanges and how these exchanges can be hacked or reveal our private information, we may not want to use a centralized exchange because they never have the privilege of giving us the private keys to our bitcoin with them and that is why we call them custodial wallets, but many don't confide much trust in some of the decentralized exchange and will think of loosing their asset at anytime, therefore settle for centralized exchange, also, some DEX make selection of the coins they support unlike the CEX which comprises of as many s possible altcoins, also, we may have to make use of Tor or VPN is connecting to some DEX while CEX may not require for this.

[pinggoki]

~

That's not the only advantage of CEX of DEX. I am not supporting CEX in this debate but I'm trying to prove that there are other advantages of CEX of DEX apart from selling coins near market price.

• Have you considered the user interface of both and see that CEXs are a way better.
• How about internal feeless transfers.
• Non technicality of usage
• Security of the exchange. This might be confusing, but a DEX  which do not have many developers working on it is a menace.
• I just want both to co-exist in order to get the government distracted.

You're right about those parts especially with the better UI for users, that's going to be expected, they're a billion dollar company, they can't afford to look stupid in their user interface no matter what platform that they're present, they need to have a responsive UI and at the same time make sure that they're not going to be left behind from other CEX. Maybe ease of use can be an advantage or a pro with CEX but most of the time, DEX is easily understandable and you get used to it so easily anyway. Now that you think about messing with the government, I incline to agree with you, there's no way that I want the government to be getting their hands on DEXs, coexistence is a big word though, CEX and DEX are to each of their own in my opinion.

[Aanuoluwatofunmi]

People were too used to centralized exchanges because they accommodates for varieties of altcoins and comprises of many of them which can be trusted and the likes of the shitcoins which cannot be trusted, people are too used to a platform whereby they can have a number of selections to make as their choices while deciding for a cryptocurrency to invest on, aside this, they believed that these centralized exchanges also have a number of coins in which they can quickly invest and  make fast return on, while some make use of CEX for trading purpose only.

[FinneysTrueVision]

I don’t really need to trade a million different shitcoins. I won’t put my privacy and security at risk by using KYC exchanges for something I rarely ever need. Decentralized exchanges are much better because they don’t require any personal information.

For swapping between crypto and fiat, the user experience is not the greatest when using something like Bisq. DEXs like Uniswap are far more user friendly and have billions of dollars in TVL, so liquidity shouldn’t be an issue. Becoming a liquidity provider is one of the most interest aspects of these DEXs. You can earn a really decent income from the APYs offered for providing liquidity. One of the innovations of DEXs is the voting escrow model where you can earn significant rewards by actively participating in their governance.