Exchange (Digital Currency Exchange)
Also called Digital Currency Exchanges (DCE) a cryptocurrency exchange pertains to a business that allows its clients to trade digital coins for other assets which include fiat money and of course, other coins.
A Digital Currency Exchange may also be a market maker. In this light, it usually takes the bid-ask spreads as a transaction commission. It may also just charge fees.
Despite its nature, a DCE may also come in the form of a brick-and-mortar business apart from being a strict online business. If a DCE has a brick-and-mortar office, it exchanges traditional payment methods alongside digital currencies. If the proprietors choose to make it a purely online business, the DCE exchanges electronically transferred money and digital currencies. It is common practice for these DCEs to operate outside Western countries so as to evade regulation and prosecution.