Centralized exchange (CEX) is an online platform that is a website or application that allows you to perform transactions for the buy and sale of cryptocurrencies, both for other cryptocurrencies and fiat.
When trading on centralized exchanges, users entrust their assets to a third party — an exchange.
The main disadvantage of such exchanges is their vulnerability to attacks. However, using an intermediary to trade assets removes the responsibility for the safety of users and puts it on the platform.
Typically, centralized exchanges allow you to use a wide range of financial instruments.