Anyone buying cryptocurrency will invariably end up needing to use an exchange. A crypto exchange is a business that allows customers to trade cryptocurrencies for other assets, such as conventional fiat money or any other digital currencies.
It is however important to note that exchanges provide highly varying degrees of safety, security, privacy, and control over funds and information.
Choices Of Crypto Exchanges And The Differences That Exist
Crypto exchange users, over the years, have faced a number of ongoing issues with exchanges ranging from hacks to irresponsible owners and lost funds. These are problems majorly faced by centralized crypto exchange users and in many cases, the funds are never recovered.
A centralized exchange operates similarly to a bank. You deposit your tokens and it's totally up to the exchange to take custody of the funds and to safeguard them. Issues like this have led to the increased popularity of the decentralized exchange (DEX) which offers various advantages over the traditional centralized exchange.
Decentralized exchanges such as ChangeNOW, HADAX, and IDEX facilitate a peer-to-peer cryptocurrency trading and do not store users' funds on the exchange. As a result of this, they are resistant to security problems that usually affect popular centralized exchanges
Why Should You Use A Decentralized Crypto Exchange?
1. No Registrations: With DEX, there are often no registration requirements, unlike the centralized exchange where customers are mandated to undergo a know-your-customer (KYC) and anti-money-laundering (AML) checks.
In most cases, however, people are reluctant to provide private information to third party entities.
Decentralized exchanges such as ChangeNOW offers a registration-free crypto transaction. You can buy and exchange crypto in a most speedy and convenient fashion. It is fast and reliable and exchange can occur within two minutes on average.
2. Your Funds Are Kept By You, Not The DEx: Once again, the non-custodial nature of DEX helps you retain total possession of your funds and in any case of company shut-down, your funds will be unaffected. For example, ChangeNow as a non-custodial exchange service alleviates security risks by allowing you to have your own wallet for crypto storage. It does not keep your funds.
3. Easy Non-KYC Required Crypto Purchase: Further, with Decentralized exchanges like ChangeNOW, you can purchase crypto directly with your VISA or MasterCard. Their service is limitless and you can swap as much as you want with just a few simple clicks any time of the day.
4: Totally Secured And Immune To Hacking: Apart from these, centralized exchanges are becoming more attractive to hackers with the increasing trading volume of cryptocurrencies. DEXs, on the other hand, are becoming more user friendly and common, simultaneously providing better security for investors.
Many crypto exchanges exist in the space. Some, more than others, offer more convenience and flexibility of services. In the growing Decentralized finance sector, ChangeNow takes a top spot with their numerous useful products and services.
Author: Shonubi K.D