This is a primer on how to make cryptocurrency transactions via peer-to-peer (P2P) platforms like Binance P2P.
To understand how Binance P2P works, we’ll first go into what P2P transactions are, where you can execute them, and finally, what you can get from trading on Binance P2P.
What is Peer-to-Peer Trading?
There are many ways to trade cryptocurrencies. The most common practice is to use centralized exchanges like Binance.com and buy or sell crypto at certain price points against another cryptocurrency or a local currency supported on the platform. Alternatively, you can transact with your fellow crypto holders and swap your assets without needing to track charts and orders.
This second scenario is what we call P2P trading. In the early days of crypto, there weren’t many options to buy and sell crypto. This forced the people interested in buying or selling crypto to meet with other people in person or through online communities to barter their digital assets in exchange for other assets, like cash, vouchers, goods, or other cryptos. Even with the emergence of cryptocurrency exchanges, some traders remain using P2P despite the risks involved with in-person deals, such as threats of violence, theft, or scams.
To make P2P trading safer, various online platforms developed a safer way to facilitate P2P deals. One of these solutions is Binance P2P.
What is Binance P2P?
Binance P2P is the platform we built in late 2018 to enable P2P Bitcoin exchange transactions using local currencies. Three years later, the platform supports buying and selling for six cryptocurrencies – BTC, ETH, BNB, BUSD, DAI, and USDT – using 55 local currencies via 150+ payment channels around the world.
Last year, Binance P2P processed $7 billion worth of transactions made through 3.8 million orders, with daily volumes reaching as high as $54 million. P2P users on Binance grew sevenfold compared to 2019, and they had plenty of options, with more than 2,000 P2P merchants serving their needs worldwide.
Aside from growing its selection of local currencies, payment channels, and global merchants, Binance P2P recently launched new features, such as:
1. Ad Posts. P2P users can post trade advertisem*nts to buy and sell crypto assets using fiat currencies with zero ad fees. Initially offered on the Binance App in May 2020, this feature was extended to the Binance.com website in September 2020. Advertisers can also share their deals on social media and elsewhere on the Internet starting December 2020.
2. Cash-in-Person Transactions. This allows users to directly buy and sell cryptocurrencies through their selected ads and then give or receive cash for those transactions offline in person.
3. Comment Feature. Launched in January 2021, this new feature allows users to rate their trading experience and review their trade partners when they complete a P2P order.
What Are the Advantages of Binance P2P?
Among the many P2P solutions offered across the crypto market, the Binance P2P Bitcoin exchange offers several competitive features and benefits:
1. Zero Fees. One of the biggest advantages of Binance P2P is its absence of fees. While many P2P platforms get a cut out of your transactions, you don’t have to worry about that when it comes to Binance P2P. You get what you pay for, with zero fees.
2. Multiple Payment Methods. With more than 150 payment methods available on Binance P2P, you can choose your favourite way to send or receive money for your trades.
3. Escrow Service. As one of the several safeguards on the platform, Binance P2P has a holding mechanism for crypto funds that are involved in any pending transaction. This mechanism prevents incidents of theft or scam by adding another layer of trust, thus preventing malicious actors from stealing your money or crypto without completing their part of the trade.
4. High Liquidity. As the official P2P channel of the world’s biggest exchange by trading volume, Binance P2P was able to secure large volumes for both buy and sell transactions. The platform has already processed more than $7 billion worth of transactions, which indicates a high level of liquidity.
5. Integration with the Binance Ecosystem. Binance P2P’s advantages extend beyond trading. As a major feature of the Binance ecosystem of services, you get direct access to Binance’s products and services as soon as you buy crypto via P2P. Most of the other P2P platforms operate separately from major exchanges and crypto services.
6. High Completion Rates. We set high standards for our merchants. They have to complete transactions quickly and with a high satisfaction rate to retain their access to the platform. With this, we help provide peace of mind to our users.
7. Fast Transactions. P2P merchants can set their transaction timers to as fast as 15 minutes. This means that you can complete a secure and fast P2P trade with selected merchants in 15 minutes or less.
8. Global and Local Promotions. The Binance P2P team regularly launches promotions and incentives for both new and existing customers where you can increase your P2P earning or win free crypto. Combine that with zero fees, and there’s a big chance that Binance P2P provides you with the best P2P deals anywhere.
9. Community and Customer Support. Binance has one of the largest and most supportive crypto communities in the world. It also has a global customer support network that handles customer requests in multiple languages. This level of collective effort bodes well for the level of service you can get from Binance P2P.
10. Growth Prospects. As a global platform, Binance is always on the lookout for opportunities to grow Binance P2P and make it available in as many areas in the world as possible. This will increase the trading volume and add more trading opportunities for P2P traders.
There are more advantages that come with using the Binance P2P platform, and we’re coming up with more features and solutions that will make your P2P experience more rewarding.
How to Start Using Binance P2P?
Before you can make your first transaction on Binance P2P, you must register on Binance and complete your Identity Verification process. Our P2P merchants undergo a screening process where we also verify their identity and business. By verifying all Binance P2P users, we are able to provide a layer of security for your transactions.
Once the verification process is complete, it only takes a few clicks to make your first transaction. Read the following FAQ items for more information:
How to Buy Crypto Through Binance P2P on the Website and the App.
How to Sell Crypto Through Binance P2P on the Website and the App.
How to Post Trade Ads on Binance P2P Through the Website and the App.
And many more Binance P2P FAQ topics...
