What is P2P Crypto Exchange?
An exchange where Bitcoin can be traded directly with another peer is known as a P2P crypto exchange. Although every crypto trade you make is with another individual, you rarely get to choose who you are trading with; you have to send your funds or digital assets to an exchange platform, you have to pay fees in several different ways, and the payment methods you can use are severely restricted. Not only that, but if you are working with a controlled exchange like Binance or Coinbase. However, p2p crypto exchanges make all these possible. However, peer-to-peer transactions through P2P crypto exchanges compensate for all these disadvantages.
P2P crypto exchanges have become increasingly popular as a means of enabling cryptocurrency traders to engage in trades directly with one another, cutting out the need for a middleman or other third party to act as a go-between in the process. The idea has evolved into what is known as P2P crypto lending, which enables users to lend their cryptocurrency to a borrower who is looking for a loan secured by cryptocurrency. These ideas give crypto investors much leeway, as they can determine their pricing for buying and lending cryptocurrency.
5 Best P2P Crypto Exchanges for Beginners
Huobi is widely regarded as one of the most successful p2p crypto exchange. Its average daily trading volume for it is $3.4 billion, which places it as the seventh-largest cryptocurrency exchange in the world at present. Users who have an account with Huobi have access to P2P trading on USDT, BTC, ETH, and HT (Huobi Token). They can conduct business in approximately 50 different currencies from all over the world. In addition, no fees or commissions are charged to either the producers or the takers of transactions.
Key Features of Huobi
- Third-largest P2P crypto exchange worldwide according to trade volume
- Supports 927 trade pairings and 348 cryptocurrencies
- A cutting-edge trading platform with Trading View tools and charts
- OTC trading fees for institutions are competitive, with 0.2%
- Supports 90 types of payment method for P2P trading
- Deep liquidity: Huobi Global, one of the world’s most active cryptocurrency exchanges, offers substantial liquidity in the well-known BTC/USDT and ETH/USDT trading pairs.
- Many cryptocurrencies: On the Huobi exchange, consumers can trade more than 400 cryptocurrencies.
- An accusation of wash trading: Huobi has been charged for wash trading, raising the possibility that its quoted trade volumes are exaggerated for marketing purposes.
- Largely unregulated: Since Huobi has been operating out of an unauthorized corporation in Seychelles, an extended range of nations prohibit the exchange from doing business there.
The Bitget exchange allows traders to deal in spot, futures, and cryptocurrencies all in one convenient location. The trades are executed on a unique platform for the cryptocurrency exchange. This exchange can be accessed via a web terminal or an application designed specifically for mobile devices. With maker fees of 0.02% and taker fees of 0.06%, Bitget’s fees are significantly lower than those of its competitors in the market. The commission can also be paid with the bonus monies credited to each Bitget customer after they have successfully registered, verified, and topped off their trading accounts.
Key Features of Bitget
- Demonstration accounts are available;
- Ways that are easy to get in touch with customer service;
- A diverse selection of cryptocurrencies that can be used to top off accounts;
- Providing a service of copying trades in exchange for residual money;
- The capability of lowering commissions by using credits obtained through the bonus program
- Ability to engage in trading based on algorithms
- The Bitcoin belonging to customers is stored in both warm and cool wallets on the exchange.
- There is no provision for making deposits or withdrawals using fiat currencies.
- The exchange website does not provide educational materials or resources for new traders.
OKX is the best-rated exchange among P2P crypto exchanges in 2023. Traders on OKX can determine their prices for USDT, USDC, Bitcoin, Ethereum, TUSD, and DAI. The OKX does not charge any fees for P2P trading, and it has one of the best cryptocurrency apps available for traders who want to make deals while they are on the move.
The variety of supported payment options is one of the most notable aspects of the main decentralized cryptocurrency exchange. P2P traders using OKX can set prices in over two dozen fiat currencies and select from several banks and payment methods for each currency. More than 900 distinct payment methods are made available to traders in any part of the world through OKX’s platform.
Key Features of OKX
Trading hundreds of tokens and trading pairs on the spot, margin, and derivatives markets is possible with OKX. Connect your Web3 wallet to your DeFi portfolio to consolidate the management of all your decentralized assets. On our NFT Marketplace, you can create, purchase, and sell NFTs.
- Low trading fees for the majority of trades of 0.10% or less
- Possibilities with a high rate of interest
- Buying cryptocurrency is simple with a card, bank account, or digital wallet.
- Users in the United States cannot use it
- Several currencies have little liquidity.
- Mixed feedback from previous clients
On top of its P2P platform, Bybit enables users to stake their cryptocurrency in exchange for a guaranteed yield, which is one of the reasons that Bybit is regarded as one of the best P2P crypto exchanges. When you stake USD Coin, you can earn an APY of 5.50%. (USDC). Because the Bybit P2P cryptocurrency network only supports transactions in Tether, its functionality is somewhat restricted (USDT).
You can conduct business in various fiat currencies; however, the list of supported currencies is less extensive than on other leading P2P Bitcoin exchanges, such as Binance or Huobi. When making a purchase using the P2P network, you have access to various payment methods and no transaction fees. However, there are some restrictions, and these restrictions change based on the terms of the seller.
Bybit also provides various additional cryptocurrency products, including spot trading against USDT, BTC, USDC, and DAI. Trading in cryptocurrency derivatives such as futures, options, and perpetual contracts is also available on these platforms. Tools offered by Bybit for DeFi mining, liquidity mining, staking, and harvesting may also be of interest to more advanced users. Additionally, Bybit Savings provides guaranteed returns on certain cryptocurrency assets.
Key Features of Bybit
It provides futures trading and margin trading with 100x leverage. Users of Bybit can leverage their money 50 times for other currencies and 100 times for Bitcoin.
- Simple registration on the internet and mobile application
- Enticing fee schedule
- Completely private exchange
- Trading perks and bonuses
- Elevated liquidity
- Limited choice of crypto assets
- Accounts cannot be funded with fiat money
Binance P2P is the most popular peer-to-peer cryptocurrency exchange and also the most popular cryptocurrency exchange for margin trading. As all traders know, Binance is the largest cryptocurrency exchange when measured by trading volume. The size of the Binance exchange is highlighted by the fact that daily transactions totaling $26 billion are carried out through the platform. For comparison, the second-largest exchange in the world processes daily transactions totaling $6.6 billion.
Binance is widely regarded as the top P2P crypto exchange because it enables traders from all over the world to conduct business in a variety of fiat currencies and crypto assets, including altcoins, via spot and P2P trading, in addition to trading on futures, options, and margin-based products. This is one of the reasons why Binance is considered to be the best P2P crypto exchange overall.
Key Features of Binance
- Binance is a cryptocurrency exchange that provides investors and traders with a flexible and reasonably safe platform.
- Both inexperienced traders and seasoned professionals could find trading on Binance challenging.
- Binance has fees that are far lower than those of the majority of other cryptocurrency exchanges.
- More than 125 cryptocurrencies are available.
- Low or nonexistent fees for trading.
- Not accessible in four states in the United States (New York/Hawaii/Texas/Vermont)
- There are fewer crypto-to-crypto currency pairs available compared to the worldwide Binance site.
- Fewer options are available compared to the worldwide Binance platform.
Comparison Table of 5 Best P2P Crypto Exchanges
|P2P Crypto Exchange||Huobi||Bitget||OKX||Bybit||Binance|
|Main Platform Features||Allow users to borrow, buy, stake, sell and use a variety of cryptocurrencies.||Skilled Customer Support available around-the-clock||Trade in the spot, margin, and futures markets hundreds of tokens and trading pairs.||Margin trading with 100x leverage is possible.||Low fees and hundreds of coins.|
|Fees||Huobi Global levies a flat fee of 0.2%.||The trading fee of 0.1%||Market makers receive 0.1%, and market takers receive 0.15%||The taker and maker fees are only 0.06% and 0.01%, respectively.||Accessible to 0.6%, but 3.75 if using a debit card.|
|Number of cryptocurrencies supported||By more than 1,000||Includes more than 250 coins and tokens||Over 300 cryptocurrencies||Over 100 crypto tokens||350+ cryptocurrencies are available.|
|Security||The anti-phishing feature is a security feature.||Regulatory licenses for Canada, Australia, and the US.||OKX uses industry-recognized security procedures.||Regulatory licenses for Canada, Australia, and the US.||Using the Google Authenticator app or a short message service for two-factor authentication (SMS)|
How to Choose the Best P2P Crypto Exchanges in 2023
Security, trading costs, trading volume, and payment options are items to check for in a p2p crytpo exchange, just like in a centralized business.
The responsibility for security relies on you as the user because P2P exchanges are direct person-to-person. Safeguards such as arbitrators and escrow accounts for security deposits are in place. Still, you are responsible for reviewing a buyer’s or seller’s profile to determine whether they are a responsible party to deal with.
P2P cryptocurrency trades are non-custodial. Thus the fees will probably be less than if you utilized a standard centralized exchange. On most P2P deals, there are no costs associated with buying or selling Bitcoin; the only costs are associated with advertising on the site, which is different from merely posting a buy or sell offer. There is no central authority to take a commission because transactions are conducted directly between users. When there are fees, they are often less than 1% overall and often exclusively on the seller’s side. Only when utilizing an alternate payment method typically increases fees.
Examining each P2P crypto exchange’s prospective payment options makes sense if you’re seeking a unique way to purchase or sell bitcoin. This is something that differs by vendor as well as by exchange. Specific payment methods, such as bank transfers, credit or debit cards, or cryptocurrencies, are possibly the only ones that some vendors will take because they are more in line with centralized exchanges. Other vendors might accept entirely alternative payment options, like PayPal, gift cards, points from loyalty programs, and even goods and services.
Because P2P exchanges are direct, there are probably fewer users on the website, which results in lower trade volume. If you want a purchase or sell offer to be filled fast on a P2P exchange, you should discover which produces the most traffic and, consequently, the most significant volume; otherwise, you might wait longer than you wish to make a trade.
What are the advantages of P2P crypto exchanges?
Numerous Payment Options
The fact that the best P2P crypto exchanges often allow more payment options than centralized platforms is a definite plus.
Quick P2P Transactions
Once the contract has been accepted by both the buyer and the seller, the majority of the time, the transaction can be completed quickly. This is subject to the usage of a primary payment mechanism, such as a local bank transfer or an e-wallet.
How to Trade Cryptocurrency on a P2P Crypto Exchange
If you follow the steps below in order, you can easily trade on the P2P crypto exchange.
- Sign in to your Huobi App account.
- Tap “Trade” after logging in, followed by “Fiat” and “P2P.”
- Choose the cryptos, fiats, and payment method.
- Choose the price you want, then click “Buy.” The maximum and smallest quantity of cryptocurrency you can purchase is the limit.
- Type the amount of money or cryptocurrency you wish to purchase in the next 45 seconds, then select “Order.”
- To transfer the funds, choose your preferred payment option and click “Pay Now.”
- If you have questions, tap “Contact” and get in touch with the vendor.
- After that, transfer the funds using the preferred payment method within the issued period. You may switch from the Huobi App to your payment gateway to transfer the money. Please return to the Huobi App after the payment is made to confirm it.
- Double-check that you have paid the seller. If so, click “I Have Paid.”
- Wait for 5 minutes for the seller to verify the transfer in their account. To speed up this procedure, you might offer screenshots or other payment documentation. Please use the “Complaint” button if the seller does not give you access to the cryptocurrency. You can get help from our online Customer Support at any time.
- After the vendor has received your payment, your cryptocurrency will be put into your Fiat Account.
- In “Assets,” you can also view the cryptocurrency you bought.
One of our time’s most ground-breaking and disruptive financial developments is peer-to-peer lending. P2P lending depends on modern technology, lifestyle, and how we earn, spend, and invest. It offers individuals who have left behind a chance to integrate financially.
This article compares the top P2P crypto exchanges regarding the coins offered, fees, security, and liquidity. We have concluded that Huobi is the leading provider overall in this field. The P2P crypto exchange known as Huobi accepts a wide range of new cryptocurrency projects and payment methods, the latter of which includes local bank transfers, e-wallets, and several other options. The business is straightforward, and the first configuration takes only a few moments to complete.
Is p2p trading the ideal method for purchasing cryptocurrency?
Buyers can buy digital assets directly from sellers on the finest P2P crypto exchanges. Even so, the buyer will still have to create an account with the P2P exchange and go through a KYC procedure if fiat money is utilized.
Does Crypto.com support P2P trading?
A P2P exchange service is not available on Crypto.com. However, it does provide a decentralized exchange that enables buyers to trade bitcoins without going via a middleman.
Which P2P crypto exchange is the best?
According to our analysis, the top P2P Bitcoin exchange overall is Huobi. Various currencies and payment methods are accepted for transactions between buyers and sellers, and verified accounts may be created in just a few minutes.