What are the main differences between centralized and decentralized crypto exchanges?

Centralized exchanges (CEX) like Coinbase or Binance are operated by companies that hold your funds and manage transactions. They require identity verification, offer customer support, and provide high liquidity. Decentralized exchanges (DEX) like Uniswap operate on blockchain networks where you retain control of your private keys and funds. DEXs don't require identity verification but have lower liquidity and higher transaction fees. CEXs are easier for beginners but carry counterparty risk if the exchange fails. DEXs offer more privacy and security but require technical knowledge. Most traders use both: CEXs for convenience and DEXs for decentralization. Choose based on your priorities regarding ease-of-use, security, and regulatory compliance.