Exchange

Cryptocurrency exchanges are online platforms or intermediaries used to trade digital assets. In comparison with traditional exchanges, which are centralised entities, cryptocurrency exchanges can either be a centralised exchange (CEX) or a decentralised exchange (DEX).

After a user opens an account with a cryptocurrency exchange, they can buy or sell digital assets like Bitcoin (BTC), Ethereum (ETH), Cardano (ADA), or Dogecoin (DOGE), for example. Depending on the exchange, these cryptocurrencies can be exchanged using fiat currencies like the US dollar or another form of cryptocurrency (altcoins).

Some exchanges offer a variety of products and services, ranging from financial services to payment solutions, while others simply facilitate the trading of digital assets. However, the more established an exchange, the more likely it is to offer a variety of digital assets and services like decentralised finance (DeFi), non-fungible token (NFT) trading, and access to decentralised apps (dapps).

Learn more about the Crypto.com Exchange here.

Key Takeaway

A cryptocurrency exchange, also known as a digital currency exchange, is a platform that facilitates the trading of cryptocurrencies.

Related Words

Market Cap

Market cap refers to the total dollar value of a cryptocurrency in circulation. It is calculated by multiplying the token price by the total number of tokens.

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Circulating Supply

Circulating supply is the amount of a cryptocurrency currently on the market. The number can grow or shrink for various reasons.

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TradFi

Traditional finance, or TradFi, is a conventional approach to financial activities that relies on established institutions, such as banks, insurance companies, investment companies, and stock exchanges.

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Collection Value

Collection Value is the aggregated monetary value of all the NFTs in a collection.

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NFT Sales Volume Index (7D)

The NFT Sales Volume Index (7D) shows the price and number of editions of a non-fungible token (NFT) collection sold over a 7-day (7D) period.

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Crypto Asset

Crypto assets are transferable digital representations of value made possible by cryptography and blockchain technology.

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24H Volume

24H Volume shows the number of a cryptocurrency’s tokens traded over a 24-hour time frame.

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7D

7D, short for seven days, refers to price data that has been collected for a cryptocurrency over a 7-day period.

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Floor Price

Floor Price is equal to the lowest-priced NFT in a collection.

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Gas (ETH)

Gas is the cost of a transaction on the Ethereum network.

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