Definition ∞ A crypto asset exchange is a platform where users can trade various digital currencies and tokens for other digital assets or traditional fiat currencies. These platforms facilitate price discovery and liquidity for digital assets, operating as either centralized entities or decentralized protocols. Exchanges provide essential infrastructure for market participation, enabling buying, selling, and converting cryptocurrencies. They are central to the digital asset ecosystem.
Context ∞ Crypto asset exchanges are consistently at the forefront of regulatory discussions globally, particularly regarding consumer protection, market manipulation, and anti-money laundering compliance. The distinction between centralized and decentralized exchanges also influences regulatory approaches and user risk assessments. Industry news often covers new listings, security breaches, and evolving compliance requirements impacting these platforms.