What are the risks associated with using a Decentralized Exchange?

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King Belieal

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• May 20, 2024

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Everywhere I turn to read about crypto exchanges, people are warning against having to use Decentralized exchanges, ans they are saying it is risky to use.

What are the disadvantages of having to use a decentralized exchange?

 

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Fidelia

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When you use a decentralized exchange, no one monitors or regulates the trade. There is a higher risk of getting scammed with decentralized exchanges.

 

Golden9

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The risks of a decentralized exchange are not really more than that of a centralized exchange. The greatest risk is loosing your assets if you ever happen to lose your private key.

 

Niyi Briggs

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A decentralised exchange is very risky to work with. You might lose your traded assets easily if you don't streamline your trade to favour you.

 

Golden9

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There are quite a lot, foremost being that most decentralized exchanges are more difficult to navigate for beginners. Even seasoned users can make a mistake that costs them money occasionally.

 

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Clandestine

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Golden9 said:

There are quite a lot, foremost being that most decentralized exchanges are more difficult to navigate for beginners. Even seasoned users can make a mistake that costs them money occasionally.

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And when those mistakes happen, there is no one that can really offer assistance like a customer support.