Preventing Common Fraud Activities in P2P Trade

Below are some of the most popular P2P scams you should be aware of and the best practices to avoid them.

When making online transactions on Binance P2P, it’s essential to double-check all payment-related information shared by your counterparty. Scammers can digitally manipulate screenshots and claim that they’ve upheld their part of the deal and pressure you into releasing your funds. If you comply without confirming that you’ve received the payment, you risk losing your money or digital assets with little to no chance of recovering them.

Always check your bank account or e-wallet to confirm that you’ve received the funds from your counterparty before marking the transaction as complete.

In this type of scam, fraudsters will send their victims an SMS text message that looks identical to the notifications sent by banks or wallet apps to notify the victim that they’ve received a payment from their counterparty.

Make sure to check your bank account or e-wallet to confirm that you’ve received the funds from your counterparty. Don’t blindly trust the text message. Always log in to your bank account or e-wallet and double-check whether you’ve received the funds.

Scammers can initiate a chargeback (available for some payment methods) to retract the payment they’ve made to their counterparty. In many cases, fraudsters will process payments via a third-party account.

If your counterparty tries to pay you with a cheque deposit, it’s most likely a scam because requesting a chargeback from cheque payments is very easy. If your counterparty insists on paying you with a cheque, don’t release the funds and file an appeal immediately.

Always check that the buyer’s name on the payment details matches their verified name on Binance. Don’t accept payments from third-party accounts. If it happens, file an appeal and refund the payment to the sending account.

Also, beware of advanced scams like these:

The scammer will pretend to be a reputable merchant looking to buy or sell crypto on Binance P2P. They'll contact their victims on Telegram, WhatsApp, or social networking platforms and send the victim their bank account details and a link to a P2P ad to let them know they'll be making a payment via this account. The scammer will then ask the victim to confirm that they've received the account details by having them copy them over to the chat on the order page.

The victim doesn't realize they are sharing the scammer's bank account details in the chat of an unrelated buyer, who is also unaware of the scam. The victim then releases their crypto to the unrelated buyer, who unknowingly sends money to the scammer's bank account.

If the victim tries to reverse the transaction by opening an appeal, there isn't much customer service can do. Because all communication with the fraudster took place outside the Binance P2P platform, and the buyer sent their funds to a third-party scammer account.

Don't respond to any P2P trading requests outside of Binance P2P. Limit communication with your counterparty to the Binance P2P chat before or during a transaction. More importantly, if a buyer asks if they can make payment via a third-party transfer, remind them that transfers made from someone else's account violate P2P transaction policies. Also, double-check your counterparty's bank account details directly on the Binance P2P platform. Refrain from trusting information or offers received on external channels.

A triangle scam involves two scammers simultaneously placing two orders with the same seller. Scammer A makes an order for 5,000 USDT worth of crypto (order A), and Scammer B makes an order worth 6,000 USDT (order B).

Scammer B then transfers 5,000 USDT to the seller. At the same time, Scammer A marks order A as paid. The seller releases the crypto to Buyer A, thus completing order A for 5,000 USDT. Scammer B sends another 1,000 USDT to the seller, provides the 5,000 USDT payment proof they got from Buyer A, and pressures the seller to release digital assets under order B.

The fraudster’s goal is to make the seller release the funds immediately without verifying the transfer. It can be easy to release funds without verifying who initiated the transfer. If you're not being careful, you could be releasing the funds twice but only receive half or less of the assets being bought.

Always check your bank account or e-wallet to confirm that you've received all the funds from your pending P2P transactions. Be careful with the proof of payment counterparties send you, and remember that scammers may try to reuse these proofs.

This type of scam involves scammers posing as Binance employees to offer fake services to steal people's funds. The scammer will contact potential victims via unofficial emails or social media accounts that look like official Binance accounts.

In some scenarios, scammers might impersonate Binance Customer Support in the P2P order chat. For example, they claim that the “buyer” had paid the required amount and the fund is now in Binance's account. To receive payment, you’ll need to send assets via internal transfer (or other services) to an unknown account.

They'll ask you in the P2P chat for your email address, claiming that it's required by the "Binance P2P Escrow service" to confirm your payment. Then they'll send you an email that looks remarkably similar to official Binance emails to make you believe that you need to release the crypto first to receive the payment.

Binance will never send emails asking you to complete a P2P transaction. Always release funds after receiving the payment. Pay attention to the username or email address. You can verify the authenticity of email addresses and site links on Binance by searching the sender's address on this page.

Note: Do not mention anyone's name or share offline contact information in the chat. Payment must be submitted using the counterparty's specified payment method, and the name on the account must match your counterparty's verified name on Binance.