Can DEX Replace CEX as the Future of Crypto Trading? - page 2.

jaberwock

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Quote from: tvplus006 on July 11, 2023, 06:39:33 AM

Since the creation of DEX, we see their constant improvement and the main goal in the near future will be to fully provide all the functionality that exists on CEX to its users. Already, no one is surprised by the presence of limit orders on DEX, which traders dreamed of a few years ago. But at the same time, CEX will also not stand still, but introduce new useful functions on the exchange, and DEX will still be in the role of catching up.

To be fair no matter how great it becomes it is not going to be just fully DEX, it is going to still have some people at CEX without a doubt. But during bull run we have seen DEX grew a lot and now it is much smaller, and even though exchanges dropped too, they didn't drop this much and kept their marketshare and DEX lost marketshare, that's the warning sign for it.

I hope that it gets better and people would see that DEX is a far superior situation if you want to protect your funds and just keep it on your wallet, but it will certainly not be an easy decision. I know that it is going to be a tough one, and it is going to hurt a lot but we could still end up doing something that could make sense slowly, and should be fine eventually.

tvplus006

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Since the creation of DEX, we see their constant improvement and the main goal in the near future will be to fully provide all the functionality that exists on CEX to its users. Already, no one is surprised by the presence of limit orders on DEX, which traders dreamed of a few years ago. But at the same time, CEX will also not stand still, but introduce new useful functions on the exchange, and DEX will still be in the role of catching up.

tbct_mt2

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Quote from: irhact on July 11, 2023, 05:48:19 AM

Centralized exchange are popular now because they're very easy to trade on, they make their platforms so easy that any individual who's a newbie can make use of their platform without mentorship. Decentralized exchange aren't perfect yet but they're safer than decentralized exchange. Centralized exchange are what many individual are used to and they're just getting to know about decentralized exchange and with time they'll understand how to use them.

Decentralized exchange has all the potential to replace centralized exchanges, with the crackdown on centralized exchange and accusations of listing securities, attention might shift back to decentralized exchange as project move to list there to avoid SEC lawsuits.

Talking about this chance for decentralized exchanges is like talking about opportunities of ebooks to replace paper books, e-newspaper to replace paper newspaper, digital currencies like CBDCs to paper or polymer currencies. It will not have any ending for discussions because we all see how paper books, audio books, ebooks coexist and none of them die. I believe the same for CBDCs and paper/ polymer currencies, Bitcoin and altcoins will all co-exist together.

Decentralized exchanges and centralized exchanges serve different users so they will co-exist if customers continue to have different types and each exchange type has its pros and cons.

irhact

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Quote from: Dr.Osh on July 08, 2023, 05:44:53 AM

if you look at the current situation, then people are more likely to choose to use their assets on CEX than DEX. So far, DEX still has many shortcomings, especially if we use the ERC20 network, the fees that can be used to make transactions are sometimes very large. However, in the future, DEX might be much better because it has a decentralized system.
However, if you try to advertise MUFEX here, it seems that people prefer to trade on CEX than new DEX advertised like this.

Centralized exchange are popular now because they're very easy to trade on, they make their platforms so easy that any individual who's a newbie can make use of their platform without mentorship. Decentralized exchange aren't perfect yet but they're safer than decentralized exchange. Centralized exchange are what many individual are used to and they're just getting to know about decentralized exchange and with time they'll understand how to use them.

Decentralized exchange has all the potential to replace centralized exchanges, with the crackdown on centralized exchange and accusations of listing securities, attention might shift back to decentralized exchange as project move to list there to avoid SEC lawsuits.

rat03gopoh

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These two will forever be the favorites of different types of traders, they won't outdo each other as long as they're on the right track. I mean, lately the emergence of shady business models outside of the main orientation has been implemented in several cex and dex behind the scenes which is a threat to the exchange as a whole, both in terms of user trust and government policy.

wxa7115

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Quote from: adaseb on July 10, 2023, 10:37:24 PM

One thing to keep in mind about a DEX. Is that it’s extremely difficult for a new user to interact. It’s good for us who already are comfortable with Metamask and such but for a beginner it’s very difficult.

Also add in the fact that you got so many phishing scams and address poisioning that makes it very easy for some new comer to get his funds stolen.

So for beginners it’s best to stay on a CEX for their security. DEX is for intermediate type of computer and crypto users. Not very user friendly.

I agree, I mean even today I do not feel completely sure about what I am doing and I double or even triple check everything I do just to make sure I am not going to lose my coins due to a dumb mistake, then I can only imagine the kind of pressure a newbie may be feeling when doing something in which they do not have any experience and which may cause them to lose their coins.

So newbies using centralized exchanges is fine, at least for a time, and only once they feel more confident on their ability to secure their coins then they could try to use a decentralized exchange.

adaseb

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One thing to keep in mind about a DEX. Is that it’s extremely difficult for a new user to interact. It’s good for us who already are comfortable with Metamask and such but for a beginner it’s very difficult.

Also add in the fact that you got so many phishing scams and address poisioning that makes it very easy for some new comer to get his funds stolen.

So for beginners it’s best to stay on a CEX for their security. DEX is for intermediate type of computer and crypto users. Not very user friendly.

savetheFORUM

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Quote from: MUFEX on July 03, 2023, 10:31:24 AM

In conclusion, DEX is in a phase of rapid evolution. With the advent of new technologies and innovative practices, DEX has a plethora of possibilities ahead. MUFEX, being an industry leader, is expected to offer valuable insights into the development of DEX. Whether DEX can ultimately replace CEX depends on several variables including regulatory policies, technological advancements, and market acceptance. However, under the guidance of exchanges like MUFEX, DEX will continue to mature and challenge the dominance of CEX.

The biggest difference between a centralized exchange and a decentralized exchange is that a centralized exchange requires users to complete KYC verification and comply with rules and regulations imposed by the authorities, while a decentralized exchange operates without a license and requires nothing of that sort, now to come to the point, authorities are starting to notice decentralized exchanges and might be planning to impose regulations on them as well, once that is done, people wouldn't prefer decentralized exchanges at all.

A CEX provides way more features and offers than a DEX and users like that, that is the reason why there is more than enough liquidity on CEXs and DEXs suffer from lack of liquidity most of the time even for the tiniest tokens that have been released recently, the reason is that people prefer using centralized exchanges more often.

justdimin

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Quote from: BIT-BENDER on July 04, 2023, 03:33:31 PM

Why would anyone ever think Centralized exchange would replace decentralized exchange in the future. The only way I see that happening is if government takes over crypto-currency which I think would be impossible.

The advantages Decentralized exchange has over centralized exchange is much and I think the only reason anyone is using centralized exchange is due to the way they understand crypto-currency. An experienced person in the ecosystem would readily for decentralized exchange because of the privacy protection they can get from it over centralized exchanges

Not only the OP but there lots of them who actually think that a centralized exchange are going to replace decentralized exchange because it's obvious that centralized exchanges are more popular. They get more volume because many people are using them and many people thinks that decentralized exchange are dying because of that fact. This isn't only limited to decentralized exchange but this is also happening in decentralized casinos, decentralized games, and others.

There must be something with being centralized on why people likes them even though being decentralized do also have its own benefits like privacy or anonymity.

Dr.Osh

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if you look at the current situation, then people are more likely to choose to use their assets on CEX than DEX. So far, DEX still has many shortcomings, especially if we use the ERC20 network, the fees that can be used to make transactions are sometimes very large. However, in the future, DEX might be much better because it has a decentralized system.
However, if you try to advertise MUFEX here, it seems that people prefer to trade on CEX than new DEX advertised like this.

zahed

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I 've experienced in both of CEX and DEX, I realized that both of advantages and also some disadvantages. CEX is my favorite, i can trade with varieties of coins, which missing in DEX. CEX is too risky if exchange will get hacked and they can sell our personal documents, those will not happened in DEX.

Strongkored

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Both have their respective fans and the two cannot be compared because the presence of CEX and DEX is to complement cryptocurrency exchanges.
CEX will always be used for those who like speed and high trading volume, while DEX is used by traders who are more focused on security but trading volume and the slow development of DEX make traders also use CEX for transactions that cannot go through DEX, So it has its advantages and disadvantages.

gunhell16

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Quote from: Plaguedeath on July 03, 2023, 10:46:11 AM

In short MUFEX is scam.

You're harsh dude, hehe Grin

... but you're right in what you said, I just remembered recently when there was an issue with stablecoins on the centralized exchange platform, if that issue isn't really resolved, it's probably the investors who trust among stablecoins in centralized exchanges, it is possible to switch to decentralized or some may have switched and others still remained in centralized.

It's like if we look at it because if there's a problem with the centralized one, the DEX will catch it and if the DEX has a problem, the CEX will see it, It's that simple.

tvplus006

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Quote from: michellee on July 07, 2023, 12:18:41 PM

...I felt this way when I tried a DEX that was ETH based a few years ago and spent a lot of ETH just on transaction fees. While using CEX, the transaction fees are very low and it helps me to store ETH for sale at the highest price...

I think everyone knows that transactions on the Ethereum network are the highest, so if you want to reduce your gas costs, you need to use L2 networks. So if you bought ETH, for example, on the Arbitrum Nova network, you would pay a commission that is possibly even lower than on CEX.

dunfida

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Quote from: dansus021 on July 04, 2023, 08:39:17 PM

Can DEX Replace CEX as the Future of Crypto Trading? My answer will be NO.

Because both of them has plus and minuses I know that a lot of people said that Centralized Exchange is bad and we don't have control over our money but in some government only Cex that can comply with government I mean as a "legal" exchange while Dex will not going to get the license because they are basically decentralized

Tho to country who ban bitcoin and there is no rule about crypto Decentralized Exchange will always be the number one exchange that comes to privacy and security.

Yes they do have their own disadvantages and advantages of their own on which it is really that hard to tell that DEX would overtake CEX.

Advantage of CEX
1. Conversion of fiat to crypto vice versa
2. Make direct trade on different pairs which DEX doesnt have
3. Features which would really be that making trading so easy
4. Easy to buy crypto using up fiat

Main disadvantage?
1. Custodial
2. Everything could be seen and traced
3. Its not your wallet
4. Prone to sudden regulation change

DEX is totally that preferred when it comes to anonymity and decentralization on which it would really be
that no question about this manner but people do still end up on making use of CEX on which we do understand on why but
we cant really blame them out.

Johnyz

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Quote from: iBaba on July 07, 2023, 12:13:41 PM

As far as I am aware, decentralised exchanges (DEX) have recently gained popularity as an alternative to centralised exchanges (CEX). While CEXs remain the most popular platform for trading cryptocurrencies, DEXs may provide you with a lot of benefits such as decentralisation, lower fees, security, and anonymity.

There are good DEX and CEX but not all will stay within the competition.
We all want the anonymity given by DEX but the real question is its security though you are just using your personal wallet here, some site are still risky to deal with. CEX are talking about great volume and great fundamentals and that's why they remain as the top choice. Let's see if this two will continue to be the best option, maybe a new developer will introduce to us a new way of trading as part of the innovation with crypto.

tjtonmoy

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Quote from: death69 on July 07, 2023, 12:08:22 PM

Isn't that the point of having rivals? It paves the way for the development of novel goods and services that address specific customer requirements. While putting the needs of the consumer first is important, we must not lose sight of the creativity these transactions represent.

Isn't it true that the parameters you raise - "unique" and "secure" - are what define the development and expansion of these transactions? They may improve the blockchain ecosystem by expanding the range of possible transactions and boosting safety. In today's quickly developing cryptosphere, simplicity is no guarantee of efficacy. Is it possible, then, that the majority does not share your desire for simplification?

That's why we need proof, not talk. Although simplification is not the major key, because people learn things by using it over time. But to use it, we need trust. And for a platform like this, they need to build up trust first. No one will be willing to put their money into something in which they have no trust. I don't know how this will turn out to be. But if they manage to keep a good track record, people will use it.

Being decentralized also arise the question, of how far can it get and how good of a service it can provide. So I will wait for that day to come. Until then, I will stick to my statement. Also one more thing. Simple also makes things unique. Just keep what is necessary and easy to use. Something exceptional is a trend that people try out for a certain period of time, then move back to which is easy to use and understand. Don't get me wrong. If the "exceptional" one is understandable and not so complex, people will use it too.

michellee

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DEXs could replace CEX as the future of trading when people don't like the features of CEX and don't want to do KYC verification anymore. People use CEX for convenience in trading and to avoid transaction fees for trading, while transaction fees in DEX are higher than CEX.

I felt this way when I tried a DEX that was ETH based a few years ago and spent a lot of ETH just on transaction fees. While using CEX, the transaction fees are very low and it helps me to store ETH for sale at the highest price.

But if CEX can still offer something similar to what users already get, they will still trade at CEX, even if they have to do KYC. People will be trading on the DEX for certain coins not listed on the CEX and it's okay if they have to pay higher transaction fees than CEX. The comfortable thing is the most wanted of people search.

iBaba

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As far as I am aware, decentralised exchanges (DEX) have recently gained popularity as an alternative to centralised exchanges (CEX). While CEXs remain the most popular platform for trading cryptocurrencies, DEXs may provide you with a lot of benefits such as decentralisation, lower fees, security, and anonymity.

However, because of their simple and intuitive user interface, CEXs are often more user-friendly than DEXs. CEXs frequently provide a variety of tools and services that make it easier for consumers to purchase and trade cryptocurrency. DEXs, on the other hand, are more complicated and necessitate user interaction with smart contracts.

To top it all off, the MUFEX you referenced in your post, as industry leader, is simply a huge hoax!

death69

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Quote from: tjtonmoy on July 06, 2023, 01:30:48 PM

There are many decentralized exchanges available on the market and they are doing quite well. They have created a good reputation in the past few months. So while having them, what makes this one so unique and secure? What's your success rate and what have you achieved in the past? If you are unable to provide proof about them, no one will trust you just based on your words. This and that, this is what we do exceptional, this makes us special, cut the crap man. We just want something simple and user-friendly.

Something that gets the job done and does it easily. Nothing fancy that we need to learn about in order to use it. Just keep it simple. If you want to sell your thing, then make it something that people will buy based on its working ability, and not based on some random guy's opinion/word like this.

Isn't that the point of having rivals? It paves the way for the development of novel goods and services that address specific customer requirements. While putting the needs of the consumer first is important, we must not lose sight of the creativity these transactions represent.

Isn't it true that the parameters you raise - "unique" and "secure" - are what define the development and expansion of these transactions? They may improve the blockchain ecosystem by expanding the range of possible transactions and boosting safety. In today's quickly developing cryptosphere, simplicity is no guarantee of efficacy. Is it possible, then, that the majority does not share your desire for simplification?

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