With the abundance of crypto trading platforms available today, many crypto investors are not aware of P2P (peer-to-peer) cryptocurrency trading, which involves the buyer and the seller directly arranging a cryptocurrency purchase with each other. This was one of the main ways of buying crypto in the early days of cryptocurrency, but it’s still around today and has some unique benefits that are worth considering.
Some exchanges, including Binance, understand the appeal of P2P crypto trading, and offer P2P trading options to their users. In the case of Binance, the Binance P2P platform makes it easy for buyers to find the right seller, while providing a secure escrow service to minimize the chances of scams. In addition, Binance doesn’t charge any additional fees on P2P trades.
One of the biggest advantages of Binance P2P is the abundance of supported payment methods, which also includes cash-in-person trades in addition to various digital payment services. The Binance P2P platform supports a solid selection of cryptocurrencies, including BTC, ETH, BNB, USDT, BUSD and DAI.
Binance P2P makes it simple to buy or sell crypto through cash-in-person deals, which means that it’s a great option for people that want to convert their crypto into cash or vice-versa.
Convert your crypto into cash on Binance P2P
In this article, we’ll be taking a look at what the Binance P2P has to offer, with a focus on the cash-in-person payment method.
Converting crypto into cash on Binance P2P
If you want to convert your crypto into cash on Binance P2P, the first step is to create a Binance account if you don’t have one yet. Please note that Binance requires users to verify their identity before they can use the exchange’s services.
Once your account is all set up, head over to the “Buy Crypto” section of the navigation bar and select “P2P Trading”.
Welcome to the Binance P2P marketplace! The search bar on the top of the interface allows you to customize the ads displayed to you. You can choose the amount you want to buy or sell, the currency you want to use, your preferred payment method, as well as your region.
In our example, we’ll be looking to sell our cryptocurrency, more specifically Tether (USDT), for US dollars. Let’s say that we want to sell 1,000 USDT. To do this, we’ll set the mode to “Sell”, put 1,000 as the amount, select USD as the fiat currency, and filter for the Cash in Person payment option.
Now, the page will only display the merchants that fit our desired criteria. Ultimately, it’s up to you to decide which merchant to go with. This will depend on whether you prioritize the best exchange rate, the merchant’s rating, or convenience (for example, you might not want to do a cash-in-person deal with someone that’s located far away).
If you click on “Sell USDT”, you will be able to see more details about the seller. Ideally, the seller will provide clear instructions on how the deal will be conducted. It’s better to avoid merchants that are vague or not willing to answer basic questions.
Once you decide which merchant you want to use, you can select your payment method. In our example, this will be Cash in Person. Then, enter your payment details. Of course, the information should match the identity that you verified through Binance’s KYC (know your customer) process.
The next step is to enter the amount you wish to sell. After that, you will have to communicate with the merchant to arrange the time and place at which the in-person transaction will take place. We recommend to use Binance’s built-in chat feature if possible, as this will help Binance’s customer support staff to settle any potential disputes.
Understandably, some users might be a bit apprehensive about meeting with a stranger and selling their cryptocurrency for cash. The nice thing about Binance P2P is that you can see the other user’s number of trades and completion rate, so you can select P2P traders that have already completed a lot of trades successfully. If you want to be extra safe, you can limit yourself to only dealing with users that have a Pro Merchant status.
Ideally, the in-person transaction should happen in a public place, for example an office in a business center. If possible, you should have a friend with you, just in case.
As long as you choose a merchant that has a lot of completed trades and a good completion rate, you should be safe. However, it never hurts to be careful.
How to become a cash merchant on Binance P2P
In the example above, we looked at an example of finding a suitable P2P trading ad. If you want to post ads yourself for crypto-to-cash trades, you’ll have to become a cash merchant on Binance P2P. For the sake of user safety, Binance has a more strict screening process when approving users for cash merchant status on Binance P2P.
If you are interested in becoming a cash merchant on Binance P2P, you’ll have to fill out an application first. If you pass the application screening process, you will be contacted by Binance staff through Telegram or email. During this second phase of the screening process, you might be asked to provide additional documents or information.
According to Binance, these are the three main requirements to becoming a cash merchant on Binance P2P:
- Significant experience in handling P2P trades, or handle cash trades
- Physical office
- Capacity to provide security deposits
As you can see, the requirements are quite strict and not everyone will be able to pass. However, this system does provide much better confidence for users that are looking to buy and sell crypto through cash deals, as they know that the merchants are screened beforehand. For more detailed information, check out this guide on the official Binance website.
Why choose Binance P2P for converting from crypto to cash?
Binance P2P has established itself as a leading P2P crypto trading platform. As the world’s most popular exchange, Binance knows exactly what users need and how to manage a trustworthy crypto trading platform.
Strong fiat currency support
The Binance P2P offers support for a wide variety of fiat currencies. Of course, there’s the major global currencies such as USD, EUR and CNY, but there’s also dozens of smaller currencies to choose from. However, you should keep in mind that there might not be a lot of deals available when it comes to smaller currencies.
Binance P2P is a global platform that doesn’t limit itself to specific regions. You’ll be able to find merchants in many different countries. Still, it’s important to note that most crypto-to-cash ads will only be available in specific countries. For example, if you live in Europe, you probably won’t be able to arrange a crypto-to-cash transaction with a merchant based in Asia.
Strict screening process for cash merchants
As we’ve covered above, the process of becoming a cash merchant on Binance P2P involves a strict screening process. This means that you will be dealing with merchants that have been screened beforehand. However, it’s still recommended to take some precautions, just in case.
If you use Binance’s built-in chat feature to arrange the transaction with the merchant you selected, Binance’s customer support staff will be able to serve as a mediator if any disputes arise. This is because the customer support staff will be able to see the correspondence and take action accordingly. For this reason, we recommend you use Binance’s built-in chat feature to communicate with the merchant.
Fair exchange rates
While the offered exchange rate will vary from merchant to merchant, you will usually be able to find fair exchange rates offered by cash merchants on Binance P2P.
The bottom line – Binance is the leading P2P crypto marketplace
If you’re looking to make P2P cryptocurrency trades, it’s hard to go wrong with Binance P2P. This is especially true for exchanging between crypto and cash, as Binance ensures that all cash merchants on their P2P platform are vetted. The platform’s user interface makes it easy to find the right merchant for you, and there’s a solid selection of fiat and crypto assets you can use in your P2P trades. In the event of disputes, Binance’s customer support staff can assist you if you arranged the deal through Binance’s built-in chat.