Exchanges match buyers and sellers of digital assets. Some are centralized companies; others are protocols running on-chain order books or liquidity pools.

Centralized exchanges (CEX)

CEXs often hold customer assets in omnibus wallets, perform KYC, and maintain order books off-chain. Users face platform solvency, security, and jurisdictional rules.

Decentralized exchanges (DEX) on XRPL

XRPL includes native DEX features where offers and trades settle on . Users typically retain control of keys but must understand partial fills, pathfinding, and issuer risk for tokens.

Due diligence checklist

  • Regulatory status in your region (informational only—not legal advice).
  • Withdrawal policies and proof-of-reserves claims (verify critically).
  • Insurance or compensation programs, if any.

Summary

Exchanges are tools, not guarantees. Pair platform research with personal custody education.

References