Glossary - ChicksX

Centralized Exchange is a platform where users trade cryptocurrencies through an intermediary, offering high liquidity and user-friendly interfaces.

Centralized Exchange is a digital platform that facilitates the trading of cryptocurrencies through an intermediary entity. These exchanges manage and secure users’ funds and transactions, providing a user-friendly interface for trading. They offer high liquidity, enabling quick and efficient trades. Users must trust the exchange to manage their assets. Examples include Binance and Coinbase. Centralized exchanges often require users to complete identity verification processes. They provide features like margin trading and staking, but they also present potential risks related to hacking and regulatory control.