Perp DEXs Are Growing Fast, but Do They Really Threaten CEXs? MEXC COO Explains
MEXC COO Vugar Usi Zade explains that while Perp DEXs are growing, they currently complement, rather than threaten, CEXs due to liquidity and execution gaps.Summary
Perpetual decentralized exchanges (Perp DEXs) have seen rapid growth, with the DEX-to-CEX perps ratio rising significantly, driven by factors like regulatory pressure on CEXs and improved DEX user experience. However, MEXC COO Vugar Usi Zade argues that this trend reflects an evolution in trader behavior rather than a full paradigm shift, as centralized exchanges (CEXs) still dominate derivatives volume by a large margin.
Usi Zade highlights that Perp DEXs' main advantages are transparency—allowing users to verify positions in real-time—and permissionless access. Conversely, DEXs lag in deep liquidity, execution quality, and risk management, as their rigid liquidation systems cannot match the intervention capacity of CEXs. Furthermore, institutional clients have not broadly migrated to DEXs.
The COO predicts a future of coexistence where DEXs serve specific needs, expecting the DEX share of volume to reach a sustainable 15-20% by 2026. He suggests the market will move toward hybridization, balancing DEX transparency with CEX liquidity, while cautioning against liquidity fragmentation.
(Source：BeInCrypto)