The cryptocurrency industry is undergoing a phase of qualitative changes associated with the convergence of centralized (CEX) and decentralized (DEX) platforms. This was stated by Emily Bao, head of the spot division at Bybit, founder of Byreal, and consultant at Mantle. According to her, this convergence is creating new innovative opportunities for market participants and allows users to combine the advantages of both approaches.
This is reported by Finway
Advantages of Centralized and Decentralized Exchanges
Emily Bao emphasized that CEX remains the backbone of the crypto industry, controlling the majority of active users and providing the deepest liquidity in the market. At the same time, DEX is associated with transparency and the open-source ideas that underpin blockchain technologies.
“Centralized exchanges (CEX) remain the cornerstone of the crypto industry, controlling the lion’s share of active users and providing the deepest and most reliable liquidity in the market. However, perception matters. CEX operates within a private infrastructure, while decentralized exchanges (DEX) are seen as embodiments of transparency and the open-source principle that has defined blockchain technology from the start.”
Bao is confident that the boundaries between CEX and DEX are gradually blurring, paving the way for new innovations. She noted that users now have the opportunity to simultaneously engage with DeFi projects and protocols through centralized exchanges, as well as utilize CeDeFi products based on decentralized protocols.
New Opportunities for Users and the Industry
According to Emily Bao, the current stage of cryptocurrency market development is a turning point for all participants. Openness to convergence allows users to benefit from both centralized and decentralized services, fostering innovation and enhancing efficiency in working with digital assets.
Bybit, one of the leading cryptocurrency exchanges in the world with over 70 million users, is actively implementing new approaches to openness and ease of use on its platform. Since its founding in 2018, the company has aimed to create a more level playing field for all ecosystem participants and promote the integration of decentralized solutions into the global crypto infrastructure.