Hello,

Asalam O Alaikum,

I'm @farhanali from the country of Pakistan, a new student, and going to write a homework post for Professor @yousafharoonkhan.

What are Centralized & Decentralized Exchanges?

Centralized Exchange (CEX) :

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Centralized Exchange is those which are controlled or run by any central authority like any company. the company have access to all the funds and users don't directly have access to their funds, Users have to follow terms and conditions to perform task like trading, KYC and many more things we can see in centralized exchanges. Centralized exchanges are not secure if they got hacked all the user's funds will be gone because all the funds are stored at central authority.

Here you can find Centralized Exchanges Hack list : A Comprehensive List of Cryptocurrency Exchange Hacks

Decentralized Exchange (DEX):

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Decentralized Exchange is are not controlled by any central authority or company, DEX is more secure because they are working on the top of Blockchain, the user has direct access to their funds, not central authority have access to funding so here the user is more secure and blockchain not-hackable means we don't have to worry about decentralizing exchange. In-depth Decentralized exchanges are smart contracts written in Solidity languages and work on the top of Ethereum Blockchain.

Difference Between Centralized and Decentralized Exchange

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Centralized Exchange	Decentralized Exchange
Owned by Centralized authority	Run on Distrubuted Decentralized System
Higher trading volume	Lower Trading Volume
Lower security level	higher security level
KYC Required	No KYC Required just you need a wallet and funds

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2 Best Centralized Exchanges of 2021

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Binanace

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Binance is top centralized exchange in market have trading 24 hours volume of $20,440,200,526 USD, $20 Billion puls and have list all valuable coins and provides mutile ways of trading spot and future.

Here are my last transactions on Binance.

CoinEx

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CoinEx is centralized exchange have total 24 trading volume of $239,218,286 USD $238 Million plus and have native coin named CoinEx Token(CET) user can hold this token and use as trading fees user will get minimum trading fees as compare to others, CoinEx is one of my best exchange used for trading.

Here are my last transactions on CoinEx.

MetaMask

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MetaMask is cryptowallet by which you can interact with Decentralized Applications (Dapps), for using this you need to install metamask extension in browser to interact with Decerntralized exchanges like Uniswap.

Follow these steps to install MetaMask Wallet

• Search in google metamask extension Firefox I'm using Firefox browser use can use Chrome.

• Click add to Firefox button

• Now it take few minutes to install and you will see this screen

• After click getting started you will see these options In our chase we will create new wallet

• Now click on I agree to continue

• Enter 8 chars password and check on I agree and click on create

• Now Secert Backup Phrase save this phrase in save place

• Now please select each phrase in order to make sure it is correct and if you make correct order confirm button will be visible and click on confirm.

• Congress all done

• Here you can see your account

What is UniSwap

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UniSwap is decentralized exchange built on the top of Ethereum Blockchain, Here you can swap token ERC20 to ERC20 or ETH to any ERC20 tokens. Uniswap have trading 24 hours volume $775,844,787 USD.

How to swap ETH to ERC20

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Follow these steps:

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• Go to UniSwap

• Click on Connect to a wallet

• Conntect your wallet I'm using MetaMask so I'm going to click on MetaMask Button

• Now MetaMask screen appear and click on connect

• Now you can see your wallet is connected and it's showing my balance in ETH

• Now Click on Select a token and this screen will appear I'm going to buy DAI tokens so select DAI

• Now you can see both pairs and and enter amount you want to swap in my chase I have entered 0.1ETH I will get 22.5 DAI

• Now Click on swap button

• This detailed screen will appear now click on confirm swap

• Now MetaMask screen will appeared show total gas fees and etc click on from button

• We are done wait for transcation confirmed and after this DAI will be appeared in our metamask wallet

• Wait is over here you can see DAI in my metamask wallet

How To Sell DAI back to ETH

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Follow my steps

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• Whole process is same just select Token you want to sell in From in my case DAI and token you want to buy in my case it's Ether.

• Here you can see I want to convert 22.5 Dai to ether

• We have to approve uniswap to sell our DAI so for that we have to hit approve button and metamask will open up and we have to confirm this transcation.

• Transcation is confirm

• Now click on swap button and detailed screen will be appread click confirm swap and metamask wallet will ask to confirm

• Well done we have sell DAI for Ethers we can see in our metamask wallet

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Thanks for reading my homework hope so this will be helpful for others.