Exchange

An Exchange is a digital platform or marketplace where users can buy, sell, and trade assets such as cryptocurrencies, stocks, or commodities. In the crypto world, exchanges act as the central hubs of trading activity, connecting buyers and sellers globally in real time.

There are two main types of exchanges:

Centralized Exchanges (CEXs) – Platforms like Binance, Coinbase, or Kraken that operate under a central authority, offering liquidity, security, and user-friendly interfaces.

Decentralized Exchanges (DEXs) – Blockchain-based platforms like Uniswap or PancakeSwap, where users trade directly from their wallets without intermediaries.

Exchanges play a key role in price discovery, liquidity, and the overall health of financial ecosystems. They enable seamless conversion between digital and fiat currencies, allowing investors and traders to participate in global markets securely and efficiently.