Diffrences Between Centralised, Decentralied, Hybrid Cryptocurrency Exchanges.
Centralized Exchanges (CEXes)
Place where buyers meet sellers on centralized platforms. Thus someone handles the crypto and is responsible for it. They offer both crypto to crypto trading and fait to crypto gateways.
CEXes are easy to use, with some just requiring email registration, password and one can start trading. CEXes offer various trading pairs and other additional services such as staking, saving opportunities, services such as DeFi and Initial exchange offerings(IEOs).
However with centralized exchanges , one is not in control of private keys which pose a threat due to slight chances of being hacked such as with Mt. Gox and coincheck. Examples of centralized exchanges include Huobi, Coinbase and Binance.
Service plartforms which connect buyers and sellers who want to exchange their tokens. No company is incharge of the assets. Transections are automated using smart contracts and decentralised aplications. Most DEXes use ethereum and its smart contracts. Interoperable plartforms such as Polkadot and Cosmos might be used to upgrade DEXes on DeFi interoperable plartfoerms. However they have lower speed, small liquidity , low trading volume which makes them hard to use. Examples are Uniswap and Binance DEX.
Hybrid Crypto Exchanges
Simply said its an advancement from the limitations of DEX and CEX which is a combination of fast transection speed such as in centralized platforms and holding of private keys. They are still under development. Example include Qurrex exchange and Nah exchange.
HEX and CEX are good for purchasing crypto with fait and enables trading of various altcoins whilst DEX are limited to ERC-20 tokens. Centralized exchanges can be used when traders want to handle their taxes.