The Best p2p Crypto Exchange & everything you need to know
Are you interested in cutting out the middle man when it comes to your crypto investments? Are you tired of paying high fees to exchanges? If so, you might be interested in a new sort of exchange that is gaining popularity: the peer-to-peer exchange.
What is a P2P crypto exchange?
P2P exchanges enable investors to trade directly with one another without the use of a third party. This can save you money on trading fees and give you a safer investment experience.
In this article, we'll look at some of the safest & well-known peer-to-peer platforms out there right now. We'll also talk about what makes these exchanges so famous, so you can figure out which one is the best p2p crypto exchange for you.
What we will discuss;
How to choose the right p2p exchange for you?
The best p2p crypto exchange is the one that best suits your needs. There are many different p2p crypto exchanges available and they all have their own unique features. Here are a few tips to consider when selecting an exchange:
Fees that are charged by the exchange.
The supported currencies and payment methods.
Security features of the exchange
The ease of use.
The reputation of the exchange
Customer support available
Once you've chosen an exchange, be sure to read the terms and conditions carefully before creating an account. Make sure you understand how the exchange works and what fees you will be charged.
The 12 Best p2p crypto exchanges on the market
Crypto Assets: USDT, BTC, ETH, KCS, USDC
KuCoin's P2P Trade Platform offers safe and fair transactions. Its advanced platform serves experts and community leaders. To put it simply, the buyer places an order on the KuCoin P2P network, and KuCoin will temporarily freeze the seller's crypto.
Once the buyer sends fiat to the seller's bank account, the crypto is released to the buyer's KuCoin Account. This reduces both parties' fear of counterparty risk.
Transactions are completed quickly.
Many coins supported
Transaction fees are minimal
Multiple local payment methods are supported.
A large user base
Not for inexperienced traders
Crypto Assets: BTC, DOGE, BNB, ETH, BUSD, USDT, DAI
Fee: From 0% to 0.35
Binance is the best p2p crypto exchange and the biggest by trading volume. It processes $26 billion in daily deals. Moreover, altcoins are traded via spot and peer-to-peer transactions and more.
Binance is considered the ultimate P2P crypto exchange since it connects global traders transacting in fiat currencies and crypto assets.
Users can buy these cryptocurrencies from other merchants or sell them using 70+ fiat currencies.
Low fees for both non-instant and instant purchases.
Many additional services.
300+ Payment Options
A large number of coins are supported.
It is not available in the United States.
Crypto Assets: USDT, BTC, ETH, HT, EOS, HUSD, XRP, LTC
Huobi is another best p2p crypto exchange. Huobi has built a reputation for itself in the cryptocurrency market, which is why its P2P platform is so reliable and popular. Huobi's services for P2P crypto exchange are fast and smooth than you might imagine.
Huobi P2P also supports more than 90 different payment options, such as bank transfer, wire transfer, Apple Pay, credit card, debit card, and many others. An email address, password, and country of origin are all that is needed to join this exchange.
Excellent user interface.
Over 90 payment methods are offered.
A fantastic collection of cryptocurrencies.
A complex verification procedure.
Fiat deposits and withdrawals aren't supported.
Crypto Assets: USDT, BTC, ETH
Fee: 0.5%- 1.00% (for seller)
Paxful is a fantastic p2p exchange for bitcoin that charges no fees. However, sellers of the crypto are charged 1%. There are more than 350 payment methods available, with a minimal transaction of only $10.
Paxful doesn't provide many crypto services, but don't get upset over it as you get a free BitGo bitcoin wallet. It enables you to securely store your cryptocurrency in one of the top crypto wallets accessible.
Paxful may be the greatest P2P bitcoin exchange because it lets you personalize your searches for bitcoin deals. You can search by payment method, amount, and area to obtain customized bitcoin offers.
Low costs to trade
Around 250 payment methods
Great interface for mobile and web
There are few cryptos available
ID criteria must be met in order to register
Crypto Assets: BTC, ETH, XRP, LUNA, SOL, CRO, ADA, AVAX
HODL HODL is a great and best p2p crypto exchange that offers you to trade Btc, Eth, XRP, Terra, and more with other users directly. Besides, the site provides a lending facility and charges only 0.5% to 0.6% in transaction fees.
This cost can be reduced further by referring a friend to their exchange. This platform's biggest feature is the simplicity and directness with which you may sign up and begin trading right away. Last but not least, the option for how to pay on this site is left up to the individual vendor.
Transaction fees are low
Fee reduction through user referrals
An attractive selection of supported coins
Daily trade volume is lower
Fewer payment options
Crypto Assets: USDT
Wazirx is an India-based decentralized exchange that was initiated in 2017 and was bought by Binance in 2019. The way Wazirx is set up is easy to use. When you trade cryptocurrency on your phone, it's a great experience.
Wazirx stands out because it is the first "auto-matching P2P engine" in the world. So you don't have to choose the seller—the platform will do it for you. Supposedly, this offers the most advantageous exchange rate. WazirX supports eight fiat currencies, such as Indian Rupees, Turkish Liras, and more.
You need to purchase USDT from P2P and then use USDT to purchase other cryptos. Then if you want to cash out, sell crypto for USDT and then USDT for any of the supported 8 fiats on a P2P exchange. The exchange has avoided complexity by providing few services and a single product, peer-to-peer trading.
Sponsored by the Binance exchange
Pairs with the INR can be traded
Money transfers via UPI, NEFT and P2P are simple
There is less liquidity
Limited crypto support is provided
Fewer trading pairs
Crypto Assets: USDT, BTC, ETH
Let's talk about ByBit now because I can't leave it off my list of the best peer-to-peer crypto exchanges. It opens up the possibility of leveraging your trading from multiple countries, boosting your chances of profit. The platform also helps users reach a mutually beneficial quoted rate for their transactions.
Moreover, more than 80 different payment methods, such as bank transfer, wire transfer, in-person cash payments, and more, are supported by this P2P crypto. You can stake your crypto with a promised yield on top of its P2P platform. When you stake USD Coin, you can earn 5.50% APY.
There are a few fiat currencies you can use, but not as many as Binance or Huobi. P2P purchases have many payment options and no fees. Some limits vary by seller's terms.
A variety of different coins are supported
There are over 80 payment options
Leverages for increased profit prospects
Trading pairs are limited
Beginners may find it difficult to navigate
Crypto Assets: BTC, ETH, BCH, USDT, LTC, XRP and more
Fee: Up to 1%
Remitano is the best p2p crypto exchange, based in Singapore and has been in operation since 2015. When using a crypto service, you want the company to be old and proven, as this reduces the likelihood of them going out of business magically.
The interface is simple to use, and there is a huge array of sellers and buyers. Remitano takes 1% of the total transaction value. In addition, they charge fees for deposits and withdrawals.
So why do I continue to refer to Remitano? Because the security is excellent as well as the customer service is top-notch. When I trade on Remitano, I feel very secure.
Easy to use interface for beginners
Multiple crypto options to trade
Secured local trader exchange
Relatively high fees
Crypto Assets: BTC
Fee: Up to 1%
I chose LocalBitcoins as the best p2p crypto exchange for a reason. LocalBitcoins P2P facilitates Bitcoin trading by connecting local buyers and sellers. By doing so, face-to-face trades are made convenient for all parties involved. Despite its lack of compatibility with other cryptos, the platform's singular focus on Bitcoin allows it to excel at easing every area of Bitcoin trading. You can see why I included this on the list now.
Moreover, Bitcoin users pay no fees. Bitcoin sellers who post ads will be charged a 1% fee on each sale. But if you're sending holdings to someone's LocalBitcoins wallet, you can trade for free. LocalBitcoins P2P accepts over 60 methods of payment, including credit/debit card, bank transfer, cash, and more.
Fees are 1% flat.
There are over 60 payment options.
Trustworthy trading services
Unavailable in the majority of states
Limited to Bitcoin only
Crypto Assets: USDT, USDC, BTC, ETH
OKX supports spot, margin, and contract digital asset trades. OKX's peer-to-peer marketplace is ideal for trading crypto. To finish the trade, send or receive cash directly with your preferred payment system. There are numerous reasons why OKX is the best p2p crypto exchange, which you will realize below.
OKX uses the escrow technique to enhance fair trade for buyers and sellers. OKX holds the seller's crypto until a payment approval is received. If a buyer pays for crypto but the seller won't release it, the buyer can contact OKX customer service. OKX has no P2P fees. However, your payment method may have transaction fees.
Multiple digital asset trading options
Escrow enhances buyer-seller honesty
No P2P fees
Payment method fees may apply
Few crypto choices
Crypto Assets: BTC, BSQ, XMR, ETH
I have chosen Bisq as the best p2p crypto exchange because it is decentralized and open-source. Bisq has huge coin support and an easy interface.
It is built on open-source software, which makes the design public. Personal savings and user donations fuel the project. Bisq does not require a third party or personal info to execute crypto trades, making it a good alternative for Bitcoin enthusiasts looking for altcoins including Cardano, XRP, and Dogecoin.
The security features of the platform, such as multi-signature and a security deposit mechanism, improve the privacy and safety of decentralized exchanges. It makes sure that both parties are genuine and have full control of their funds while trading. It is another strength that makes Bisq the best p2p crypto exchange out there.
Trades with a wide range of coins and traditional currencies are supported
A diverse variety of payment methods are available
The verification procedure is quick
Mobile-only supports notifications
Must only trade using Bitcoin or BSQ
Crypto Assets: BTC, ETH, USDC, USDT, DAI, DASH, NEXO, LCS
Fee: Up to 1%
Last on the list that I compiled is LocalCoinSwap, the best p2p crypto exchange for beginners because of its user-friendly interface. It is a marketplace where anyone, without the need for an intermediary, can trade digital currency. It also charges a flat 1% transaction fee.
The platform also provides an optional KYC verification service. Lastly, the P2P cryptocurrency exchange has more than 300 ways to pay, such as cash in person, local bank transfer, transferwise, cash deposit, PayPal, and PayID.
Low trading costs
Sleek user interface
20+ cryptocurrencies, 160+ fiat currencies
Escrow-backed smart contract
Beginners can be overwhelmed by choices
Trader choice affects security
Why use a p2p crypto exchange & how does it work?
Up until this point, you should be clear that a p2p crypto platform is a decentralized exchange for people who want more privacy and security for trading digital assets often use this type of exchange.
P2P exchanges work by directly connecting buyers and sellers. The transactions are direct and decentralized. The idea behind p2p exchanging is to remove the need for a central authority, like a bank, in the exchange process.
Most of the time, the trading platform charges small transaction fees for making the trade possible. LocalBitcoins, Binance, Paxful, and Bisq are all our favourite p2p exchanges.
How to use a p2p crypto exchange
Now I'll explain how to use a peer-to-peer (P2P) exchange. You only need to provide an email and password to join a P2P crypto exchange. In most cases, you won't need to provide an ID to trade digital currencies on a P2P exchange. Then you may trade Bitcoin, bitcoin cash and other coins.
The payment method, rate, and maximum or minimum purchase amount will vary depending on the seller or buyer. Some sellers may approve just specific payment methods, such as centralized exchanges (bank transfer, credit or debit cards etc).
The deal begins once you find the best offer. Some P2P exchanges require both people to put some money into a contract. It is to make sure that if something goes wrong, the people involved will be compensated.
Other P2P exchanges only require the seller to put money in, and they will get it back when the buyer confirms the transaction.
Benefits of using a p2p crypto exchange
A p2p crypto exchange is a great way to buy and sell bitcoin and other cryptos. Here are some of the benefits of using a p2p crypto exchanges:
Offer more payment options and anonymity.
One can buy and trade numerous cryptocurrencies.
You can buy and sell cryptocurrency directly with other users.
P2P exchanges usually have lower fees than traditional exchanges.
Offer more privacy to users, since you don't have to provide your personal information to trade.
Also helpful for trading less popular cryptos.
They are decentralized and not subject to government regulation.
P2P exchanges are often a better place to find deals than traditional exchanges.
Limitations of using a p2p crypto exchange
Since most P2P crypto exchanges are unregulated, frauds are common. Scammers might create fake accounts to attract new investors.
P2P crypto networks typically have less liquidity than OTC exchanges. P2P services let users determine their own pricing and trade quantities, but that doesn't guarantee a match.
Prices on a peer-to-peer exchange can be highly volatile, which can result in losses if you're not attentive.
The speed of transactions is slower than on an OTC exchange. This is because when a buyer buys crypto from a seller, they must have to wait for the money to reach the seller. This may be instant or take days, depending on the method.
Crypto wallet vs Crypto exchange platform
So, what’s the difference between a crypto wallet and an exchange?
Wallets are primarily used to store your private keys and interact with blockchain technology. A wallet is used to store your cryptocurrencies. Crypto wallets can come in a variety of forms, including online wallets, software wallets, hardware wallets, and paper wallets.
Exchanges, on the other hand, serve as a bridge between buyers and sellers, allowing them to trade crypto. They usually charge a transaction fee for their services as we saw above. So, you now know that you need a wallet if you want to own and use cryptos. You'll need an exchange if you want to trade, buy, or sell crypto.
How to Choose the Best Bitcoin Exchanges?
Bitcoin and crypto exchanges are vital parts of the virtual currency ecosystem. They do a very important job by letting people buy, sell, and trade cryptocurrencies with each other. Exchanges also make it easy to turn fiat currencies into virtual ones and vice versa. Choose the best bitcoin exchange based on usability, security, costs, and accessibility.
Find your best cryptocurrency exchange.
What is the biggest advantage of p2p crypto exchanges?
P2P crypto exchanges have many benefits, but the main one is that they usually have lower fees than centralized exchanges. It makes them a better alternative for traders.
Also, because users don't have to go through Know Your Customer (KYC) procedures, p2p exchanges are often more anonymous than centralized exchanges. Lastly, p2p exchanges are less likely to be hacked because they aren't centralized and don't keep user money in central wallets.
For those looking for an alternative to a regular exchange to trade in the crypto world, P2P crypto trading platforms are a solid option. It has more privacy and lower fees. However, they are not without their risks, such as the possibility of fraud or fluctuating prices.
LocalBitcoins may be the best option for crypto investors and crypto traders looking for peer-to-peer bitcoin exchange. Whereas KuCoin, Binance, and Huobi lead in the list of best p2p exchanges with multiple options to trade.
My research has led me to believe that peer to peer exchanges are the way to go when making crypto transactions. However, it is crucial to find a good exchange rate. Think about your needs and do some comparisons before settling on an exchange. For this reason, we scoured the web for the best peer-to-peer cryptocurrency exchanges and compiled our findings here to help you make a choice.