Decentralized bitcoin exchanges are not operated by a central authority. These exchanges allow peer-to-peer trading of digital currencies without the need for an exchange authority to facilitate transactions. Decentralized exchanges provide a number of advantages. First of all, many cryptocurrency users find that decentralized exchanges better match the decentralized structures of most digital currency. Many decentralized exchanges request less personal information from their members than other types of exchanges. Also, if users transfer their assets directly to other users, it eliminates the need to transfer those assets to the exchange, thus reducing the risk of theft from piracy or other forms of fraud. However, decentralized exchanges may be less susceptible to price manipulation and other fraudulent activities. On the other hand, decentralized exchanges (like all cryptocurrency exchanges) should maintain the user's investment level in the form of transaction volume and liquidity. All decentralized exchanges haven’t achieved these important fundamental qualities. Also, users of a decentralized exchange have fewer complaints if they become victims of fraud than those who benefit from exchanges with central authorities.