CEX vs DEX  Which is Better  BLUM is a Hybrid Crypto Exchange  Blum Academy #blum #crypto #airdrop #bitcoin - video Dailymotion

CEX vs DEX  Which is Better  BLUM is a Hybrid Crypto Exchange  Blum Academy #blum #crypto #airdrop #bitcoin

Transcript

00:00Hi, today we'll discuss the pros and cons of centralized CEX and decentralized DEX exchanges.

00:14We'll also see how Blom's hybrid approach combines the best of both worlds.

00:20Centralized exchanges, CEX, are platforms managed by a single organization, acting as

00:24intermediaries between buyers and sellers, they handle user funds and facilitate trades

00:28through internal systems.

00:31The advantages of CEX are their convenience and simplicity, high liquidity and customer

00:35support.

00:36On the other hand, the disadvantages of CEX are increased hacking risk, third-party control,

00:41regulation and censorship.

00:43Decentralized exchanges, DEX, are platforms where trading occurs directly between users

00:47without the need for a central authority or intermediary.

00:49These exchanges operate through smart contracts on blockchain networks, allowing users to

00:53trade cryptocurrencies peer-to-peer in a trustless manner.

00:56The advantages of DEX are security, privacy and censorship resistance.

01:00The disadvantages of DEX are their higher complexity, low liquidity and lack of customer

01:04support.

01:06Blom's hybrid approach combines the best features of CEX and DEX.

01:10The main feature of the hybrid approach is its deep integration with the Telegram messenger,

01:14which currently has billions of users.

01:15Thanks to this approach, users can perform various cryptocurrency operations directly

01:19within Telegram using a simple and convenient platform.

01:22This solution significantly reduces the number of steps required to purchase tokens to just

01:26a few actions.

01:28One of the key elements of the hybrid approach is the use of multiparty computation, MPC.

01:33This technology allows users to create their own wallets, providing a high level of security

01:37without the need to trust centralized exchanges for fund storage.

01:41Users' funds remain under their control, reducing the risk of loss or theft of assets.

01:45Users also benefit from transaction automation.

01:48To simplify the process of purchasing tokens and paying gas fees, the system automatically

01:52converts the users' funds into the required tokens and covers the necessary fees.

01:57This allows users to perform operations quickly and without the complexities associated with

02:01the technical aspects of blockchains.

02:04Overall, the benefits of Blom's hybrid approach are its convenience, security automation,

02:09regulatory compliance, marketing and user engagement.

02:12In conclusion, we can summarize that Blom's hybrid approach combines the best features

02:16of both centralized and decentralized systems.

02:20To learn more, be sure to subscribe to our channel, like this video and leave comments.

02:24Thanks for watching, see you next time!