In this article I will 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 an straight forward showing you the step by step processes.

Without further ado, let’s get to it.

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

What is P2P?

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.

What is Escrow? escrow service.

What is Escrow

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.

How to Buy Crypto via P2P

Alright, let’s get into the app. How to Buy Cryptocurrency 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 always mentioned investing a decent sized portion of income or that which you won’t be troubled by fluctuations. Anyway, let’s get started.

When you logged into the Binance App, you will see the current home page. 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. 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. On the p2p interface you get to see each user and what mode of payment, most of them 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. As a Nigerian I want to buy 50,000 Naira 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. The information of the person I’m buying USDT from will appear. What is highlighted here is that “Binance is holding the seller’s crypto in the escrow account and they have 24/7 customer support. Do you remember what I talked about regarding Escrow, well this is it. So their money is held and when you transfer to this person and the person confirms, it is released to you. So it’s not like you can make a transfer to the person and the person just runs away, their USDT is being held so if the person runs, you get the money anyway. You can also see that you’ve got about 14 minute time limit to make the transaction work.

You can also message the merchant or whoever you're trading with to confirm if they’re online. Always message them before anything. just type “are you online” For this person, once you got confirmation that they were online. I just made a transfer to their normal bank account that was shown. Then just message the person that you have sent it, with a snapshot of the proof of payment. The seller who is supposed to give you the USDT for the money you just sent will now release the payment to you. He also has a timelimit to release it. The seller will released the USDT to your wallet and that’s pretty much it about Buying.

You can simply rate the person Positive or Negative. Of course, if you didn’t have any issues you rate them positive. That’s about it for buying, you will see that money is in your wallet and if you want to use the 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.

Selling

Now How about Selling?

How to Sell Crypto via P2P

Well it’s pretty much the same process with 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 you click Sell, you get the exact same options like the Buy Page. you can also do Express Selling which is what I’ll do now so instead of picking the buyers or sellers one by one, 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. The Buyer will have a time limit as well. I usually click on the Chat section to see if there’s any message for me and sure enough. The person may asked that you release the coin once you receive payment. Obviously, Anyway, you 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 Binance is holding my $80 in escrow so until I receive the payment and I click accepted, no one is getting anything and that’s what I like about P2P trading. As you can see, I have indeed gotten the payment and I’ll just need to confirm that I have received it.

There’s also a warning message that says you should check your bank app very well to be sure you indeed have received it. I can then click on Confirm. What Binance does for further security is that they send a 6 Digit Code to be absolutely sure because it’s money, if a hacker wants to move your money, they’ll need to steal your phone for that so that extra layer of security is embedded and even if your phone gets stolen you’ll need to block your SIM card immediately. Once I type in the code. I get a confirmation message saying I have sold my $80 on Binance for 45,000 Naira cash into my bank account. It’s that easy.

Basically like a normal transaction or a transfer between two people. One thing to keep in mind is that for security purposes and so one’s account doesn’t get flagged, people don’t have to write crypto currency as the reason for transfer. They can just put a generic word there like Payment or something. That is when they’re transferring with their banking apps. Anyway, I always recommend leaving a positive review or rating and that’s pretty much it on how to buy and sell tokens or crypto.

You can do this with almost any cryptocurrency on Binance like Bitcoin, Ethereum, BNB, BUSD and the likes. It’s all the same process and these tokens are one way many people store their cash assets.

Thank you so much and I’ll see you in the comment section.