The US Securities and Exchange Commission (SEC) has adopted regulations for firms that act as dealers to register with the Commission. A lawyer explained that in a report to Decentralized Finance (DeFi) with securities regulatory rules, which clearly require Liquidity Providers (LPs) of Decentralized Exchanges (DEX) to have at least $50 million in assets.
In the world of cryptocurrency and blockchain technology, decentralized exchanges (DEXs) stand out as a revolutionary force reshaping how digital assets are traded. Unlike traditional exchanges, which rely on centralized authorities to facilitate transactions and custody assets, decentralized exchanges operate on blockchain networks, allowing users to trade directly with one another without the need for intermediaries.
Decentralized Exchange (DEX) is a peer-to-peer (P2P) marketplace that brings together cryptocurrency buyers and sellers. Decentralized platforms are non-custodial, meaning users are in control of their private keys when transacting on a DEX platform, unlike a centralized exchange (CEX).