What is Binance P2P?

Apart from being a famous centralized crypto exchange, Binance also has a platform to support P2P trading called Binance P2P.

In a nutshell, P2P crypto exchanges basically remove the use of a middleman in crypto transactions and allow users to buy or sell directly with one another without the intervention of any third party.

Traders simply have to post commercial ads on a platform, in which they include their trading features as well as the name of the currency, the amount of money offered, and the price. Buyers could then choose one and interact directly with the seller.

There are many companies that built a P2P exchange in order to provide a safer and more convenient way to do P2P trading. Binance is one of them.

Apparently, apart from being a well-known centralized crypto exchange, Binance also released a platform that supports P2P trading called Binance P2P. So, what makes Binance P2P different than other P2P exchanges?

 

What is Binance P2P?

Created in 2018, Binance P2P is a platform that basically enables users to make crypto transactions by using local currencies.

Three years later, the platform successfully added six cryptocurrencies, 55 local currencies, and no less than 150 payment channels worldwide into the list of services that they offer.

Those six crypto coins are BTC, ETH, BNB, BUSD, DAI, and USDT.

In 2020 alone, Binance P2P has managed to process around $7 billion worth of transactions across 3.8 million orders and reached a daily volume as high as $54 million.

Also, there are at least 2,000 active merchants on the platform, ready to serve buyers with many interesting offers.

It is also worth mentioning that recently, Binance P2P launched a few additional features to the platform to further enhance user experience in P2P trading. Those features are:

 

1. Ad Posts

This feature was initially launched on the Binance app back in May 2020 but was later extended to the Binance.com website in September 2020.

The purpose of this feature is to allow users to post their trade advertisements to buy or sell cryptocurrencies using fiat currencies. Conveniently, the service is completely free, so users can post their ads without having to pay any ad fees.

Users can also share their ads on social media starting from December 2020.

 

2. Cash-in-Person Transactions

As the name suggests, this feature allows users to simply choose an ad to buy or sell crypto assets, then make the actual transaction (give or receive the payment) offline in person.

 

3. Comment Feature

This feature was launched in January 2021 and it enables users to leave a comment on the platform. They could rate their trading experience and write a review about their trading partners once the transaction is complete.

 

What are the Benefits of Binance P2P?

Many people stick to P2P exchanges because of several good reasons, such as safety, less cost, and time efficiency.

The direct interaction between buyers and sellers easily speed up the transaction process because the asset being traded do not need to go through any intermediary and can be immediately approved by both parties.

P2P trading can also reduce trading costs because there's no need to pay for the intermediary's services. However, Binance wants to go beyond that and actually offer various interesting benefits such as:

 

Zero Fees

One of the main benefits that you can get from Binance P2P is the absence of burdensome fees. Other P2P services typically generate some income from your transactions, but this isn't the case with Binance.

You don't have to worry about additional or even hidden fees because there won't be such a thing in Binance P2P.

 

Flexible Payment Methods

We've mentioned above that there are at least 150 payment methods that you can choose on the Binance P2P platform. Hence, it gives you more options and freedom to use the method that you usually prefer.

Some of the payment methods offered are cash, bank transfer, PayPal, M-Pesa, and multiple e-wallets.

 

Escrow Service

In order to minimize the possibility of scams or money theft, Binance creates a holding mechanism for all crypto funds that are involved in a pending transaction.

This means that even though it's a P2P trading, Binance should monitor each transaction as an escrow and make sure that both parties involved in the transaction do their part of the trade.

 

Live Trade Chat

Binance P2P allows users to chat directly with their counterparties before completing the transaction. They can use this feature to clarify payment requirements, follow uped transactions, or learn more about who they'e trading with.

 

External Restrictions

Over the years, regulatory restrictions have impacted many crypto transactions and intervened with traditional crypto exchanges.

Now since the transactions on Binance P2P are facilitated interpersonally on P2P marketplaces, they won't be heavily affected by such restrictions.

 

High Liquidity

Another advantage is the fact that Binance is one of the biggest crypto exchanges in the world when it comes to trading volume with over $7 billion worth of transactions processed in a year.

Thus, Binance P2P is capable of providing high liquidity for both buy and sell transactions.

 

Integration with the Binance Ecosystem

This feature in particular is exclusive to Binance P2P only and could definitely help you with your trades. Apart from facilitating P2P trading, Binance P2P is also linked with the Binance ecosystem as a whole.

So that means, all Binance P2P users can get direct access to Binance's products and services very easily. All you need to do is just use the platform to buy crypto and you'll get free access instantly.

Keep in mind that most P2P services operate separately from major exchanges and crypto exchanges.

 

High Completion Rates

Binance claims that it always put its users first by providing the best service possible for them. In Binance P2P, there's a high standard that must be met by all of the merchants on the platform.

Each merchant must be able to process crypto transactions in a timely manner and able to provide a high satisfaction rate for the users.

There is no need to worry about the merchants' reliability because they have been tightly ed by Binance.

 

Speedy Transactions

Binance P2P merchants can process and set their transaction timers to as fast as 15 minutes.

This definitely saves a lot of your time compared to making transactions in centralized exchanges as it needs more time to process your request and executes it afterward.

 

Global and Local Promotions

Binance is a large and active exchange that constantly makes improvements. Over the last few years, Binance has released a bunch of new addition to the platform, making it better for its users.

Also, Binance offers a lot of bonuses and promotions for both new and existing clients, which could increase P2P earnings or make users win extra cryptos.

You can regularly check the Binance website or app to find out more about their latest promotions.

 

Excellent Customer Support

Apart from its great products and services, Binance is also known to have outstanding community and customer support.

Binance aims to expand its reach to users from all around the world, so it has a 24/7 global customer support network with multiple languages.

You can connect to the customer service by going to the Binance Chat Support to chat with live support agents.

 

Growth Prospects

In the last couple of years, Binance P2P has grown rather rapidly. This means that it has a great potential to be even bigger in the future.

Binance stated on its website that it always looks for new opportunities to expand in as many areas in the world as possible.

A bigger number of users can mean a lot of things for P2P traders, including the increase of liquidity, trading volume, and connection.

 

Trade at Your Preferred Price

P2P trading gives users the freedom to trade their coins at their preferred prices. In Binance P2P, not only can you buy or sell crypto from the existing offers on the platform, but you can also post your own trade ads to set your own price.

 

Safety and Protection for Privacy

Unlike bank and credit card transfers, Binance P2P doesn't require you to reveal your identity or submit private documents.

You can actually buy cryptocurrency with cash on Binance P2P, so there's no need to use your bank account or e-wallet to make a fiat-to-crypto transaction.

 

How to Use Binance P2P for Buying and Selling Cryptos

Whether you want to buy, sell, or send crypto on Binance P2P, the first step that you need to do is to register and create an account on the platform.

Then, complete the verification process and add your desired payment method.

 

How to Buy Crypto on Binance P2P

1. Place an order – You can browse the merchants and choose from all the available offers on the marketplace. Once you make up your mind, place an order to buy the crypto.
2. Pay the seller – Make your payment by using the payment method that you've previously ed. Complete the fiat transaction and then click "Transferred, notify seller".
3. Receive the crypto – You need to wait until the seller confirms the transaction, but this usually doesn't take long. Once the seller confirms your payment, the escrowed crypto will immediately be released to you.

 

How to Sell Crypto on Binance P2P

1. Place an order – To place your order, you need to put the cryptocurrencies that you want to sell into the P2P wallet portion of your account.
   Once you place an order, your crypto will be escrowed by the Binance P2P. At this point, you just have to simply wait for the buyer to buy your crypto.
2. Confirm the payment – Check the transaction record in the given payment account. Make sure that you receive the money sent by the buyer before confirming.
3. Release the crypto – Once you confirm the payment, the escrowed crypto will be released to the buyer and the transaction will be complete.

 

How to Post Trade Ads on Binance P2P

1. Log in to your Binance account and click the "Post new Ad" button.

 

2. Select the ad type (buy or sell), crypto asset, and the fiat currency, then set the price type. You can pick either "Floating" price or "Fixed" price.

Once you're done, click "Next".

 

3. Input the total trading amount, order limit, and add at least three payment methods that you accept for your ad.

Note that the buyer will have to make the payment within the time limit you set or the order will be canceled automatically.

Click "Next" once you're done.

 

4. You can add some extra information to your ad, such as:

• Remarks: this will be a reference for users before they place the order.
• Auto reply: a set message that will be automatically sent to the counterparty after the order is placed.
• Counterparty conditions: specific conditions and requirements set for the counterparty, so those who don't meet the qualification won't be able to place an order. 

Once you insert all the details, click "Post". Don't forget to review and double-check the details before clicking on the "Confirm to Post" button.

 

5. Complete the 2-factor authentication (2FA) to proceed with your ad. Once it's done, you can see the status of your ad under "My ads" tab.

 

In addition, even after the ad went live, you can still edit it any time you want. You can also choose to turn your ad online/offline or close your ad completely.

Note that once you close the ad, you won't be able to access it again.

 

How to Send Crypto to Other Users

Apart from buying and selling, you can actually send crypto to other users with Binance P2P. This option actually has several notable benefits compared to bank transfers:

• Cryptocurrency is a universal currency and it is acceptable in most regions worldwide. Therefore, you can make easy, borderless transactions with cryptocurrency.
• Crypto transactions are very simple. You don't need to input account numbers, routing numbers, or SWIFT codes.
• Crypto transactions have great security and privacy protection. No need to share your personal information to make a transaction.
• You can send crypto for free if you use Binance P2P regardless of where the sender or the receiver is.

Binance P2P offers two easy ways to send crypto to other users: by using email and QR codes. Here's how you do it.

 

Sending Crypto via Email

1. Open your P2P wallet in Binance, choose "Transfer between accounts" and click "Send".
2. Enter the recipient's email address.  Make sure to use the email address associated with the recipient's Binance account.
3. Set the amount that you wish to send.  There is no minimum number required, but the maximum amount is 10 BTC per transaction. You can choose between BTC, USDT, BUSD, BNB, ETH, and DAI. You can also add an extra note to inform why you're sending the crypto.
4. Enter your verification code to finish the transaction.

 

Sending Crypto via QR

1. Open your P2P wallet, choose "Transfer between accounts" and click "Send".
2. Choose "Receive" and share your QR code with the counterparty. You can also save the QR code on your device if you like. Once you're done with the transaction, the funds will quickly appear in your account within seconds.

All in all, there's a high chance that P2P trading and exchanges will get more support in the future and perhaps even go beyond centralized crypto exchanges.

After all, decentralization is one of the most crucial elements that separate cryptocurrency from fiat currencies.

If you are interested in P2P trading, Binance P2P certainly offers a great opportunity that you shouldn't miss. As explained in this article, there are many benefits that you can get by starting to use Binance P2P, including speedy transactions, an escrow service, and more.