Peer-to-peer trading is a concept of crypto that allows traders to trade and communicate with each other directly. It is a direct system of trading with no third parties involved.
How it works
Peer-to-peer trading and exchange are like registering on a site; you only need your email and password to register, and you don’t need to drop an identification number or any other personal information.
After registering, if what you want to do is buy, all you need to scroll through the posted offers and pick what matches your preferences.
As a registered seller, you must post what you have for sale on the site and what you will charge or receive as payment.
After both parties have limited transactions, certain things would still be required for both parties to do depending on the site they are registered to. Some places might ask for a coin or some other form of collateral to serve as substance; upon successful exchange, the collateral would be released to its owners.
What to watch out for when making a peer-to-peer trade
Peer-to-peer trading platforms
Paxful: came to the limelight in 2015.
And presently, they have over 4 million users. They use PayPal, western union, gift cards, and reward points as payment options.
Local bitcoins: first came to be in Finland in 2012; they accept various payment methods, and one of them is PayPal.
Bisq: it is considered a decentralized exchange because you have to download their app, you would also have to run the software, and they have a fee attached, the price is between 0.2 to0.6percent they also have limits placed on transaction amounts for new accounts.
Local coin swap: they have 250 different payment methods available, and 25 cryptocurrencies are supported on the exchange; they don't charge, and they also use an escrow service to protect their users.