Cryptocurrency Q&A
What is a centralized exchange (Cex)?
What is a centralized exchange (Cex)?
lucas_lewis_inventor
Sun Jul 14 2024
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5 answers
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As a keen observer of the cryptocurrency and finance industry, I'm curious to understand the workings of a centralized exchange, commonly referred to as a CEX. Could you elaborate on what a CEX is? Specifically, I'd like to know how it differs from decentralized exchanges, the key functions it performs, and how it facilitates trading of cryptocurrencies? Additionally, are there any notable risks or considerations investors should be aware of when using a CEX? Your insights would be invaluable in helping me gain a deeper understanding of this crucial component of the digital asset ecosystem.
5 answers
Chiara
Tue Jul 16 2024
At the core, CEXs function as marketplaces, connecting buyers and sellers of cryptocurrencies.
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Martina
Tue Jul 16 2024
The significance of CEXs lies in their ability to handle concurrent trading activities when numerous individuals are actively buying and selling the same type of asset.
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Sofia
Tue Jul 16 2024
One such exchange is BTCC, a UK-based cryptocurrency platform that offers comprehensive services. BTCC caters to a wide range of traders, providing spot trading, futures contracts, secure wallet storage, and other features.
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ZenBalance
Tue Jul 16 2024
Centralized exchanges (CEXs) operate as pivotal organizations in the cryptocurrency landscape, facilitating large-scale trading activities.
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SamsungShiningStar
Tue Jul 16 2024
These exchanges employ a business model analogous to traditional asset exchanges, such as stock markets, where transactions are coordinated in a centralized manner.
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