Do I need to register on a DEX?

No. A DEX has no accounts and no KYC. You connect a wallet you already control and sign transactions yourself. This is also why a DEX cannot help you if you lose your seed phrase or send to the wrong address.

Are DEXs safer than centralized exchanges?

Different risks. DEXs eliminate custody risk (no exchange can freeze or lose your funds) but expose you to smart-contract bugs, malicious approvals, and your own mistakes. CEXs handle execution safely but can fail (FTX, Mt. Gox). For active DeFi use DEXs; for fiat on/off ramps and very large balances, CEXs still have a role.

What is slippage and what number should I set?

Slippage is the maximum price movement you accept between submitting the transaction and execution. 0.5% is a safe default for ETH ↔ USDC type swaps. 1–3% for typical altcoins. Anything above 5% is signaling that the pool is too thin or the token has a transfer tax — proceed with extreme caution.

Why did my transaction fail and I still paid gas?

Gas is paid to validators for executing the transaction, regardless of outcome. Common failure causes: slippage tolerance was exceeded, the token has a hidden transfer tax, the price moved between submission and execution, or the contract reverted. The gas fee is the cost of the failed attempt — only the swap reverts.

What is a token approval and why does it matter?

An approval grants a smart contract permission to move a specific token from your wallet. Unlimited approvals are convenient but mean the contract can drain that token from your wallet at any future time. Periodically revoke unused approvals at revoke.cash — this is the single most effective defense against drainer attacks.

How do I know if a DEX is the real one?

Bookmark the official URL and never click ads or DM links. Verify the URL in your address bar before connecting your wallet. Check the project's official Twitter or documentation for the canonical link. When in doubt, navigate via aggregators like DefiLlama which list verified DEX URLs.

How to Use a DEX | Crypto Market Watch

A beginner-friendly guide to using a decentralized exchange (DEX). Learn how to connect a wallet, swap tokens on Uniswap or PancakeSwap, manage slippage and gas, and avoid the most common mistakes.

Overview

This article is part of Crypto Market Watch's free crypto learning library. It explains the topic in plain language so beginners and experienced users alike can quickly understand the concept and how it applies to real cryptocurrency markets.

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