Exchanges

A crypto exchange is an online marketplace where users can buy, sell, and trade cryptocurrencies. There are two types of exchange: a centralized exchange (CEX) is managed by a central coordinating entity, whereas a decentralized exchange (DEX) is not.

In this way a CEX is like an auction house, where users participate in auctions under the supervision of the auctioneer, and a DEX is like a local farmer’s market, where all the equipment is provided to facilitate trades (booths, tables, etc.) but nobody’s in charge.

Further reading: CEX vs DEX: What are the differences between crypto exchanges?