Peer-to-peer (P2P) crypto trading has emerged as a dynamic and user-centric alternative to traditional exchanges. Various P2P platforms offer distinct features catering to the diverse needs of users worldwide, from security measures to supported assets and payment methods. So, how can you identify the platform that will serve you best?
This article is the answer to that question. In it, we dive into the features, advantages, and drawbacks of prominent P2P cryptocurrency exchanges, providing you with valuable insights to navigate this dynamic landscape.
Key Takeaways
- P2P (peer-to-peer) trading involves individuals buying or selling cryptocurrencies directly without intermediaries.
- P2P exchanges are platforms where users post crypto trade offers, negotiate terms, and execute transactions.
- MEXC, OKX. Binance, KuCoin, Bybit, Huobi (HTX), Paxful, HODL HODL, Bisq, and LocalCoinSwap are the top P2P crypto exchanges.
- When choosing a P2P exchange, look for one with security features such as escrow services, cold storage, and identity verification.
- A good P2P exchange should also support multiple payment methods, a wide range of supported cryptocurrencies and meet your regional requirements.
List of the Best P2P Crypto Exchanges in 2024
There are several popular and highly reputable P2P exchanges that you can explore in 2024. This section tells you about the best P2P crypto exchanges and what makes them great options.
- MEXC: Best Overall P2P Trading Exchange
- OKX: Best For Wide Fiat Currency Support
- Binance: Best For Diverse Payment Methods
- KuCoin: Best For User Friendliness
- Bybit: Best For P2P Coupons
- Huobi (HTX): Best For Advertiser Verification
- Paxful: Best For P2P Online Wallet
- HODL HODL: Best For NO-KYC
- Bisq: Best For Privacy When Trading P2P
- LocalCoinSwap: Best For Gift Card Payment Methods
1. MEXC
MEXC is one of the best P2P crypto exchanges in the crypto market for a seamless trading experience. To engage in MEXC P2P trading, you must complete the Primary Know Your Customer (KYC) verification.
After completing the KYC process, users can place a P2P order on this exchange. MEXC secures the security of the transaction until both parties confirm the successful completion of the fiat currency transfer. The locked crypto assets will be inaccessible unless the order is canceled or released to the buyer after confirmation of finishing the transaction from both parties.
MEXC P2P supports various cryptocurrencies, including USDT, USDC, BTC, and ETH. However, its fiat currencies support is limited to VND (Vietnamese Dong), RUB (Russian Ruble), and KRW (South Korean Won). Additionally, MEXC is supporting over 30 payment methods, including bank transfer, MoMo, Shopeepay SEA, and Zalo Pay.
Pros of MEXC
- Zero Trading Fees: The transaction fees for P2P trading are free on the platform for buyers and sellers
- Comprehensive Payment Methods: With over 30 payment methods available, MEXC offers users flexibility and convenience in conducting transactions.
- KYC Compliance: The mandatory completion of Primary KYC adds an extra layer of security and compliance, contributing to a safer trading environment.
Cons of MEXC
- Limited Fiat Options: MEXC P2P supports only three fiat currencies, which might be limiting for users who prefer a broader range of fiat options.
- Limited Institutional KYC Support: MEXC P2P only accepts Individual KYC, and institutional KYC is not permitted. This might be a drawback for institutional users seeking P2P trading.
2. OKX
OKX is the second P2P trading exchange you can try for trading. This crypto exchange is famous for its diverse fiat currency selection. The OKX P2P trading exchange supports at least 100 traditional currencies, including USD, GBP, INR, and CAD. Additionally, OKX supports at least 427 payment methods, including credit and debit cards and convenient options like Apple Pay.
Security is also a top concern of OKX exchange. This exchange uses a secure escrow service to hold crypto from the seller until the seller receives a payment confirmation. In cases where a seller refuses to release the crypto after the buyer has made the payment, the buyer can submit a dispute to OKX customer service to protect their right.
To participate in the OKX P2P marketplace, users also need to have a registered OKX account and complete the KYC verification process.
Pros of OKX
- Diverse Fiat Selection: OKX P2P supports an extensive selection of 100 fiat currencies.
- Extensive Payment Method Options: OKX exchange supports over 427 payment methods, including credit and debit cards and Apple Pay.
- No Service Fee for Trading: OKX P2P does not impose service fees on P2P trades.
Cons of OKX
- Learning Curve: The wealth of features on OKX may present a slight learning curve for beginners.
- Limited Crypto Options: This platform is limited in terms of supported cryptocurrencies. OKX only supports USDT, USDC, ETH, and Bitcoin for P2P trading.
3. Binance
The third ranking in this list is Binance P2P, which is one of the largest P2P centralized exchanges. This exchange supports over 800 payment methods (cash, bank transfer, AliPay, WeChat, PayMe) and over 100 fiat currencies (Argentine Peso, Indian Rupee, United States Dollar)
For P2P transactions, Binance P2P has an escrow service to safeguard buyers and sellers. When an ad is posted, the specified amount of crypto is automatically reserved from the seller’s Funding Wallet. If the seller does not release the crypto, this reservation ensures that the customer support department from Binance can intervene and protect the buyers’ rights.
The trading fees for Binance P2P vary for takers and makers, depending on the fiat trading pairs and the specific zones. These fees range from 0.1% to 0.35% (takers) and 0% to 0.35% (makers).
Similarly to MEXC or OKX, Binance also requires users to complete the KYC verification process before participating in P2P trading.
Pros of Binance
- Extensive Payment Method Options: With over 800 payment methods available, Binance P2P offers unparalleled transaction flexibility.
- Wide Fiat Currency Support: Binance P2P supports trading over 100 fiat currencies, catering to many users’ preferred fiat currencies needs.
Cons of Binance
- Trading Fees for Makers: Makers on Binance P2P are subject to transaction fees, while other exchanges, such as MEXC do not change any P2P trading fee.
- Dependency on Customer Support in Disputes: In cases where disputes arise, users depend on Binance P2P’s customer support for resolution, potentially causing delays in conflict resolution.
4. Kucoin
In fourth place is KuCoin, which is among the most secure and user-friendly centralized exchanges for P2P trading. This crypto exchange is famous for its flexibility, accessibility, and convenient transactions. KuCoin offers a user-friendly interface and an intuitive platform with multiple order types designed for P2P trading.
P2P trades on Kucoin are known for their safety measures. KuCoin ensures the safety and fairness of every transaction through its escrow service. To use the Kucoin P2P trading service, all traders must complete verification.
Kucoin P2P also recognizes the importance of flexibility in supported assets. As a result, this platform supports a variety of cryptocurrencies, including Bitcoin (BTC), Tether (USDT), Ethereum (ETH), KuCoin Shares (KCS), and USD Coin (USDC), and over 30 fiat options, such as USD, NGN, INR, MYR, and RUB.
This diversity extends to payment methods. Kucoin offers over 100 payment channels, from credit/debit cards, local bank transfer, and digital wallets.
Pros of Kucoin
- User-friendly interface: Kucoin’s intuitive and feature-rich interface can help users easily participate in P2P trading.
- Wide Range of Fiat Currencies: Kucoin supports over 30 fiat currencies, including USD, NGN, INR, MYR, and RUB.
- Zero Trading Fees: The platform offers zero fees, providing users with a cost-effective solution for P2P trading.
- Extensive Payment Method Options: KuCoin P2P facilitates over 100 payment methods, offering flexibility and convenience to users across different regions.
Cons of Kucoin
- Limited Cryptocurrency Options: KuCoin P2P supports major currencies, but the selection may be limited compared to other P2P crypto exchanges offering a more extensive range.
- Limited Advanced Features: While KuCoin covers a range of trading services, it may need more advanced features and tools on other crypto exchanges.
5. Bybit
Bybit is one of the best crypto exchanges for P2P coupons. These coupons are designed to reward users for buying USDT or USDC. For example, when a user buys 20 USDT, they can get a coupon worth 2 USDT. Redeeming this coupon allows them to earn two free USDT coins.
With support for at least 60 fiat currencies and major cryptocurrencies such as BTC, ETH, USDT, and USDC, Bybit P2P ensures a comprehensive range of options for users engaged in P2P trading. The exchange also supports more than 100 payment methods. From debit and credit cards to in-person cash payments and beyond, the platform caters to diverse preferences and local requirements, ensuring a convenient trading experience.
To participate in Bybit P2P Trading, individual Identity Verification (Level 1) is mandatory. It’s essential to note that only individuals can complete Identity Verification on this exchange. Business Identity Verification does not apply.
Pros of Bybit
- P2P Coupons: ByBit P2P coupons help users get free USDT and USDC.
- Zero Trading Fees: Bybit P2P offers zero transaction fees for buyers and sellers.
- Extensive Payment Method Options: Supporting over 100 payment methods, including debit cards, credit cards, and in-person cash payments, Bybit P2P offers unparalleled flexibility, catering to diverse preferences and local requirements.
Cons of Bybit
- Limited Cryptocurrency Options: The platform offers P2P for only four cryptocurrencies: USDT, BTC, ETH, and USDC. This may be considered limited in cryptocurrency options compared to other platforms offering a broader range of digital assets.
- No Business Identity Verification: Bybit P2P only accepts individual identity verification. Business identity verification is not accepted. This limitation may affect business users seeking to engage in P2P trading.
6. Huobi
Huobi, now HTX, has established itself as a highly secure platform for P2P trading.
HTX P2P prioritizes security by implementing certified Advertiser Verification and Facial Recognition to ensure the legitimacy of users and transactions. HTX P2P automatically scans every transaction for suspicious activity to improve transaction security further and emphasizes mandatory KYC registration. This proactive approach enhances the overall safety of transactions on the platform.
Besides its strong security measures, HTX P2P stands out by not charging fees to users.
Pros of Huobi
- Certified Advertiser Verification and Facial Recognition: Implementing certified Advertiser Verification and Facial Recognition adds an extra layer of identity verification, contributing to secure and legitimate transactions.
- Zero P2P Trading Fees: Huobi P2P does not charge users fees to create a cost-effective trading environment.
- Extensive Local Payment Methods: With up to 59 popular local payment methods available, Huobi P2P caters to diverse transaction preferences.
Cons of Huobi
- Limited Cryptocurrency and Fiat Options: HTX P2P supports at least six crypto assets, including USDT, BTC, USDD, HT, TRX, and ETH, and five fiat currencies (CNY, RMB, HKD, USD, and VND). Some traders might find this selection limited compared to platforms that offer a more extensive range of digital assets.
7. Paxful
Paxful is one of the best P2P crypto exchanges that allows users to buy and sell Bitcoin flexibly. This exchange’s flexibility comes from the presence of its online wallet- Paxful wallet. This wallet is a great alternative for people in countries where cryptocurrency is restricted. It is available online, making it easy to access and use for buying and selling Bitcoin.
Paxful also prioritizes user safety. The exchange acts as an implementing escrow service, ensuring the buyer and seller have a secure trading experience.
Completing KYC verification is not mandatory on Paxful. However, users who verify their phone number and ID can unlock higher trading limits and additional benefits.
Pros of Paxful
- Diverse Payment Methods: Paxful supports over 350 fiat payment methods, offering users various options for buying and selling Bitcoin.
- Zero Fees for Buyers: Paxful distinguishes itself by charging zero fees to buyers, providing a cost-effective experience for users trading Bitcoin.
- Optional KYC Registration: While completing the KYC process is not mandatory, users can verify their phone number and ID, unlocking higher trading limits and additional benefits for those prioritizing enhanced security.
Cons of Paxful
- Limited Cryptocurrency Support: Paxful users can only trade Bitcoin (BTC).
- Verification for Enhanced Features: While optional, users who want to unlock higher trading limits and additional benefits.
8. HODL HODL
Hodl Hodl operates as a decentralized P2P Bitcoin exchange that requires no KYC/AML verification. This enables direct trades between buyers and sellers, offering a more privacy-focused trading environment.
Hodl Hodl generates a unique multi-signature escrow Bitcoin address for each contract between two parties to protect users’ assets. Multisig (P2SH) contracts ensure control over the funds in escrow.
Hodl Hodl supports over 100 payment methods, and a 0.3% trading fee applies to every registered user on the Hodl Hodl. However, users who register on Hodl Hodl with a referral code enjoy a reduced trading fee of 0.275%. This rate also extends to users who successfully refer at least one active trader to the platform.
Pros of HODL HODL
- Global Accessibility: Hodl Hodl allows users to trade in any fiat currency, offering flexibility and accessibility to a diverse user base.
- Diverse Payment Methods: With support for over 100 payment methods, Hodl Hodl provides users with various choices for conducting transactions, catering to various preferences and local requirements.
- Anonymous Trading: Hodl Hodl allows users to complete trades without KYC/AML verification, offering a more privacy-focused trading environment.
Cons of HODL HODL
- Limited Cryptocurrency Support: Hodl Hodl currently supports only Bitcoin (BTC) for P2P trading
- Limited Fiat Information: The information provided does not specify the complete list of supported fiat currencies, leaving users uncertain about the availability of specific currencies.
9. Bisq
Bisq – a decentralized Bitcoin exchange operating on a peer-to-peer network and open-source desktop software, is one of the best P2P platforms for privacy.
This exchange can connect traders to Tor, a privacy-focused web browser, so traders can anonymously run their crypto trades. It also allows traders to engage in peer-to-peer transactions without completing the KYC process, further emphasizing the platform’s core privacy and anonymity principles.
Also, to prevent fraud, buyers and sellers on Bisq must provide security deposits. Additionally, the trading funds and security deposits on Bisq are locked in a 2-of-2 multi-sig escrow that only releases funds when both parties fulfill their obligations.
Pros of Bisq
- Privacy-Centric: Bisq prioritizes user privacy by running as a desktop app connected to the Tor browser and allowing peer-to-peer trades without KYC verification, providing a private trading environment.
- Non-Custodial Model: Bisq follows a non-custodial model, so users retain control over their funds.
- Multisig Escrow: Funds and security deposits are locked in a 2-of-2 multi-sig escrow, adding a layer of security to the trading process.
Cons of Bisq
- Limited Cryptocurrency Support: Bisq exclusively supports Bitcoin for P2P trading.
- Complexity for Beginners: The decentralized and non-custodial nature of Bisq may present a steeper learning curve for beginners compared to platforms with a more user-friendly interface.
- Limited Fiat Information: The information provided does not specify the complete list of supported fiat currencies, leaving users uncertain about the availability of specific currencies.
10. LocalCoinSwap
LocalCoinSwap positions itself as a decentralized peer-to-peer Bitcoin exchange, offering users the flexibility to engage in trades with local, domestic, or international customers.
The platform incorporates escrow protection, ensuring that when selling, cryptocurrency is only released from escrow to the buyer upon payment confirmation. Dispute resolution is provided by the LocalCoinSwap support team if needed.
LocalCoinSwap supports 13 different cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Dash (Dash), Polkadot (DOT), and others. The inclusion of their native LCS token adds variety to the available options.
Users can choose from over 300 payment methods, including cash, local bank transfers, debit cards, credit cards, Paypal, and even gift cards from platforms like Amazon, Google Play, or Apple iTunes.
Pros of LocalCoinSwap
- Flexible Payment Methods: The availability of over 300 withdrawal and payment methods, including traditional options and gift cards, provides users with diverse choices.
- Escrow Protection and Dispute Resolution: Built-in escrow protection and a dedicated support team ensure secure transactions and swift dispute resolution.
- Privacy Focus: Complete the KYC process is not mandatory on LocalCoinSwap because this cryptocurrency exchange prioritizes user privacy during P2P trades.
Cons of LocalCoinSwap
- No information on Trading Fees: LocalCoinSwap does not provide its fee structures for P2P trades. This makes it difficult for interested traders to know how much they can spend on the platform’s services.
What Is P2P Trading?
P2P trading, or peer-to-peer trading, is a straightforward concept where individuals engage directly with each other to buy or sell cryptocurrencies. This form of trading operates through specialized online platforms, often called P2P crypto exchanges, P2P marketplaces, or P2P platforms.
How Do Peer-to-Peer (P2P) Exchanges Work?
P2P exchanges are very similar to online shopping platforms. Buyers and sellers sign up on a peer-to-peer exchange to participate in cryptocurrency trading.
Users post trade offers or Ads specifying whether they want to buy or sell cryptocurrency, the desired price or price range, and additional factors such as payment methods or location preferences.
The P2P platform offers an interface for the user to post this information and the trader to see, negotiate, and execute the trade.
P2P exchanges can ensure that both parties keep their end of the agreement by enforcing escrow or other robust security measures such as facial recognition and verification. Once both parties meet the terms of the trade, the peer-to-peer exchange transfers the assets according to each user’s account.
Pros and Cons of Peer to Peer (P2P) Crypto Exchanges
Like all trading platforms, P2P crypto exchanges have their advantages and disadvantages. Let’s discuss these in greater detail below.
Pros of Peer to Peer Crypto Exchange
- Direct Interaction: P2P trading enables direct interactions between buyers and sellers, eliminating the need for intermediaries. This can lead to quicker transactions and more personalized negotiation.
- Flexible Payment Methods: P2P crypto exchanges often offer a wide range of payment methods, allowing users to choose options that suit their preferences. This flexibility accommodates various financial preferences and regional differences.
- Global Accessibility: P2P trading enables users to engage in transactions globally. This broad market access is particularly beneficial for individuals in regions with limited access to traditional financial institutions.
- Negotiation Power: P2P trading allows for negotiation on prices and terms. Buyers and sellers can reach agreements that suit both parties, potentially resulting in more favorable outcomes than fixed-price exchanges.
Cons of Peer to Peer Crypto Exchange
- Risk of Fraud: P2P trading carries a risk of fraud, especially if proper precautions are not taken. Both buyers and sellers must be cautious to avoid scams or fraudulent activities.
- Potential for Disputes: Disputes may arise during P2P trades, and the resolution process may vary across platforms. Users should be prepared for the potential challenges of dispute resolution.
- Learning Curve: P2P crypto exchanges may have a steeper learning curve, especially for individuals new to crypto trading. This complexity may deter some potential users.
How to Choose the Best P2P Exchange
Choosing the best P2P exchange requires careful consideration of several key factors. Here’s a guide on how to evaluate P2P cryptocurrency exchanges to ensure a secure, convenient, and cost-effective trading experience
Security
Look for exchanges that prioritize security through cold storage, app security features like two-factor authentication, and escrow services. An escrow system ensures that the cryptocurrency is held securely until the terms of the trade are met by both parties.
Payment Methods
The best P2P exchange should support a variety of payment methods to cater to users with different preferences and regional requirements. Look for options like bank transfers, credit/debit cards, digital wallets, and even cash transactions.
Trading Fees
Examine the fee structure of the P2P exchange. The best P2P crypto exchanges are transparent about their fees, making it easy for users to understand the costs of crypto trading. Also, consider the trading fees’ competitiveness compared to other P2P crypto exchanges.
Transaction time
Evaluate the transaction speed of the P2P exchange. Some P2P exchanges may have faster payment transfers for certain payment methods like mobile payments.
Conclusion
The peer-to-peer (P2P) crypto trading landscape is marked by diversity, with each platform offering distinct features to cater to users’ unique preferences.
Through our research, MEXC, OKX, and Binance stand out as the best exchanges for a seamless P2P trading experience.
FAQs
What is the best P2P crypto exchange?
The best P2P crypto exchanges depend on individual preferences and requirements. However, some popular options with key features include MEXC, OKX, Binance, KuCoin, and Bybit.
What is the largest crypto P2P platform?
Binance P2P is recognized as one of the best P2P crypto exchanges, supporting over 100 fiat currencies and offering at least 700 payment methods.
Which crypto apps support P2P?
The best P2P apps include MEXC, OKX, Binance, KuCoin, Bybit, Huobi (HTX), Paxful, HODL HODL, Bisq, and LocalCoinSwap. Users can explore these crypto exchanges based on their features, security measures, and support assets.
Is KuCoin P2P safe?
Yes, KuCoin P2P is safe. However, if users are looking for enhanced features such as extensive payment methods and support for more crypto assets and fiat currencies, then MEXC is a better alternative.
Are P2P exchanges safe?
P2P exchanges are safe when using reputable platforms that prioritize security measures. Security features such as escrow services, cold storage, and identity verification create a secure trading environment. Users need to conduct thorough research and choose platforms with a positive reputation to minimize P2P trading risks.
