A crypto-centered platform where traders can exchange crypto assets without relying on or reporting to a central authority before they can engage in trading and investment activities.
A decentralized exchange (DEX) is a crypto exchange platform that adheres to the traditional blockchain model of financial decentralization. A DEX is distinguished from a centralized exchange (CEX) in the sense that its operational structure is decentralized, so users have greater freedom with regards to the purchase, investment, and sales of their crypto assets.
One of the main characteristics of DEXes is that they do not require users to register to trade on the platforms. Therefore, the KYC (Know Your Customer) protocol that CEXes use as a condition for registration or trading is not required. Also, users operate directly from their wallets instead of using a custodial wallet provided by the platform.