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CEX to DEX

Definition

This term refers to the movement of digital assets from a Centralized Exchange (CEX) to a Decentralized Exchange (DEX). It signifies a shift in user preference or strategy, moving assets from platforms controlled by a single entity to peer-to-peer trading environments. This transfer often occurs to leverage specific decentralized finance applications, enhance privacy, or avoid custodial risks associated with centralized platforms. The transition involves a blockchain transaction from a CEX wallet to a user-controlled wallet, then to a DEX.