> For the complete documentation index, see [llms.txt](https://squiddex-official.gitbook.io/squiddex/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://squiddex-official.gitbook.io/squiddex/education-book/what-is-cex-and-dex.md).
# What is Cex & Dex
There are two types of trading platforms in the crypto markets:
**CEX — Centralized Exchange**
**DEX — Decentralized Exchange**
Both kinds of exchange provide vital services and allow users to buy and sell crypto, but they are different in some key elements. Are you curious to know which ones? We'll show you the difference!
**A centralized exchange (CEX),** such as [Binance](https://www.binance.com/en), is a crypto exchange created by centralized organizations that exert control over ownership of the exchange.
* Operated by a centralized organization
* Matching buyers & sellers via the order book
* Matchmaking algorithms regulate supply & demand
* Data exchanged internally goes through centralized security processes
* Users have to deposit their crypto in the central wallet to use services
**A decentralized exchange (DEX)**, such as SquidDex, is a decentralized finance platform based on the blockchain network.
* Operated by users and liquidity providers
* No third-party operators
* Smart contracts allow traders to exchange crypto
* Peer-to-peer trading
* Users trade directly from their wallets
Let's make a short comparison between CEX & DEX:
It was just a general overview for a better understanding of the principles of function. Each DEX & CEX has unique features and benefits that attract users to find a perfect match according to your needs and wishes.
Let us give you an example:
SquidDex is a decentralized exchange, but this description is too poor! Behind standard features, you can experience many other unique services & offers :
{% hint style="success" %}
*SquidDex DEX provides a wide variety of services with cryptocurrencies, such as Exchange, Farming, Staking, and others*
{% endhint %}
{% hint style="success" %}
*SquidDex DEX has the lowest exchange fee on the BNB chain*
{% endhint %}
{% hint style="success" %}
*Squiddex DEX is a leading project with strong partners, high liquidity, and a user-friendly approach*
{% endhint %}
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