[Wallet and Exchange] - Steemit Crypto Academy S5 - Homework Post for Task 7

Explain in your own words what an Exchange is. Differences between a Wallet and an Exchange. Mention the advantages and disadvantages of DEX and CEX. Have you used an Exchange before? tell us about your experience.

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Explain in your own words what an Exchange is.

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An exchange can be a type of transaction that is administered by 2 or more people to make a profit. In this sense, to facilitate this activity, there is a proliferation of completely different digital platforms for cryptocurrencies that allow US to buy, sell or exchange our crypto assets or deposit money between them. allows.

As such, exchange houses are sometimes required to exchange our cash for another country's currency, although the great simplicity and our common location, characteristics have allowed them to grow in recent years, and the market has wide acceptance.

Some of the most prominent platforms used are Binance, Coinbase, Huobi etc., which provide a straightforward and low cost to perform our transactions.

Different types of exchanges are centralized and decentralized, with the primary sector governed by a central entity, which determines the basis of the activities performed by each user. and second, decentralized, which is not controlled or controlled by a central entity, area unit transactions that administer area unit user-to-user, with no negotiators who can influence transactions.

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Differences between a Wallet and an Exchange.

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A wallet can be a program or software package that enables a user to store and save their crypto assets. The wallet contains keys that the user will use to access their funds. A notecase may well be online or offline.

The main performance of Notecase is to hold our digital plus, although some wallets allow the user to swap one asset with another.

A notecase includes a high level of security and is controlled by the user. This means that the user alone has full management of the Notecase keys and will then be able to access their funds.

A notecase can be a good notecase (offline) - this means the notecase key and access square measure is saved offline, no access to the notecase is a hunting trap making the chances of getting hacked very low. Examples of cold wallets are Square Measured Treasure, Ledger N.

The hot wallet is square measure online which is accessible through square measure net and then liable for square measure hack. Examples of hot wallets are trust notecases.

Conversely, an associate degree exchange can be a market place where the commerce of digital currencies manifests itself.

The Exchange class of measures is designed within the view that crypto commerce supports buying for crypto, exchanging crypto, storing crypto, and acting as an exchange for crypto or crypto. does. Exchanges may well be centralized or localized.

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Mention the advantages and disadvantages of DEX and CEX.

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Advantages and disadvantages of centralized exchanges:-

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Advantages:-

• Trading between a large number of cryptocurrencies is possible.

• This is where paper money was used to amend currency.

• They have much higher volume and liquidity than DEXs.

• They have rules that facilitate the exchange to be secure and scam free.

Disadvantages:-

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• Higher fees than DEX.

• The exchange is not anonymous.

• The central authority that has some management of users' money.

• Its spot unit is hosted on a central server which can be attacked by hackers.

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Advantages and disadvantages of centralized exchanges:-

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Advantages:-

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• Users have more management of their money as compared to CEX.

• The exchange is anonymous.

• Lower rates than CEX.

• They use blockchain technology, so the risk of attack by hackers is low.

Disadvantages:-

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• Has fewer exchange options than CEX

• You cannot use currency for exchange.

• It does not have the maximum amount of liquidity or volume as CEX.

• The interface is too rough.

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Have you used an Exchange before? tell us about your experience.

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The exchange platform I have used so far is Binance. With regard to registration, there are several such security protocols.
From submission for identity verification to uploading of aide in Nursing Identity Card. At first, I wasn't positive about all this. I mean it happens a lot.

Although people's information gets leaked online, I used to be skeptical. I noticed the line that a devotee of the World Health Organization said to Maine, that's the point of view that goes.

My first group action on Binance, I note that only a small amount of Steam is being transferred for the first observation.

I needed to propel it to suspend, a lot went to try to swim. I learned a few things while trying to sell my Steam. Consumer data is required. Consumer cut-off date, limit consumer orders, currency you receive, definitely things I had to look at before creating a group action.

It was absolutely a very attention-grabbing expertise and I maneuvered through it and learned from it.

And I must appreciate their interface to use with low merchantability fee.

So far, I haven't had any problems with my transactions. I hope this approach continues

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Conclusion

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CEX Square is the best exchange measure at this point, although Dex Motion is a challenger to CEX.

Wallet, especially offline wallet class measurement is the best for HODLing crypto assets.