# How Does a Centralized Exchange (CEX) Price Feed Differ in Risk from a DEX Feed? ⎊ Path

**Published:** 2025-12-05
**Author:** Greeks.live
**Categories:** Path

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## How Does a Centralized Exchange (CEX) Price Feed Differ in Risk from a DEX Feed?

A CEX price feed is determined by its internal order book and is generally more resistant to single-transaction manipulation than a low-liquidity DEX. However, a CEX feed is subject to counterparty risk, regulatory risk, and potential manipulation by the exchange itself.

A DEX price feed, while more susceptible to flash loan attacks, is transparent and decentralized, but only as robust as its pool liquidity.

- [How Does a ‘Liquidity Pool’ in DeFi Differ from a Centralized Exchange Order Book?](https://learn.greeks.live/path/how-does-a-liquidity-pool-in-defi-differ-from-a-centralized-exchange-order-book/)

- [How Does a Decentralized Exchange (DEX) Handle Slippage Compared to a Centralized Exchange (CEX)?](https://learn.greeks.live/path/how-does-a-decentralized-exchange-dex-handle-slippage-compared-to-a-centralized-exchange-cex/)

- [What Is the Concept of a “Circuit Breaker” in the Context of CEX Price Feeds?](https://learn.greeks.live/path/what-is-the-concept-of-a-circuit-breaker-in-the-context-of-cex-price-feeds/)

- [What Is the Role of an Order Book in Preventing or Facilitating Front-Running on a Centralized Exchange (CEX)?](https://learn.greeks.live/path/what-is-the-role-of-an-order-book-in-preventing-or-facilitating-front-running-on-a-centralized-exchange-cex/)

- [What Are the Key Differences between a CLOB (Central Limit Order Book) and an AMM DEX for Derivatives?](https://learn.greeks.live/path/what-are-the-key-differences-between-a-clob-central-limit-order-book-and-an-amm-dex-for-derivatives/)

- [How Can an Attacker Manipulate a CEX’s Price Feed without a Flash Loan?](https://learn.greeks.live/path/how-can-an-attacker-manipulate-a-cexs-price-feed-without-a-flash-loan/)

- [What Is the Fundamental Difference between an Order Book and an Automated Market Maker (AMM)?](https://learn.greeks.live/path/what-is-the-fundamental-difference-between-an-order-book-and-an-automated-market-maker-amm/)

- [How Does a Decentralized Exchange (DEX) Differ from a Centralized Exchange (CEX) in Risk Profile?](https://learn.greeks.live/path/how-does-a-decentralized-exchange-dex-differ-from-a-centralized-exchange-cex-in-risk-profile/)

## Glossar

### [Price Feed](https://learn.greeks.live/area/price-feed/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Feed ⎊ A price feed is a continuous stream of real-time pricing data from various sources used to determine the fair value of an asset.

### [Centralized Exchange](https://learn.greeks.live/area/centralized-exchange/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Intermediary ⎊ This refers to a regulated or semi-regulated entity that acts as a trusted third party, facilitating the custody of client assets and the matching of buy and sell orders for cryptocurrency and associated derivatives on a centralized order book.

### [CEX Price Feed](https://learn.greeks.live/area/cex-price-feed/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)

Aggregation ⎊ A CEX Price Feed represents a consolidated market data stream originating from multiple centralized cryptocurrency exchanges, providing a unified view of asset pricing.

## Discover More

### [What Are the Key Differences between an Order Book DEX and an AMM DEX for Options Trading?](https://learn.greeks.live/path/what-are-the-key-differences-between-an-order-book-dex-and-an-amm-dex-for-options-trading/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Are the Key Differences between an Order Book DEX and an AMM DEX for Options Trading?](https://learn.greeks.live/wp-content/uploads/2025/10/Intertwined-Quantum-Digital-Asset-Hedging-Mechanism-Through-Option-Strike-Price-Boundaries.webp)

Order books offer precise pricing and matching; AMMs offer continuous liquidity against a pool and a formula.

### [What Is the Difference between a Time-Weighted Average Price (TWAP) and a Spot Price Feed?](https://learn.greeks.live/path/what-is-the-difference-between-a-time-weighted-average-price-twap-and-a-spot-price-feed/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is the Difference between a Time-Weighted Average Price (TWAP) and a Spot Price Feed?](https://learn.greeks.live/wp-content/uploads/2025/10/Symmetric-Bifurcation-Visualization-of-Cryptocurrency-Volatility-Surface-and-Option-Gamma-Exposure-Dynamics.webp)

Spot price is the current price; TWAP is the average price over time, used to mitigate manipulation.

### [How Does a 'Price Feed Aggregator' Help Defend against a Single-Point Manipulation?](https://learn.greeks.live/path/how-does-a-price-feed-aggregator-help-defend-against-a-single-point-manipulation/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does a 'Price Feed Aggregator' Help Defend against a Single-Point Manipulation?](https://learn.greeks.live/wp-content/uploads/2025/10/Angular-Bifurcation-Of-A-Digital-Asset-Hinge-Mechanism-Displaying-Polarization-Filters.webp)

Aggregators average prices from multiple sources, making it too costly to manipulate all of them simultaneously.

### [Why Is It Necessary to Use a Multi-Exchange Average (Index Price) Instead of a Single Exchange's Spot Price?](https://learn.greeks.live/path/why-is-it-necessary-to-use-a-multi-exchange-average-index-price-instead-of-a-single-exchanges-spot-price/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![Why Is It Necessary to Use a Multi-Exchange Average (Index Price) Instead of a Single Exchange's Spot Price?](https://learn.greeks.live/wp-content/uploads/2025/10/Geometric-Intersection-of-Palladium-Strands-and-Translucent-Hedging-Structures-in-Digital-Asset-Volatility-Modeling.webp)

To prevent market manipulation by using a robust, representative average of the asset's true spot price across multiple venues.

### [How Does the Execution Risk in a Mempool-Based DEX Differ from a CLOB-based Options Exchange?](https://learn.greeks.live/path/how-does-the-execution-risk-in-a-mempool-based-dex-differ-from-a-clob-based-options-exchange/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does the Execution Risk in a Mempool-Based DEX Differ from a CLOB-based Options Exchange?](https://learn.greeks.live/wp-content/uploads/2025/10/Symmetrical-Obscured-Digital-Asset-Lens-Array-Reflecting-Illiquidity-Premium-Structures.webp)

DEX risk is MEV/front-running due to Mempool transparency; CLOB risk is system failure and mitigated counterparty risk.

### [What Is the Difference between a "Mark Price" and a "Last Traded Price" on a Derivatives DEX?](https://learn.greeks.live/path/what-is-the-difference-between-a-mark-price-and-a-last-traded-price-on-a-derivatives-dex/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![What Is the Difference between a "Mark Price" and a "Last Traded Price" on a Derivatives DEX?](https://learn.greeks.live/wp-content/uploads/2025/10/Precision-Engineering-Aesthetic-Applied-to-Decentralized-Finance-Derivative-Execution-Mechanism-Interface.webp)

Last traded price is the most recent trade; mark price is a stable, oracle-driven average used for liquidations and P&L.

### [How Does a CEX's Self-Clearing Differ from a Regulated CCP?](https://learn.greeks.live/path/how-does-a-cexs-self-clearing-differ-from-a-regulated-ccp/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Does a CEX's Self-Clearing Differ from a Regulated CCP?](https://learn.greeks.live/wp-content/uploads/2025/10/Cryptographic-Atomic-Custody-Orbits-a-Singular-Black-Hole-Derivative-Settlement-Node.webp)

A CEX lacks the external regulatory oversight, capital buffers, and standardized default procedures of a regulated CCP.

### [Why Is a "Synthetic" Asset's Price Particularly Vulnerable If It Relies Only on an AMM Feed?](https://learn.greeks.live/path/why-is-a-synthetic-assets-price-particularly-vulnerable-if-it-relies-only-on-an-amm-feed/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![Why Is a "Synthetic" Asset's Price Particularly Vulnerable If It Relies Only on an AMM Feed?](https://learn.greeks.live/wp-content/uploads/2025/10/Streamlined-Atomic-Structure-Encapsulating-Synthetic-Asset-Volatility-via-Quantum-Options-Hedging-Mechanisms.webp)

Manipulating a synthetic asset only requires skewing its single, local AMM pool, which can easily break its peg to the real asset.

### [How Do Centralized Exchanges (CEX) and Decentralized Exchanges (DEX) Typically Compare in Terms of Bid-Offer Spreads?](https://learn.greeks.live/path/how-do-centralized-exchanges-cex-and-decentralized-exchanges-dex-typically-compare-in-terms-of-bid-offer-spreads/?utm_source=crypto.greeks.live&utm_medium=referral&utm_campaign=satellite)
![How Do Centralized Exchanges (CEX) and Decentralized Exchanges (DEX) Typically Compare in Terms of Bid-Offer Spreads?](https://learn.greeks.live/wp-content/uploads/2025/10/Visualizing-High-Frequency-Algorithmic-Trading-Propeller-Dynamics-Within-Decentralized-Finance-Protocols.webp)

CEXs (order book, market makers) generally have tighter spreads; DEXs (AMMs) use pools, sometimes resulting in wider or more variable spreads.

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**Original URL:** https://learn.greeks.live/learn/how-does-a-centralized-exchange-cex-price-feed-differ-in-risk-from-a-dex-feed/
