Bitcoin

What’s the best alternative?

LocalBitcoins, Binance P2P and Paxful are peer-to-peer platforms for exchanging cryptocurrencies. On these platforms, users can post announcements for buying or selling digital assets, choosing the limits (maximum and minimum amount) per transaction, the payment methods they will accept and the terms and conditions for trading them.

From Binance, they shared Cointelegraph in Spanish, a comparative analysis in which they contrasted Binance’s P2P services with LocalBitcoins’. Cointelegraph en Español also consulted Paxful on their services for a broader vision.

According to Binance, both the P2P platform and LocalBitcoins’ have a rating mechanism to measure the reputation of users, an escrow system (known as an escrow account in English) and a dispute resolution service. TO

What’s the best alternative?
What’s the best alternative?

LocalBitcoins is one of the first exchange platforms to offer a peer-to-peer market where users can buy and sell traditional currencies and cryptocurrencies from one another. LocalBitcoins was founded in 2012 and has been the most popular Bitcoin (BTC) market for many users.

(LocalBitcoins’ dollar trading volume since 2013. Source: Coin DanceÂ)

However, the data from Coin Dance shows a -25% decrease in trading volume. In 2020, LocalBitcoins processed transactions for $ 1,933,562,297, while in 2019 the trading volume was $ 2,576,218,276.

(The trading volume with Bitcoins from LocalBitcoins. Coin dance)

What is Binance P2P?

Binance P2P was founded in late 2019 to enable trading in Bitcoin and other digital assets between people with their local currencies. Three years later, lThe platform already enables the purchase and sale of six cryptocurrencies (BTC, ETH, BNB, BUSD, DAI and USDT) against more than 68 local currencies via more than 200 payment methods worldwide.

Binance P2P reported more than $ 7 billion in transactions and 3.8 million orders, reaching a daily volume of $ 54 million in 2020. The number of Binance P2P users increased seven-fold compared to 2019. By the end of the year By 2020, Binance had more than 2,000 merchants around the world.

What is Paxful?

Paxful is a peer-to-peer financial platform where people can make payments, transactions, and send money by buying and selling cryptocurrencies as a medium of exchange.

It was founded in 2015 by Ray Youssef and Artur Schaback with the aim of giving everyone equal access to finance, regardless of who they are or where they are.

To date, there has been a transaction volume of more than USD 5 billion worldwide. It is estimated that they already have more than six million users worldwide.

The cryptocurrencies they work with are: Bitcoin (BTC), Tether (USDT) and Ethereum (ETH).

In terms of the number of fiat currencies they operate with, Paxful has conducted operations with 151 different currencies over the past year.

The number of payment methods is almost 400.

The fees deserve a separate mention. For bank transfers, buying cryptocurrencies is free, while selling cryptocurrencies has a 0.5% fee

Regarding credit or debit cards, digital currencies, online wallets, cash, cash, goods and services, buying cryptocurrencies is free, while selling cryptocurrencies has a commission of 1%.

For gift cards: buying cryptocurrencies is free and selling cryptocurrencies is 3% for all types of gift cards and 5% for iTunes and Google Play cards.

In terms of trading limits, Paxful has margin limits on offers. As explained by the company, this is to help maintain trade balance on their platform and avoid market manipulation. These restrictions apply to offers to buy and sell cryptocurrency. The margin limits are divided into two levels depending on the user’s verification level.

It should be noted that they have the Paxful Affiliate Program (Referral Program) and the Paxful Peer Program, an international program for entrepreneurs that gives users access to exclusive benefits.

Comparison table

TO

Binance P2P

LocalBitcoins

Paxful

Cryptocurrencies

USD, BTC, BUSD, BNB, ETH, DAI

BTC

BTC, USDT, ETH

FIAT

60+

100+

150+

Payment Methods

200+

20+

Almost 400

Commissions

0%

1%

Bank transfers: Buy cryptocurrencies for free / Sell cryptocurrencies 0.5%

Credit or debit cards / digital currencies / online wallets / cash / cash / goods and services: buy cryptocurrencies for free / sell cryptocurrencies 1%

Trade borders

No limits

No limits

Margin limits

security

deposit

deposit

Fiduciary system

Customer service

Reply in 1-2 days

Reply in 2-3 days

Reply in 1 day

App / web

Web and app version (Android and iOS)

Web version

Web and app version

Access to other products

Access to futures,

Margins, savings, stakes, etc.

Has not

Affiliate program, peer program, etc.

TO

What’s the best alternative?

All three are peer-to-peer trading platforms with their advantages and disadvantages. The choice of the two platforms to be used is individual. To make the best decision, you need to consider the country in which you operate, the fiat currencies to trade, the most convenient payment methods, the price panorama of each platform, and finally which © platform gives you more opportunities to grow the cryptocurrency company .

It must also be taken into account that this is a dynamic ecosystem and that what is described in this article can change at any time due to the different circumstances of each company.

Before making a decision, it is wise to do your own research about the services offered by each platform and about possible variances in their products, services, prices, commissions, fees, etc.

You might be interested in:

Similar Posts