Review of Paxful: Peer-to-Peer Crypto Trading with More Than 350 Payment Options
How do you make money on Paxful? How do I get my money off Paxful? What is Paxful and how does it work? How do you use Paxful to receive money? How do I buy Bitcoin on Paxful? How do I buy and sell Bitcoins on Paxful? How do you use Paxful? Can Paxful be trusted?
A group of engineers created the peer-to-peer exchange platform Paxful in 2015 with the intention of making it easier for anyone to use Bitcoin. The website offers a direct exchange where cryptocurrency buyers and sellers may interact and conduct business with each other.
The buyer makes a cash deposit to the seller's account using one of Paxful's payment options, such as prepaid VISA, Gift Card Code, or Western Union. The seller releases Bitcoins to the customer immediately after they have received payment confirmation via Paxful's escrow service. In addition to being able to accept more than 85% of worldwide customers, sellers may take more than 350 different payment methods.
The Paxful platform has a $10 minimum purchase requirement and is accessible worldwide. Users of Paxful just need their email address to enter the marketplace; unlike centralized exchanges, which need them to register a username and password.
Paxful is one of the greatest options if you live in a nation where centralized cryptocurrency exchange platforms are prohibited or otherwise not accessible, as you may use it from any location with internet connection.
Full Paxful review
For cryptocurrency investors who enjoy looking for discounts and peer-to-peer trading, this exchange is a terrific fit. The bulk of investors won't find Paxful to be the best choice.
Is Paxful Safe?
Despite not being a regulated organization in any of the countries where it operates, Paxful's platform has KYC (Know Your Customer) and AML (Anti-Money Laundering) procedures that protect the whole market.
In addition, Paxful creates a fresh wallet for each deposit and withdrawal session, lessening the chance of a hack. Paxful has increased user account security over time by utilizing ID verification and two-factor authentication, which makes use of Google Authenticator.
If you are dealing for more than $1500, you must present ID proof. The bitcoins are held in custody by this peer-to-peer exchange's escrow service until the deal is consummated and both sides are content with it. The Paxful wallet allows multi-sig wallets, making it user-friendly. Users now have options for how they wish to configure the security of their wallets thanks to this functionality.
Additionally, BitGo, the most well-known and secure bitcoin wallet provider in the business, provides the platform's wallets.
What could be improved?
just three cryptocurrencies are available
You may trade a limited variety of cryptocurrencies on Paxful. It provides the two most popular currencies, Ethereum and Bitcoin. The only other cryptocurrency it has is Tether, a stablecoin created to keep its value at $1.
The variety offered by Paxful is insufficient if you want to create a portfolio of several cryptocurrencies. Even if you don't mind limiting yourself to Bitcoin and Ethereum for the time being, you might desire more alternatives down the road.
Risk of scams
The main issue with peer-to-peer cryptocurrency trading is that it draws con artists. You must be mindful of possible frauds when using Paxful and research a person's reputation before trading with them. On cryptocurrency exchanges that handle trade processing for you, you don't need to be concerned about those problems.
Here are several scams to be aware of if you want to purchase or sell cryptocurrency via Paxful:
You are asked to trade with a vendor outside of Paxful. Even if they offer you a discount, never agree to this. If you don't use Paxful, the seller will be able to take your money and run if there is no escrow protection.
After payment, a vendor requests that you end the transaction. Although it can also happen with other payment methods, scammers frequently use gift cards as a form of payment. The con artist could steal your money if you cancel after you've already made a payment.
Using a reversible payment mechanism, a customer makes a purchase and starts a chargeback. For instance, a buyer may pay using PayPal or a credit card and then issue a chargeback once they received their cryptocurrency. One of the biggest hazards for sellers is this. Paxful accepts chargebacks, however there is no assurance the exchange will be successful in recovering your funds.
Trading may be challenging
On Paxful, it might be difficult to buy and sell cryptocurrency. You must go through the available offers to locate one that meets your criteria for a fair price, a convenient form of payment, and a seller with a good feedback rating.
Once you've located an offer, you must read the guidelines and get in touch with the other user. It's important to note that a sizable number of Paxful's users are from outside the United States, thus there may occasionally be a language barrier.
All of those problems can be solved if you wish to use Paxful. There are, however, better cryptocurrency exchanges out there if you're seeking something quick and simple.
Limited support options
Paxful's customer care system isn't the finest. Using a chatbot or submitting a ticket are your only choices for getting assistance at this time. You cannot phone or engage in live chat with a representative.
You must first launch the chatbot in order to submit a ticket, and only then can you do so. This can be annoying since it means you have to respond to several chatbot prompts before you can write about your problem and send it to Paxful.
Unavailable in three states
The following states do not provide Paxful due to regulatory limitations:
New York
Washington
West Virginia
Tether trading is not permitted to be made available to users in Texas.
A peer-to-peer cryptocurrency exchange called Paxful offers Tether, Ethereum, and Bitcoin. By posting advertising and replying to them, it enables communication between buyers and sellers.
During the transaction, cryptocurrency is stored in Paxful's escrow account. Paxful sends the cryptocurrency to the buyer when the buyer and seller confirm the successful transaction. When you buy cryptocurrency with Paxful, it automatically saves it in its own wallet, but you may also move it to an external wallet of your choosing.
Several methods exist for using Paxful:
View every offer to purchase or sell the cryptocurrency you choose.
You may use Paxful's search feature to find deals and filter results by the kind of cryptocurrency, allowed payment methods, and buy/sell amount.
Post a request to purchase or sell a certain coin.
You must sign up for an account and submit identification verification in order to trade on Paxful. Your trading restrictions are based on the amount of verification you offer.
The verification levels, prerequisites, and trade restrictions are listed below:
Fees overview:
No fees are assessed by Paxful for purchasing cryptocurrencies. However, there is a cost associated with selling cryptocurrencies, and the fee sum varies depending on the mode of payment.
There is a transfer charge when sending bitcoin from one Paxful wallet to another or to an external wallet. Depending on the cryptocurrency and the quantity you're transferring, the cost will vary. Receiving bitcoin into a Paxful wallet is completely free. There is a 0.5% charge for cryptocurrency conversions on Paxful.
Cryptocurrency selection
As previously indicated, Paxful enables the buying and selling of three cryptocurrencies: Tether, Ethereum, and Bitcoin. Many other cryptocurrency exchanges have far bigger selections, with 50 or more coins available.
One of Paxful's main flaws as a crypto exchange is constrained choices. You'll need to go elsewhere if you want to invest in any cryptocurrencies outside a few market giants.
In general, Paxful offers a secure location to purchase, sell, and store bitcoin. Both buyers and sellers are protected by the escrow system, but you should be on the lookout for fraud.
Paxful utilizes BitGo as its wallet service provider to store cryptocurrency. Using BitGo, a market leader in digital asset custody, are more than 150 cryptocurrency exchanges. It boasts cutting-edge security and insures the cryptocurrency it guards for $100 million.
Paxful provides two-factor authentication as an additional measure of account security (2FA). The exchange will request a password and a code delivered to your mobile phone after you enable this function in order to access your account. Even if hackers know your password, this stops them from accessing your account.
Scammers are the major danger with Paxful. Before trading with another user, it's crucial to investigate typical frauds and examine reviews. Keeping cryptocurrency purchased through Paxful in your own wallet will give you complete control over it.
Peer-to-peer cryptocurrency trading piques your curiosity.
You need to have access to a wide range of payment options when buying or selling cryptocurrency.
Shopping for bargains in return for no purchase costs is acceptable to you.
Platform & Features
Security
Users now have a security option thanks to BitGo's Paxful wallet, which enables multi-sig wallets. The bitcoins are held in custody by this peer-to-peer exchange's escrow service until the deal is consummated and both sides are content with it.
Paxful also offers a rating system for buyers and sellers to promote ethical conduct and foster a secure trading environment. While the rating system aids consumers in quickly identifying trustworthy actors, the escrow service aids the system in resolving the trust issue amongst platform users.
The trading interface on Paxful is incredibly simple to use. Both a desktop and mobile trading app are available to you.
To initiate a trade, all you have to do is click the "New Order" button to ask a seller or buyer for an order or to put in a bid. By posting their cryptocurrency deals on Paxful's Facebook page or posting them on the platform's Instagram, retailers may create adverts on the site and draw in more customers.
The majority of fiat money transactions, including PayPal, Western Union, VISA/Mastercard gift cards, Amazon Gift Cards, and many more, are accepted by Paxful as a peer-to-peer exchange and digital wallet provider. Paxful facilitates the exchange of Bitcoin with more than 300 different payment methods in addition to these.
Customer Support
When you need to solve an issue, you can rely on Paxful's strong customer service system in addition to its slick, tidy, and adaptive user interface. Paxful is designed with customer assistance in mind owing to its extensive FAQ section, forums, and daily 24-hour account monitoring.
All users must complete this step in order to begin trading on the platform; it is simple and only needs a few elements to be filled in, including name, email address, password, cellphone number, and country of residence. You will be routed to a website where you must confirm your email address using a link included in that email after finishing this step.
Step 2: Paxful Account Verification
Before they can begin trading on Paxful's platform, all traders must first register for an account. This is accomplished by checking the information supplied and giving certain details about the trader's identification, like name, birthdate, and phone number.
Step 3: Methods for Deposit and Withdrawal
After successfully creating a new account on the Paxful website, you can now start buying or selling cryptocurrency utilizing the main payment options that the Paxful platform has to offer. PayPal, Western Union, Skrill (Moneybookers), Bank transfer, and credit cards are just a handful of the options you can utilize to deposit money.
How to Trade Crypto on Paxful
To buy bitcoins on Paxful, click "Buy Bitcoin" and then select your preferred payment method. Over 300 possibilities exist for the various payment methods.
The wallet software makes buying bitcoin as simple as possible. When you compare prices from many sellers, you'll know you received a decent deal.
There will be a variety of pricing available to you while you shop on the market. However, be sure a buyer or seller has been confirmed by Paxful's team of professionals before getting in touch with them. The majority of customers favor product suppliers with ratings of 200 or above.
Check out the seller's profile picture or confirm their ID before you make a purchase. Once everything is set up, enter the amount you wish to spend, and the transaction will be held in escrow until the seller releases their bitcoin. Release the money from escrow after they've done so, then buy the coins.
When you order bitcoins using the Paxful wallet software, the money is kept in escrow until the seller delivers the coins to you as promised. The time it takes for you to get the coins in your wallet may be a little longer.
The bitcoin you purchase or sell using the Paxful Wallet is kept on their platform in an escrow account until the transaction has been properly completed. Even if something goes wrong with the seller's delivery of the item you purchased or vice versa, the money will be kept secure. This makes sure that neither the buyer nor the seller will ever lose more money than was originally anticipated.
The Paxful wallet app's finest feature is that you can sell bitcoin there even if it doesn't actually belong to you. Over 30 thousand buyers from throughout the world make up the over 87 thousand verified merchants as of this writing.
Conclusion
You may purchase and sell bitcoin and ethereum using the Paxful wallet software while maintaining total control over your finances. It provides customers with a wide range of payment options, with bank transfers being the most popular one. Additionally, until all parties have received their due compensation, all money are kept in safe escrow accounts. Between buyers and sellers, this feature fosters trust.
The Paxful wallet app's finest feature is that you can sell bitcoin there even if it doesn't actually belong to you. Thousands of buyers from across the world are currently present on the platforms, and several sellers have been confirmed.
