I’ll show you how easy it is to buy and sell cryptocurrency or the numerous tokens available on Binance app via the P2P method. This is going to be a simple showing you the step-by-step processes. I’ve been wanting to do this for a long time now, but here it is and we’ll see how this works.
Understanding P2P Trading: What Does It Mean?
Binance is available on the web and on mobile, but for this tutorial, I’ll show you how to go about it via your mobile platforms or the mobile app. It’s the same process on the web. If you’re newly downloading it, you will be downloading one that looks like this both on the Apple and Google Play Store…AND guys! You know I won’t just make a video without something for you so the first 100 users who sign up with my link in the description below, it’s the first link and make their first trade of at least $100 will get $5 just like that which is like 2,800 Naira, almost 3,000 Naira in free money. I know it’s not much, but there’s more and we’ll talk about that later. Essentially you get $5 for free when you download and sign up with my link and make up to $100 in trades. You can’t get this anywhere else so (pointing down) just do it.
The Role of Binance in P2P Trading and Escrow Services
So first off, what is a P2P trade, what does it even mean? The word P2P means Peer to Peer and P2P in Finance means a service is decentralized. Decentralized means that it’s not central or there is no one power over the transaction or no intermediary like banks. It’s just you and the person interacting directly with each other. It simply means, again, that the buyer and the seller are transacting directly with each other. Where Binance now comes in here is that they give you a platform, the Binance Platform to trade and they don’t just do that, they screen people who are trading, they rank them, show you the highest or lowest rating, positive and negative rating or reviews and also provide escrow service.
Buying Cryptocurrency on Binance P2P: Step-by-Step Guide
What does an escrow service mean, in simple terms, If I’m a buyer, if I want to buy a stable coin like BUSD for instance or I want to buy Bitcoin, I will put some money to the side, they will lock in my offer on that money somewhere and they will lock the BUSD or Bitcoin of the person that I want to buy from on Binance, they will essentially lock their money so until the both of you come into agreement, the funds will not be released to anyone. So no one gets scammed until the agreement is done very, very securely and I’ve been using Binance for the better part of this year.
Security Tips: How Binance Protects Your Transactions
Alright, let’s get into the app. So the first thing we’ll be talking about is how you can go about with buying and the next section will be about selling and before we begin, I’d like to mention that this isn’t investment advice. I’ve made multiple videos on personal finance on this channel from our Finance Friday series and I’ve always mentioned investing a decent-sized portion of income or that which you won’t be troubled by fluctuations. Anyway, let’s get started. On the Binance App, you can see the current home page here. On closer inspection, you can view all of the trading options, you can also see how much each currency pair is performing from BNB, Bitcoin, and Ethereum and you can see more when you scroll down.
How to Verify Users on Binance P2P
- Clicking on More shows you the P2P option, you also get the P2P trading option on the home page and it of course shows you the Risk notice associated with the trading.
- Basically, Binance is telling you not to believe anyone who claims they’re customer support or anyone that convinces you to release crypto before you have received payment.
- The instruction will appear clearly and once you follow them you’ll be fine.
- Trust me, it’s super easy.
- So this is the P2P page, up top, I can see my currency which is NGN or Nigerian Naira, and it is location-based so right now, I can only transfer to accounts that accept Naira and changing to other currency would mean I can only trade with accounts that accept those other currencies.
Making a P2P Buy Trade Using the Express Option
I’ll be using NGN or Naira as an example. Here is where you get to see each user and what mode of payment, most of them here accept bank transfers which you already know how to do so that’s easy. You can also see the name of a potential trader, how many trades they’ve done and percentage of positive feedback they have. If you scroll left and right you can also see other tokens you can trade as well. If you want to trade quicker, you can go on the Express Option that Binance offers whereby you get a random and usually high rated user who is online and you can trade quicker with instead of scrolling through a long list and picking one person. So let’s make a Buy Trade now with the Express option. I want to buy 50,000 worth of USDT, when I click Buy, it shows that I will receive 88 USDT or basically 88 dollars at the rate of 567.3. I’ll click on Confirm to proceed. As you can see here, the person I’m buying USDT from is a user named Iruag and the person is verified.
How to Message Sellers and Ensure a Smooth Transaction
| Aspect | Details |
|---|---|
| Escrow Service | Binance is holding the seller’s crypto in the escrow account. |
| Customer Support | They have 24/7 customer support. |
| Funds Handling | The seller’s money is held in the escrow account. When the buyer transfers the money and the seller confirms, the crypto is released to the buyer. If the seller runs away, the buyer still gets their money back. |
| Transaction Time Limit | There is about a 14-minute time limit to complete the transaction. |
| User Verification | The user’s profile can be checked for verification. |
| Trade Count | The user has done over 3956 trades, almost 4,000 trades in the past 30 days. |
| Completion Rate | The user has a 97.7% completion rate. |
| Feedback | The user has 6,701 feedback, 99% of which is positive. |
| Average Payment Time | The average time it takes for the user to pay is 4.5 minutes. |
| Release Time | The user’s average release time is 4.7 minutes. |
| Fairness | All aspects are considered fair and okay. |
Completing the Purchase: Receiving Cryptocurrency Safely
One thing I also do is that I message the merchant or whoever I’m trading with to confirm if they’re online. I’ve done a trade where I nearly transferred but the person’s status showed online and didn’t respond at all even when the time limit ran out. So I always message them before anything. I’ll just type “are you online”. For this person, it took around 5-6 minutes to get back to me so once I got confirmation that they were online, I just made a transfer to their normal bank account that was shown. Then I just message the person that I have sent it, with a snapshot of the proof of payment. The seller who is supposed to give me the USDT for the money I’ve just sent will now release the payment to me. He also has a time limit to release it as we can see here.
Selling Cryptocurrency on Binance P2P: A Complete Guide
Now as you can see the seller has released the USDT to my wallet and that’s pretty much it about Buying. I can simply rate the person Positive or Negative. Of course, I didn’t have any issues so I’ll rate them positive. That’s about it for buying, as you can see in the Transfer section of the App, that money is in your wallet and if you want to use this USDT for instance to buy other tokens like Bitcoin which most people do, then you can move it to your Spot Wallet and begin trades, you can see your available balance here. But for now, I’ll leave it in my normal Wallet. Also, if you find this video useful, do consider hitting that like button and you can leave a comment below if you have any questions at all.
Using Express Selling on Binance for Quick Transactions
Now, how about Selling? How to Sell Crypto via P2P? Well, it’s pretty much the same process as Buying except you are the one receiving the Transfers to your bank account and Binance is holding your Tokens or Crypto to release it to the person transferring to you. Just like theirs was held in the buying section we just covered. Okay, so let’s go, on the P2P section when we click Sell, we get the exact same options like the Buy Page. We can also do Express Selling which is what I’ll do now so instead of picking the buyers or sellers one by one, I just let Binance pick a random and highly rated buyer or seller that is online. Now I want to sell $80 or 80USDT which is the same thing. Once I hit sell, I can choose which of my bank accounts I want the money sent to. Then I click to confirm the sale. As you can see here, the Buyer now has a time limit as well. I usually click on the Chat section to see if there’s any message for me and sure enough. This person has asked that I release the coin once I receive payment.
Final Steps: Confirming Payment and Releasing Crypto
Obviously, I reply with an “ok” and I wait to receive the transfer. So right now, Binance has told me that this person has marked the order as paid. Keep in mind that