Scopuly

The world of digital currencies is unimaginable without exchange platforms, where exchange transactions worth more than $100 billion are made daily. And this is without taking into account derivatives &#x1f4b0;Today, there are over 300 exchanges on the market, which can be divided into 2 types of CEX and DEX:<h2 id="header-0">Centralized Exchanges (CEX)</h2>CEX is an exchange managed from a single center. Control over exchange operations, security of funds, and maintenance lies on the shoulders of the exchange administration.CEX examples: Binance, Coinbase, Kraken, etc.Advantages:- Ability to work with fiat- The presence of extensive functionality for trading- LiquidityFlaws:- No access to private keys- High risk of security and hacking- Price manipulation (bots and other algorithms)- Verification❗ When you store funds on the CEX exchange, they become not yours until you withdraw them to your wallet.<h2 id="header-1">Decentralized Exchanges (DEX)</h2>DEX is a decentralized platform based on distributed ledger technology and operates using smart contracts.DEX Examples: Uniswap, SushiSwap, Balancer, <a href="https://scopuly.com/" rel="noopener noreferrer nofollow">Scopuly</a>Advantages:- Anonymity (no personal data)- Private keys in the hands of the owner- Ability to quickly add coins for exchange- Issue of tokens (tokenization of assets)- Lack of KYC (identity verification)- No one can block your accountFlaws:- Less extensive set of trading features- Liquidity is lower than on CEX- Difficulty for beginners compared to CEXRecently, many crypto experts have been calling for caution about centralized exchanges. And the statistics confirm this: $300.1 million at the exchange rate of 2020 was stolen by hackers from exchanges last year. The well-known crypto exchange FTX lost $662 million of user funds in a day under mysterious circumstances.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/9583a4ea50664557b86b2a7b5c31973a.JPG" />But even most DEXs have two significant drawbacks:- Slow transaction speed- High transaction fees<h2 id="header-2">Fortunately, a blockchain like Stellar completely solves these two problems with a high degree of security:</h2><h2 id="header-3">- Transaction speed 2–5 sec. ⚡️- Transaction price ≈ $0.0001 ⚡️</h2>Such indicators make Stellar a very fast and practically free blockchain. If you want to test the possibilities of Stellar, but don’t know which DEX application to start with, try <a href="https://scopuly.com/" rel="noopener noreferrer nofollow">Scopuly — DeFi platform for Stellar.</a>Scopuly is one of the best decentralized exchanges on Stellar. Secret keys are only with you, which means that your assets are under your complete control.DEX is a new stage in the development of crypto exchanges and the entire DeFi ecosystem due to high security and multifunctional smart contracts.Website: <a href="https://scopuly.com/" rel="noopener noreferrer nofollow">https://scopuly.com</a>Twitter: <a href="https://twitter.com/scopuly" rel="noopener noreferrer nofollow">https://twitter.com/scopuly</a>Telegram: <a href="https://t.me/scopuly" rel="noopener noreferrer nofollow">https://t.me/scopuly</a>SCOP token: <a href="https://scop.scopuly.com/" rel="noopener noreferrer nofollow">https://scop.scopuly.com</a>

Centralzed VS Decentralized Exchanges: Pros and Cons

Table of Contents

Scopuly

Other articles published on Dec 17, 2022

Long-term Bitcoin holders weren't shocked by the SBF created crisis.

NFTs could help solve diamond certification fraud!

Shido MasterCard Launch!

Zebec Protocol Assures Consumers That It Is Uninfluenced by Raydium Exploit

Trading Perks for Biswap Users | Experience New Features!

Top Trending Crypto on Binance, BNB Ousts Bitcoin on Second Position

Join our free newsletter for daily crypto updates!