Steemit Crypto Academy Season 2 | Week 1 | BINANCE P2P MARKET - Homework for @sapwood

INTRODUCTION

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As cryptocurrency is developing massive popularity and global acceptance across the world, there is an increase in the number of crypto traders as well. This is quite evident in the number of users on leading exchanges such as huobi-pro and Binance. Trading crypto requires technical knowledge and the implementation of right strategy can earn you profits. However, due to inter-governmental restrictions/limitations with regards to fiat exchange and payment, exchanging crypto for local currency can prove challenging.

This has brought about the inception of peer-to-peer trading between individuals who can either buy or sell crypto assets for their local fiat currency. In this article, we will be looking at how to convert liquid steem into ghana cedi (ghs) using Binance P2P.

SETTING UP YOUR NICHE IN THE P2P

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To qualify for Binanace P2P trading, you must first set up your Binance account and ensure that your account's identification is verified and 2FA is enabled. This is because, only users with a Binance account that has passed the identity verification are eligible for Binance P2P.

You can trade fiat currencies after identity is verified

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This is done by simply visiting the profile at top right hand corner of the Binance interface and selecting identification.

Visit identification from your profile

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Here, you can now verify your identity with a valid national id by following their simple procedure. After verifaction process is complete, you would receive a verified tag as seen below.

Successful identity verification

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We are now going to set up our P2P. To do this, simply visit P2P from your wallet.

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Now click More on the right hand side the choose Payment Settings

Here, you can add you add the preferred payment type. I am going to use momo for this tutorial.

Fill out your details (Full name, phone number) and then click confirm.

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After successful addition, you can now start trading on Binance P2P.

Added new payment option

HOW TO SELL USDT ON BINANCE P2P MARKET

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In order to sell usdt on binance p2p you must first transfer the amount you would like to sell in order to start the process.

This is done by clicking transfer in the fiat and spot section.

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You can now specify the coin (usdt,) the receiving account (p2p) and the amount you would like to transfer.

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Provide the details of the transfer

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Now under the trade section click on p2p.

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Here, you must specify your preferred payment method (momo). This is done by clicking the P2P trading at the top right hand side of the P2P interface.

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Now, select sell and choose usdt.

Then change the fiat and payment options in this P2P trading interface as indicated below.

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Choose usdt and change the payment option to MOMO and fiat currency to GHS

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You would now see several advertisers with their rates indicated next to them.

It is advisable to trade with verified merchants since they have been reviewed by Binance and can relatively be trusted.

Also check their payment option as well i.e MOMO

Found a verified merchant with a good rate and my payment option (momo)

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The details of this transaction can be seen below. Once you satisfied with these details, click on sell usdt.

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Once successfully placed, you should now wait for payment to be made into your momo account. Once received, tap on the confirm receipt to verify.

You may also appeal to binance if the order was marked without payment.

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Now check the box to affirm your position on receiving funds and release funds.

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It is now left with sms confirmation to be done in order to complete the selling of your usdt.

HOW ESCROW PROTECTION PROTECTS THE BUYER AND SELLER

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Escrow protection is done to protect both the buyer and seller from potential loss of funds or fraud.

This layer of protection ensure that Binance (the escrow) secures/holds the tokens of the seller once transaction has been initiated. These tokens are only released to the buyer after seller confirms that funds have been received on their end.

Similarly, the buyers are also protected here. This is because, the seller cannot cancel the order unless the time period exhausts and payment has not been made.

With this same escrow protection, the seller can appeal to Binance to if order was marked as paid without receiving funds.

Once an appeal is filed an investigation would take place and a the case would be resolved for the concerned parties.

DIFFERENT PAYMENT METHODS AVAILABLE ON BINANCE

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Using P2P, traders can exchange either USDT, BNB, BTC, ETH or DAI for fiat through the any of the various payment methods available on binance.

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Out of the many payment options available on Binance P2P, I have utilized both the MOMO and Vodafone Cash on several occasions.

According to my binance P2P User Center, I have made a total of 48 all time trades with 37 trades within the past 30 days and a 100% trade completion.

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MINIMUM AMOUNT YOU CAN TRADE ON BINANCE P2P

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Minimum amount you can trade on Binance varies from advertiser to advertiser. This can be seen in the limit session of the P2P trading trading interface.

Each adveritiser indicates their rate, limit as well as their available funds (maximum amount) so as to communicate effectively with their customers.

In the P2P window below, observe the various differences in minimum amounts that is presented by each advertiser.

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Have you ever transferred TRC-20 USDT from Binance to Huobi and vice versa? How much cost do you save using Tron Network as compared to ERC-20 USDT?

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Yes, I have transferred usdt on both networks before.

Transferring TRC-20 usdt tokens from Binance to huobi-pro carry a significantly less charge of $1 as compared to the ERC-20 usdt transfer which carries a charge of $20.

Comparing the usdt withdrawal charges for ERC-20 and TRC-20 transfer networks on Binance

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But on huobi pro, charges are slightly different.

This is because, the transfer fee for usdt withdrawal on the ERC-20 network is $18 (cheaper than that of binance)

withdrawal fee for ERC-20 usdt

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But withdrawal fee of TRC-20 usdt on huobi-pro remains the same ($1)

CONCLUSION

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Peer-to-Peer trading is quite flexible and attracts zero cost unlike high fees associated with methods such as bank transfers and credit cards. Binance ensure that your privacy is protected and allows you to trade at your preferred price. With its different variety of payment methods, it is a great trading avenue for various traders around the world.

Thank you for your attention.

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To the attention of @sapwood.