Do you want to buy or sell cryptocurrency directly with other people, using your local currency?
Binance Peer-to-Peer (P2P) trading offers just that.
It’s a platform where you can trade crypto directly with other users, and Binance acts as a secure middleman to ensure smooth and safe transactions.
Think of it like this: instead of buying crypto from an exchange, you’re buying it through an exchange, but from another person who is also using the platform.
This can offer more flexibility in payment methods and sometimes even better rates.
In this guide, we’ll walk you through the basics of Binance P2P, covering:
- What Binance P2P is and how it works
- How to buy cryptocurrency using Binance P2P
- How to sell cryptocurrency on Binance P2P
- Key safety tips to keep in mind
What Exactly is Binance P2P?
Binance P2P is a marketplace that facilitates direct crypto trades between users.
It’s a “peer-to-peer” or “person-to-person” system.
You’re essentially buying or selling crypto directly to someone else, not directly from Binance itself.
Here’s how it works in simple terms:
- Binance as Escrow: Binance holds the cryptocurrency in “escrow” think of it as a safe deposit box. This means the seller’s crypto is locked by Binance until the buyer completes the payment.
- Direct Transactions: You’ll use your preferred payment method (like bank transfer or other online payment systems) to send money directly to the seller.
- Crypto Release: Once the seller confirms they’ve received your payment, Binance releases the cryptocurrency from escrow and into your Binance wallet.
Also read: Top 7 Crypto Wallet Mistakes to Avoid in 2025
Key things to know about Binance P2P:
- Variety of Options: It supports various cryptocurrencies, local currencies, and payment methods. You can choose merchants based on what suits you best.
- No Binance Fees (but Merchant Rates Apply): Binance itself doesn’t charge fees for using the P2P platform. However, the merchants (the other users you’re trading with) set their own exchange rates. This means you might pay slightly more or less than the standard exchange rate, depending on the merchant’s offer and payment method.
- Competitive Rates: With many merchants on the platform, rates tend to become competitive, which can be beneficial for users.
Buying Crypto with Binance P2P: A Step-by-Step Guide
Let’s learn how to buy crypto using Binance P2P on the Binance app:
- Access P2P Trading:
- From the Home Page: Look for the “P2P Trading” icon (often a prominent box).
- Through “More”: If you don’t see it on the homepage, tap “More,” then find “Trade” and select “P2P.”
- Choose P2P (Not Express): You’ll likely see two options: “P2P” and “P2P Express.” For this guide, we’ll focus on “P2P” to understand the full process. “Express” is faster but less transparent about merchant selection.
- Set Your Currency: In the top left corner, you’ll see a currency (like USD). Tap on it to choose your local currency. This will show you offers in your preferred currency.
- Configure Payment Methods:
- Tap the three dots (usually in the top right corner) and select “Payment Methods.”
- Add the payment methods you can use (e.g., bank transfer, specific online payment apps). Adding more payment methods gives you more options and potentially better rates.
- Filter Merchants by Payment Method:
- Tap the “Filter” icon (usually in the top right corner).
- Under “Payment,” select the payment method you want to use (e.g., “Bank Transfer”).
- Tap “Yes” or “Confirm” to apply the filter.
- Browse Merchant Offers: You’ll now see a list of merchants selling cryptocurrency and accepting your chosen payment method. Pay attention to:
- Price: This is the exchange rate offered by the merchant. For example, a rate of 1.02 for USDT/USD means you’ll pay $1.02 USD for 1 USDT.
- Crypto Amount: The amount of cryptocurrency the merchant has available.
- Limits: The minimum and maximum amount you can buy from that merchant in a single order.
- Trades & Completion Rate: Look for merchants with a high number of completed trades and a high completion rate (e.g., 95% or higher). This indicates reliability.
- Select “Buy”: Choose a merchant that suits your needs and tap the “Buy” button next to their offer.
- Enter the Amount: Specify how much you want to buy. You can usually enter the amount in your local currency or in cryptocurrency.
- Initiate the Order (“Buy Crypto”): Tap “Buy Crypto” to start the order. You’ll now have a timeframe (usually 15 minutes) to complete the payment.
- Go to Payment Page: Tap “Go to Payment” to see the seller’s payment details.
- Make the Payment: Use your chosen payment method to transfer the exact amount to the seller’s bank account or payment app, as provided on the payment page.
- “Transferred, Notify Seller”: Crucially, after you have successfully sent the payment, tap “Transferred, Notify Seller.” This tells Binance that you’ve paid.
- Chat with the Merchant (Optional but Recommended): Tap the “Chat” icon (usually in the top right corner) to communicate with the merchant. You can inform them you’ve made the payment and even send a payment receipt if requested.
- Wait for Crypto Release: The seller will verify receipt of funds. Once confirmed, Binance will release the cryptocurrency from escrow to your Binance P2P wallet. You’ll see a notification when the crypto is deposited.
- Transfer to Spot Wallet (If Needed): If you want to trade on the regular Binance exchange, you’ll need to transfer your funds from your P2P wallet to your “Spot” wallet. Go to “Wallets” -> “Transfer” and choose to transfer from “P2P Wallet” to “Spot Wallet.”
Selling Crypto on Binance P2P: A Step-by-Step Guide
Selling crypto on Binance P2P is a similar process:
- Access P2P Trading: (Same as buying – Home page or “More” -> Trade -> P2P)
- Switch to “Sell” Tab: At the top of the P2P trading page, switch from the “Buy” tab to the “Sell” tab.
- Set Your Currency and Payment Methods: (Same as buying – Currency in top left, Payment Methods via three dots)
- Filter Merchants (Optional but Recommended): You can filter merchants based on payment methods they use to pay you. This is less critical when selling as you’re receiving payment.
- Browse Merchant Offers (under “Sell” tab): You’ll see merchants who are buying crypto. Pay attention to:
- Price: This is the rate you’ll receive per unit of crypto you sell.
- Limits & Crypto Amount: Similar to buying.
- Select “Sell”: Choose a merchant and tap “Sell.”
- Enter Amount to Sell: Specify the amount of crypto you want to sell. You can usually enter it in crypto amount or the local currency equivalent you want to receive.
- Select Payment Method to Receive Payment: Choose the payment method you want the buyer to use to send you money. This should be one of the payment methods you’ve added to your profile.
- Initiate the Order (“Sell USDT” or similar): Tap “Sell Crypto” to start the sell order.
- Wait for Buyer to Pay: The buyer will have a timeframe (e.g., 30 minutes) to send you the payment.
- Check Your Bank Account (Crucially!): DO NOT rely on email or screenshots as proof of payment. Log in to your bank account or payment app and CONFIRM that you have actually received the funds and that the sender’s name matches the buyer’s name displayed on Binance.
- Confirm Receipt and Release Crypto: Once you have verified the payment in your account, go back to the Binance P2P order page. Tap “Confirm Receipt” and follow the security verification steps (like Google Authenticator or SMS code) to release the cryptocurrency to the buyer.
Thinking of Becoming a Binance P2P Merchant?
If you become a regular P2P trader, you might consider becoming a verified Binance P2P merchant. Merchants often have benefits like lower fees and greater visibility on the platform.
Basic requirements to become a merchant typically include:
- Being a registered Binance user for a certain period (e.g., 30 days).
- Completing KYC verification and SMS authentication.
- Having a minimum number of completed P2P orders (e.g., 20).
- Maintaining a high P2P order completion rate (e.g., 80% or higher).
- Trading with a minimum number of unique counterparties (e.g., 10).
If you’re interested, you can usually find more information and the application process on the Binance website or app.
Staying Safe
Safety is paramount when engaging in P2P trading. Here are essential tips to protect yourself:
- Use a Unique Email Address: Don’t use the same email address for your Binance account as you use for your payment methods or when communicating with merchants outside of Binance (which you shouldn’t do anyway – see next point). This adds a layer of security.
- Always Trade Within the Binance P2P Platform: Binance P2P is designed to protect users. Never agree to trade outside the platform, even if a merchant offers a “better deal.” Trading off-platform removes Binance’s escrow protection, and you risk being scammed.
- Trade with Reputable Merchants: Look for merchants with a high number of completed trades and a high completion rate. This indicates they are experienced and reliable.
- Verify Merchant Details: When receiving payment as a seller, ensure the name of the sender in your bank account exactly matches the buyer’s verified real name on Binance. If the names don’t match, it’s a red flag. Do not release crypto and report it to Binance customer support.
- Confirm Funds in Your Bank Account Before Releasing Crypto (For Sellers): This is the most critical safety tip. Always verify that you have received the money in your bank account or payment app before you confirm receipt and release the cryptocurrency. Emails, screenshots, or verbal promises are not sufficient proof. Trust only your confirmed bank balance.
Happy Trading
Binance P2P offers a flexible and direct way to buy and sell cryptocurrency using various local currencies and payment methods.
By understanding how it works and following safety precautions, you can confidently participate in peer-to-peer crypto trading.
Remember to always prioritize safety, trade responsibly, and start with small amounts as you get comfortable with the platform.
Happy trading!
