What is P2P Trading?
Peer-to-peer trade, or P2P trading, is when two or more people sell or acquire cryptocurrencies directly from one other. Vendors and buyers register on a website called as a peer-to-peer platform, marketplace, or exchange for this type of trading. They will soon be able to publish adverts for cryptocurrencies to be bought or sold, with a price range and location specified.
The process is similar to selling items on eBay, Etsy, or Craigslist, in that the vendor and buyer interact directly with each other to reach an agreement on a price. However, you are buying and selling cryptocurrencies like Ethereum or Bitcoin, however, this situation is distinct. Consider the circumstance when you want to acquire Bitcoin from someone in your neighbourhood. The P2P exchange can help you connect with the right person, at the right time, in the right place, so you can get the best trading price and pay with a method that works for both of you. This recent practice has tremendous advantages in moving money around the world much easier compared to traditional banking. Online platforms like Binance have attracted millions of users around the world, that use crypto as a payment method for their transactions in many industries that widely accept it. Consider for example, the Online Gaming industry, where the acceptance of crypto currencies has exploded over the recent years. Binance coin casinos are proliferating because of their ease of use and relative anonymity compared to traditional online casinos. But what happens when people want to withdraw their crypto into local currencies around the world? At a first glance, it seems difficult, and Binance itself restricts withdrawals to many banks around the world. So, users are faced with a dilemma as to how to get their cash into their preferred bank. This is where the famous P2P trading comes in and it seems to work very well. Not only this but P2P transfers are almost instantaneous. CasinoColada.com reports that over 50% of the online casinos on the market now accept crypto payments and soon brands that do not offer crypto transactions will fade out of the market.
Binance’s P2P Trading
When it comes to P2P trading, Binance is a great alternative because it offers a variety of withdrawal choices, payment methods, and transaction execution speeds. To access Binance’s P2P, margin, or futures trading platforms, users must first pass the Know Your Customer (KYC) process. You can still deposit tokens to your account without the KYC.
The Guide to Buying and Selling Crypto
Before you may make your first transaction on Binance P2P, you must first register an account on Binance and pass the identification verification phase.
To verify your Binance account, please follow the steps below.
On Binance, P2P sellers must go through a screening process that includes identity and business verification. By certifying all Binance P2P users, Binance adds an extra layer of security to your transactions.
After the verification procedure, you can make your first transaction with just a few clicks. Here’s how to go about it:
Benefits of using Binance’s P2P system
Because of the following characteristics and benefits, the Binance P2P exchange stands out among the different P2P solutions accessible in the crypto business.
1. No Fees
The fact that Binance P2P is free to use is one of its most tempting aspects. Unlike many other P2P platforms, you won’t have to worry about giving a portion of your transactions to Binance P2P. You get precisely what you paid for because there are no hidden charges.
2. Payment Diversities
You can use any of the more than 150 payment methods available on Binance P2P to send and receive money for your transactions.
Binance P2P has registered huge amounts of both buy and sell transactions as the world’s largest exchange by trading volume’s major P2P channel. Over $7 billion in transactions have already been handled on the network, indicating a strong level of liquidity.
4. High Completion Rate
Binance ensures that its P2P market maintains a high level by enforcing rigorous restrictions for sellers. To maintain their access to the platform, individuals must complete transactions quickly and satisfactorily.
5. Tons of helpful services
The Binance P2P’s escrow service features a reserve mechanism for crypto money deposited in every pending transaction, which is one of numerous safeguards on the network. By establishing a second level of trust, this strategy prevents criminals from taking your money or cryptocurrencies without completing their side of the transaction.
Possible Scams on Binance
Identity Theft and Crime
Triangulation fraud is another name for it. It’s a scam in which your trading counterpart uses a third-party payment account to perform transactions. They pay you with an account in another person’s name before you release cryptocurrency. Some people may use chat messaging to offer you new payment account information and request that you transfer money to that account. They will claim that they did not get the cash after you transferred them and will therefore refuse to give you the bitcoin.
The best way to avoid this problem is to verify the user’s identity. Check sure the payment account information matches the person’s identity before proceeding with the transaction. Do not send money or release your crypto assets if the payment account is not the buyers’ or sellers’.
Another common type of fraud is reversible payment. In such cases, a buyer will first wire money to your bank account to compel you to hand up the bitcoin. Within 72 hours, the buyer contacts the bank and informs them that they have not completed the deal; as a result, the bank will cancel the payment, resulting in a financial loss for you.
Requesting a photo of the transfer record from the buyer as proof of their purchase before transferring bitcoin is a simple way to protect yourself from reversal payment. It is impossible for a user to claim that they did not make the payment in such a circumstance.
How To Stay Away From Scams On Binance P2P Trading
Before you can start trading on Binance P2P, you must first complete identification verification, often known as KYC. Binance reserves the right to investigate any suspicious conduct. KYC ensures that users trade under their true names.
To secure users’ crypto assets, Binance offers crypto escrow in all P2P transactions. When the ad is placed, the amount of crypto for the ad is immediately deducted from the seller’s fiat wallet.
This means that if the seller takes your money but fails to deliver your crypto, or if the seller fails to release your crypto on time, Binance’s customer support team can move the asset from the seller’s wallet’s reserved funds to your wallet.
If you have difficulty with a P2P trade and are unable to reach an agreement with your counterparty, you can contact Binance’s customer service team for assistance. Customers will be contacted through email by customer support employees in order to investigate and address issues.
You can also file appeals to report suspicious users and protect other users. Ignore anyone who tries to encourage you to make a transaction outside of the Binance P2P network and submit a complaint. Remember that if you trade outside of the Binance platform, Binance will not be able to safeguard you.