Trading on cryptocurrency exchanges, including both centralized (CEX) and decentralized (DEX), can be an essential part of investing and managing digital assets. In this article, we will go into detail about how to trade on two popular types of exchanges: Cex (like Binance and OKX) and Dex (like Uniswap).
Trading on Cex (Binance, OKX)
Step 1: Register and verify account
- To start trading on Binance or OKX, you need to create an account. Go to the exchange’s official website, click “Register” and fill in the necessary information.
- After registering, you will need to verify your identity to increase your transaction and withdrawal limits. This process typically requires you to provide a photo of your passport or ID card.
Step 2: Deposit money into your account
- Log in to your account and go to “Wallet” to deposit funds. Select the currency you want to deposit and follow the instructions to complete the transfer.
Step 3: Make the transaction
- Go to “Markets” to find the currency pair you want to trade. For example, if you want to trade BTC/USD, find this pair in the list and click on it.
- Select order type: Market (buy/sell immediately at market price) or Limit (set buy/sell price).
- Enter the amount of cryptocurrency you want to buy or sell and confirm the transaction.
Trade on Dex (Uniswap)
Step 1: Prepare a compatible wallet
- To trade on Uniswap, you need to have an Ethereum wallet like MetaMask installed on your browser.
- Transfer crypto to your wallet. Make sure you have enough ETH to pay gas fees for the transactions.
Step 2: Connect your wallet to Uniswap
- Go to the Uniswap website and click “Connect to a wallet” to connect your wallet to Uniswap.
Step 3: Select token and make transaction
- Select the token you want to exchange from the dropdown list. Enter the amount of tokens you want to exchange and select the token you want to receive.
- Review the exchange rate and transaction fee, then click “Swap” to make the transaction.
- Confirm the transaction on your wallet and wait for the transaction to be processed on the blockchain network.
Note When Trading
- Safety: Always use the official link of the exchange and never give your private key or recovery phrase to anyone.
- Trading Fees: Be aware of trading fees on Cex exchanges and gas costs on Dex, as it can affect your total trading costs.
- Price volatility: Cryptocurrencies can be highly volatile. Always consider the risks before investing.
Trading cryptocurrencies on Cex and Dex exchanges can open up many opportunities but also requires you to be familiar with the tools and understand the risks involved. Hopefully with this guide, you will be able to start trading confidently and safely.
