by Hodler Ash 
Due to their competence in inflation protection and the widespread inflation seen worldwide over the past few years, cryptocurrencies have become incredibly popular.
A platform that aids customers in exchanging bitcoin for other goods, such as conventional paper money and extra virtual currency, is now known as a crypto currency exchange. In exchange for cryptocurrencies or tokens, cryptocurrency exchange platforms may permit purchases made with debit cards, bank accounts, and other sorts of transactions.
The most popular method of trading cryptocurrencies and other digital assets is through an exchange, of which there are both centralized and decentralized models with pros and cons. You may think of a Centralized exchange as a stock exchange for digital assets. The most well-known exchange in the world is Binance, but when it relates to domestic exchanges, like those in the United Arab Emirates, Cryptodesk is the most well-established and successful platform that enables users to trade coins and tokens both online and in-person. Centralized exchanges serve as a broker between buyers and sellers and generate revenue through commissions and transaction fees.
Transaction costs
The drawback of centralized exchanges is their high transaction costs. For their services and convenience, centralized exchanges frequently demand considerable transaction fees, which can be particularly expensive when trading in big sums, in contrast to peer-to-peer transactions. Although, when compared to other financial services, the cost of transacting in cryptocurrencies is quite low, but you should be aware that demand on the blockchain may drive up transaction prices.
Accessibility
With the use of cryptocurrency, people who lack bank accounts can access financial services directly. A person may be unable or reluctant to open a standard bank account for a variety of reasons. People who don’t use traditional banking systems may find it easier to conduct online transactions by using cryptocurrencies. Accessibility is an inherited trait of cryptocurrencies; all you need is a computer or smartphone with an internet connection. When it comes to transactions and trading, centralized exchanges such as Cryptodesk provide an additional layer of security and dependability. Cryptodesk provides greater degrees of comfort by enabling the transaction through a developed, centralized platform.
Reducing the Chance of Hacking
Customers’ security is once again the responsibility of service providers who own integrated systems. Billion-dollar transactions frequently contain bitcoins, making them a prime target for robbery and hacking.
If you must use a centralized exchange, withdraw frequently, and keep your tokens on a hardware wallet, a hardware device that allows transactions to be made without an internet connection. Avoid storing all of your cryptocurrency investments in one location. Spread out among different exchanges. It’s doubtful that you’ll experience simultaneous hacking through all of them. especially if your emails and passwords are unique for each. Over-The-Counter (OTC) exchanges can also provide you another level of security. The allow you to buy and sell crypto coins in-person using fiat money. The most well established OTC crypto exchange in Dubai is Cryptodesk.
Transparency
On the widely used blockchain ledger, all cryptocurrency transactions take occur. Anyone can use tools to search up transaction information, including the where, when, and quantity of cryptocurrency sent from a wallet address. Also visible to anyone is the amount of cryptocurrency kept in a wallet.
Transparency to this extent can minimize fraudulent transactions. A person can demonstrate that they sent money and that it was received or that they have the necessary finances to complete a transaction.
Transparency of reserve assets on centralized exchanges has emerged as a major worry for all exchange users as a result of FTX’s theft of customer funds. Although we cannot predict whether any exchange will be able to completely fund its users, we think that the best way to address this issue is to make the exchanges as transparent as possible. Nearly all significant exchanges have rather thorough information disclosure and transparency.
Transaction speed
The fact that transactions may be finished in a matter of minutes is one of the major benefits of cryptocurrencies. The funds are ready for usage after the network has confirmed the block containing your transaction.
Trading systems that are decentralized operate more slowly than centralized ones. Research shows that although decentralized crypto currency exchanges take at least 15 seconds to match and complete a transaction, centralized cryptocurrency exchanges, such as Cryptodesk execute orders on average under 10 milliseconds. Decentralized platforms could also take up to a minute longer to process an order than its centralized version, which is a sizable amount of time.
Crypto Asset Diversity
Any item that wants to be listed on a centralized cryptocurrency exchange must pass security checks, be actively traded in, and follow all legal and regulatory criteria. On the other hand, anything can be listed on a decentralized crypto currency exchange. This suggests that if you don’t complete your research, you’ll run a higher danger of ending up with a bag full of useless assets.
Security
At centralized exchanges, fraud is less likely to occur. Centralized exchanges also offer more conventional forms of security, some in the form of insurance and others in the form of regulatory compliance. Compliance typically includes anti-money laundering and Know Your Customer protocols.
But a centralized trading platform lacks the ability to stop market manipulation and the same level of transparency, which raises its own set of issues. Trading on centralized cryptocurrency exchanges entails a considerable risk of hacking. You can lose your entire investment if they hack a third party that uses private keys to access all of the users’ money.
Trust
Deals are made easier by centralized exchanges since they serve as a reliable middleman. They rely on their well-established reputation to generate investor trust. Additionally, they offer a user-friendly interface for regular investors.
Liquidity
Decentralized exchanges lack the liquidity that centralized exchanges do, which leads to higher trade volumes. As a result of being impacted by market trends, users on centralized exchanges place specific orders. Multiple users buy and sell USDT, an asset that is in great demand as a result. Additionally, it has market makers who add more liquidity to the market.
Conclusion
Centralized cryptocurrency exchanges are undoubtedly more well-known than decentralized exchanges because they were the first to enter the market. Despite the fact that decentralized cryptocurrency exchanges have advantages over centralized ones.
