What is CEX?
A centralized exchange is a custodial trading venue that holds user balances and runs a matching engine off-chain. Major CEXs as of 2026: Binance, Coinbase, Bybit, OKX, Upbit, Kraken. Users deposit, trade against an order book, and withdraw.
Counterparty risk: FTX (Nov 2022) showed users can lose funds if the operator is fraudulent.
How it works
A centralized exchange is a custodial trading venue that holds user balances and runs a matching engine off-chain. Major CEXs as of 2026: Binance, Coinbase, Bybit, OKX, Upbit, Kraken. Users deposit, trade against an order book, and withdraw.
Counterparty risk: FTX (Nov 2022) showed users can lose funds if the operator is fraudulent.
For deeper protocol-level mechanics, see the related glossary terms below or the linked DeFi Intel topic deep-dive.
Why it matters
CEXs are still the dominant fiat onramp and price-discovery venue for new tokens. Counterparty risk (FTX, Mt. Gox) is the structural fragility.
Real-world examples
Binance, Coinbase, Bybit, OKX, Kraken, Upbit, Bitfinex, Bitstamp, Crypto.com.
Related terms
Go deeper
Read the full DeFi Intel topic deep-dive or browse the complete crypto glossary.
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