Centralized Exchange (CEX)
exchange · custody
A custodial platform that matches orders and holds user funds.
Centralized exchanges provide fiat on/off-ramps, order books, and custody. They facilitate high liquidity but require trust and compliance (KYC/AML).
Centralized exchanges can freeze accounts, suffer outages, become insolvent, or be hacked. Withdraw to a wallet you control when self-custody is appropriate for your use case.
Related terms
Cryptocurrency Exchange
→A cryptocurrency exchange is a platform for buying, selling, or trading digital assets through crypto or fiat markets.
trading · exchange · platform
Decentralized Exchange
→A decentralized exchange (DEX) lets users trade digital assets from their wallets through smart contracts or peer-to-peer settlement.
trading · exchange · blockchain
Know Your Customer (KYC)
→Compliance procedures that verify customer identity and risk before providing regulated financial or crypto services.
regulation · compliance · security