FreeWill Observes: How the Hybrid Trading Model Balances Liquidity, Transparency, and Self-Custody
Denver, Colorado, United States, 20th Nov 2025 – As the cryptocurrency market continues to evolve, the regulatory process of the industry is also accelerating, and global regulatory frameworks are gradually being refined. At the same time, the boundary between decentralized finance (DeFi) and centralized finance (CeFi) is becoming increasingly blurred. In recent years, more and more trading platforms have begun exploring hybrid trading models that combine the strengths of CEXs and DEXs, aiming to provide users with greater liquidity, enhanced transparency, and an optimized self-custody experience. As an active promoter of this innovative model, the FreeWill platform shares its observations on current market trends and its in-depth analysis of the hybrid trading model.
First, from an industry trend perspective, regulation has become the main direction of development in the global crypto market. Regulatory policies across different countries are being implemented gradually, requiring trading platforms and crypto products to meet strict compliance standards to ensure market stability and security. In addition, the tokenization of real-world assets (RWA) is emerging as a major trend: integrating traditional assets with digital assets provides investors with a wider range of investment options. Meanwhile, the rise of Layer 2 (L2) solutions and cross-chain interoperability further improves the scalability and interconnectivity of blockchain networks, providing strong liquidity support for decentralized trading platforms.
In this context, the hybrid trading model has emerged naturally and quickly gained market attention. Compared with traditional models that are purely CEX or purely DEX, the hybrid model combines the advantages of both. CEXs rely on powerful matching engines and deep market liquidity to offer fast and efficient trading experiences but often face challenges such as asset centralization and limited transparency. On the other hand, DEXs offer high levels of self-custody and transparency, as users maintain control over their assets, although they are usually weaker in liquidity and market depth. By combining CEX liquidity with DEX transparency and self-custody, the hybrid model aims to strike a balance between both extremes, providing users with a more flexible and secure trading environment.
Regarding the needs of retail and institutional users, the advantages of the hybrid model are particularly evident. For retail users, a hybrid platform can offer a more accessible trading experience: through integrated account management, users can enjoy the transparency and security of DEX-style self-custody without sacrificing liquidity. For institutional investors, the platform can offer more segmented product designs and tiered risk management, helping them select the most suitable investment products according to their risk profiles, while also providing professional compliance support to meet regulatory requirements.
For the Spanish market, FreeWill provides several recommendations, especially within the current regulatory environment. First, all investors should follow the principle of prudent entry. Although the cryptocurrency market in Spain is full of opportunities, its volatility remains high; investors must make rational decisions and avoid blindly following market trends. Second, understanding the tax and regulatory framework is essential for every investor. Spain’s tax policy on cryptocurrencies is being progressively defined; when participating in market activities, investors must know and follow the applicable regulations to avoid legal risks caused by omissions or negligence. Finally, security education is essential. As the market matures, cyberattacks and scams become more sophisticated and harder to detect. Users in the Spanish market should strengthen their security awareness, use proper protection tools, and ensure the safety of their funds.
In summary, thanks to its strengths in liquidity, transparency, and self-custody, the hybrid trading model is gradually becoming an important force in the cryptocurrency market. As one of the leaders of this model, FreeWill will continue promoting compliance development and is committed to providing users worldwide with safer, more transparent, and more accessible cryptocurrency trading services. To help users better understand this trend, FreeWill has launched an annual insights notebook that analyzes the latest market dynamics and future development trends in detail. We invite you to download it and explore this information as we move together toward the future of crypto finance.
For more information, visit the official website freewillex.com or download the official app for Android/iOS.
Android: https://psce.pw/8b7smy
iOS: https://apple.freewillex.com
Company Details
Organization: Freewill Exchange Ltd
Contact Person: Team Freewill Exchange Ltd
Website: https://www.freewillex.com
Email: Send Email
Address: 1144 15th St, Denver, CO 80202, US
City: Denver
State: Colorado
Country: United States
Release Id: 20112537397