CEXs vs. DEXs in 2025
The post CEXs vs. DEXs in 2025 appeared on BitcoinEthereumNews.com.
Decentralized exchanges (DEXs) are growing in popularity among crypto users. In the past year, DEXs have generated significant competition for centralized exchanges (CEXs) that currently control trading. In a conversation with BeInCrypto, industry experts from CoinGecko, Gate.io, and PancakeSwap said they expect DEXs to grow in 2025 but also suggested that CEXs will still be top contenders for newcomers. The Success of CEXs and DEXs Since the beginning of crypto trading, CEXs like Coinbase and Binance have dominated the crypto market. These exchanges currently amass over 300 million users combined, offering high liquidity, and serving as easy-to-use platforms for junior traders. In the past year, DEXs have also gained momentum, providing users with a decentralized alternative to trading. With a higher layer of security to prevent fraud and less exposure to overregulation, DEXs challenge CEXs’ control over the crypto market. But despite the growing adoption of decentralized exchanges, CEXs are nowhere near fading out. “While DEXs are set to continue growing and evolving in 2025, CEXs will still play a pivotal role in the ecosystem, particularly in onboarding new users. Both types of exchanges have complementary roles, and together, they will contribute to the overall growth and adoption of crypto in the coming years,” said Chef Kids, Head Chef at PancakeSwap. By leveraging these advantages, CEXs will continue to be in command of the sector. The Initial Grip of CEXs Centralized cryptocurrency exchanges are platforms that store digital assets on behalf of clients and enable them to trade, deposit, and withdraw their cryptocurrencies. A central entity controls these exchanges and acts as an intermediary between buyers and sellers. This entity is also responsible for ensuring that user funds remain secure. CEXs are the main avenue for cryptocurrency trading because they are easily accessible for first-time crypto investors. Binance, Coinbase, and…
Filed under: News - @ January 7, 2025 4:19 pm