Decentralized Exchange (DEX)
Also known as: DEX, P2P Exchange, On-Chain Trading Platform
A peer-to-peer platform that enables cryptocurrency trading directly between users without intermediaries.
A Decentralized Exchange (DEX) is a trading platform built on blockchain technology that allows users to swap crypto assets without giving custody to a third party. DEXs use smart contracts to automate order execution and settlement. Popular DEX types include Automated Market Makers (AMMs) like Uniswap and Curve, and order book DEXs like dYdX. Users retain control of their funds and trades occur via wallets like MetaMask. DEXs are known for permissionless access, transparency, and censorship resistance. However, they may face issues with slippage, liquidity, and front-running.