The digital world knows only money. By keeping this core principle in mind, creators created several cryptocurrencies to simplify the morals of peer-to-peer transactions. The main aim was to provide a network for people to do transactions freely without any involvement of third parties. This system made history by creating the philosophy of decentralization. All peer-to-peer transactions(P2P) platforms provide a network for genuine buyers and sellers to do transactions without any influence from the central government or agencies.
Cryptocurrency and Its Types
A cryptocurrency is a decentralized currency that is not in a physical form but can be used for buying products and services online. Its price is changing every moment but it is cryptographically secured on the server. Public and private blockchains are working day and night to build these digital currencies. There are almost 12500 types of cryptocurrency in the world but only a few 20-25 currencies are popular among people. All digital currencies are not traded internationally. The increasing value and no involvement of third parties, these two factors pull the attraction of investors in cryptocurrency.
Bitcoins, alternative bitcoins, and crypto-tokens are three categories of cryptocurrency. The highest amount of cryptocurrency that is on the earth is Bitcoin, with almost 21 million BTS available. Other cryptocurrencies that are made on public blockchains are Namecoin, Dogecoin, Auroracoin, Litecoin, etc. Ethereum, Omni, Nxt, Ripple are other popular crypto coins. Crypto-tokens are used as security tokens, value tokens, and specific utility tokens in the stock exchanges.
What are Peer-to-peer Transactions?
A peer-to-peer transaction is basically one person to another person directly transaction through the internet. It may be splitting bills between friends or investing in cryptocurrencies for trading. It relies on decentralized platforms.
In a P2P transaction, the invested money is saved in the system, it can be transferred from one to another or can be invested in something but never can be withdrawn.
The features that make Peer-to-Peer transactions famous among People are:
- Low Fees: Doing an international money transfer can charge you a lot in the name of the transfer fee, service fee, currency conversion fees, etc. Bank typically charges you 5% – 15% in such transfers. Due to the involvement of government, agencies, banks, brokers, corporations, third parties, these rates are so high. While P2P platforms decrease the rate and charge you only 0.5%-2% in any type of transfer. Usually, low transfer fees are more attractive and beneficial for users. It saves a lot of money in cases of huge fund transfers.
- User-friendly: In conventional methods, you have to fill forms with lots of details. But P2P transactions are done within a click of a second. These platforms are also easy to use.
- Quick Service: An international transfer usually takes a week to complete. While Peer-to-Peer transactions, especially in the case of buying and transferring cryptocurrencies, takes only a few seconds.
- Security: The most important thing for a user is security. P2P transactions are 100% secured as it is cryptographically encrypted and without the involvement of other parties. Crypto exchange platforms use critical computer codes to save the data.
- Low Risks of Hacking: Large volumes of currency transfers are one across P2P platforms. Due to the use of blockchain technology, cryptocurrencies are transferred without any risk of getting hacked by cyber scammers. Personal Data is also secured in a chain of networks.
Acceptance of P2P Transactions after RBI Ban in India
The Indian crypto market is bulging day by day with the increasing number of investors, transactions, trading volumes. P2P transactions are the main cause of increasing the interests of the investors.
In early 2020, the Reserve Bank of India issued a notice to ban all direct crypto transactions inside India. For that reason, Peer-to-Peer transactions are welcomed by everyone for trading and transfers. Since then P2P crypto transactions have surged in the country. According to a report, 8 million$ are exchanged in those platforms via P2P transactions every week in India.
Indian Crypto Exchanges
Cryptocurrencies have become the topmost digital asset now. From younger to older, everyone wants to buy these digital currencies for them due to their huge increasing values. To fulfill your wish, a reliable platform is needed. To buy, sell, and trade, you can choose these Indian crypto platforms.
It is a Mumbai-based company, established in March 2017, offering users to buy, sell & invest in digital assets. It has more than 9 million users and 20 different types of Cryptocurrencies like Bitcoin, Ethereum, Dogecoin, Ripple, Tron can be transacted.
Wazirx first launched an auto-generated Peer-to-peer platform in India to help investors to convert INR into Cryptocurrencies and vice versa. They also have a value token named WRX.
Wazirx worked under World’s largest Cryptocurrency group Binance who delivers its services to over 200 countries in the world.
In 2017, when the developed countries started adopting cryptocurrencies, CoinSwitch started a small Indian exclusive platform to give experience to its users about the digital assets. In 2020, they launched CoinSwitchKuber, the P2P Platform to offer people over 500 digital currencies. More than 40000 crypto pairs are available for trading on this platform.
This Bangalore-based startup gained 400% turnover within two years. They have invested 15 million dollars in Series A funding and 25 million dollars in series B funding.
This Indian platform offers more than 50 currencies for transactions through the P2P service. Since 2018, users have invested 150 crore INR in this platform and gained over 3 times more.
It is a low service charge taking P2P Crypto Exchange in India as well as globally. It charges only 0.5% in all types of transactions. You can buy BTS, USDT, LTC, NEM, ETH, XRP, etc. from this platform. It is more secure due to its high level of KYC verification. It offers 357 payments options like direct bank transfer, RTGS, UPI for transactions in 26 cryptocurrencies.
It is the fastest P2P payment platform offering crypto transfers as well. It charges 0% transaction fees up to 500 BTC transfers and withdrawals. It allows its users to switch between P2P services and order books.
Peer-to-Peer transaction Procedure through a Crypto Exchange Platform
Follow the steps from your mobile phone or desktop to conduct a successful P2P transaction through any crypto exchange platform.
- Go to the desired platform from your browser and open a new account.
- Complete the KYC verification by giving details of supported national Ids correctly.
- Go to the P2P trading option to see the real-time value of numerous digital currencies.
- Check through various options like value graphs, offers, Comparison charts to find the suitable digital currency for you.
- After deciding the perfect currency, select the buy now option to redirect to the payment page
- Select INR as your payment currency and IPMS or UPI or Credit/ Debit Card/ Wallets/ Net Banking as your payment medium.
- Confirm the transaction
- Review your transaction
- Check asset balance to determine the value.
- You can exchange the value of the assets for buying other currencies as well.
The market of cryptocurrency is increasing very fast. So that the values are also changing every moment. Being a decentralized system, it makes everyone independent for doing transactions. Digital assets are the future of the trading market and P2P transactions are the safest for making the transactions secure and successful. So why become late, participate today in the large market of cryptocurrency to earn a lot.