Aster News Today: The 2025 Crypto Exchange Showdown: Centralized Power Faces Off Against Decentralized Progress

In 2025, the cryptocurrency exchange industry is undergoing a significant transformation as centralized (CEX) and decentralized (DEX) platforms compete for dominance, with new strategies and performance indicators redefining the sector. Kraken, a prominent U.S. CEX, announced a 114% increase in revenue year-over-year, reaching $648 million in the third quarter of 2025. This growth was fueled by a series of acquisitions and growing expectations for an upcoming IPO, according to

. At the same time, DEXs such as DEX are rolling out innovative features to draw in traders and support new projects. One example is Rocket Launch, a system that incentivizes users based on their trading activity and liquidity contributions, as detailed in .

The momentum behind CEXs is largely attributed to their scalable infrastructure and ability to form institutional alliances. Kraken’s trading volume soared to $561.9 billion in the third quarter, marking a 106% rise from the previous year, and its registered user count climbed to 5.2 million, according to Lookonchain. Analysts at JPMorgan pointed out that

, another major CEX, stands to gain from its Base token—a layer 2 blockchain—potentially reaching a $34 billion valuation. Strategic initiatives like integrating DEX features and monetizing them could boost Coinbase’s share price by 14% by the end of 2026, as projected in a .

On the other hand, DEXs are responding to increased competition by prioritizing innovation and community-led expansion. The Rocket Launch initiative from Aster DEX links user rewards to trading volume, creating a cycle where liquidity and project exposure mutually enhance each other, as highlighted by Blockonomi. This method differs from the conventional DEX approach, which often depends on speculative trends. JPMorgan observed that DEXs now pose less of a threat to CEX profits, partly because Coinbase has incorporated DEX capabilities into its mobile app, aiming to provide users access to “every asset onchain,” according to the JPMorgan analysis.

The ongoing competition between CEXs and DEXs mirrors larger trends in the market. Centralized exchanges benefit from regulatory certainty, intuitive user experiences, and deep liquidity, allowing them to capture the majority of trading activity. In contrast, decentralized platforms emphasize organic expansion through token incentives and active communities. Kraken’s strong financial results highlight the continued appeal of CEXs, especially where trust and compliance are paramount, as reported by Lookonchain. Nevertheless, DEXs like Aster are proving that creative reward systems and cross-platform integration can establish unique positions, particularly for traders interested in early-stage tokens, as noted by Blockonomi.

Looking ahead, the future balance between CEXs and DEXs will likely depend on how well each can respond to evolving user demands and broader economic shifts. JPMorgan’s research indicates that CEXs with advanced infrastructure and well-developed token ecosystems—such as Coinbase’s Base blockchain—may outperform competitors by leveraging decentralized technology while retaining centralized oversight of the user experience, as concluded in the JPMorgan analysis.