BEST P2P EXCHANGES TO BUY BITCOIN AND ALTCOINS IN INDIA

Now that July 5 is close and banks will soon be ending their relationships with crypto exchanges, people are wondering how they will trade Bitcoins and Altcoins using Indian Rupees. Some are even wondering what they will do with their holdings.

In this article we will deep dive into the pros and cons of each P2P cryptocurrency exchange. This is going to a long article so brace yourself, or just follow this guide we published today.

List of Peer to Peer exchanges in India
Comparing some of the popular P2P exchanges. Check out the dynamic and HQ version here
PEER TO PEER EXCHANGES

For the comparison we are taking all the exchanges that offer INR based transactions and a few more that should soon start offering it. I hope that you can take an educated decision on using the most suitable P2P exchanges for your trade. Peer to Peer exchanges allow you to buy and sell among individuals, so if you are a seller you should receive the funds directly in your bank account/wallets from the buyer.

Note: All P2P exchanges are in a way susceptible to scams. If you take care of a few things, you should be safe:

If you are a seller. Never release Coins until you have received the money
If you are a buyer, do not pay the money to third party. Ask for IDs from the other trader if you are doubtful.
For both buyers and sellers. Check the score and points of traders before trading.
PayPal and Credit cards offers a chargeback facility, try not to use these methods unless you trust the trader.
Now, lets go through the list.

1. Local Bitcoins

Local Bitcoins is one of the oldest P2P Bitcoin exchange. It is registered in Finland and is used in over 100 countries worldwide. The exchange only offers BTC for trading.

how to buy bitcoin using paytm
Local Bitcoin Exchange quick buy page filtered for PayTM as Payment method

PROS:

High Liquidity
Offers multiple ways to trade using IMPS, UPI, Wallets and Cash
Seller’s BTC are locked in Escrow till transaction is completed

CONS:

Requires ID verification in some cases
Need to watchout for scams
Fees charged for depositing Bitcoin

FEES:

Trading Fees: Makers pay 1%
BTC withdrawal Fee: 0.00005 BTC
BTC Deposit Fee: 0.00015 BTC

DISPUTE HANDLING

In case of Seller not releasing Bitcoin or Buyer marking payment complete without making the payment, either party can create a dispute after which a LBC staff will read through the chat, analyse the proofs and make the final call.

OPINION:

Keep an eye out for scams. Never ever release Bitcoin unless you have received the money. Check the ratings of traders before trading. You can read our article on how to use LBC for buying bitcoin with PayTM.

1. HODL HODL

Hodl Hodl is a new P2P cryptocurrency exchange that is building multi signature smart contracts on Bitcoin and Litecoin Blockchain for peer to peer transactions. Hodl Hodl never touches the bitcoin, they simply provide a smart contract with 2 keys. One belongs to seller another belongs to the exchange. In case of a seller not releasing Bitcoins, the seller himself or herself cannot access it as well.

Hodl Hodl offers BTC and LTC.

Hodl Hodl Peer to peer exchange for india bitcoin
Home page of Hodl Hodl

PROS:

KYC optional
Exchange doesn’t take your cryptocurrency. It is held in your own wallet over a layer of Smart contract.
No fee until July 2018

CONS:

If Seller doesn’t release bitcoin, the seller cannot actually use them either
Low liquidity for INR

FEES:

Trading Fees: 0.6% without KYC. 0.5% With KYC
Crypto withdrawal Fee: Miner fees
Crypto Deposit Fee: None

DISPUTE HANDLING

Hodl Hodl has no dispute mechanism. The reliance is on the fact that if seller doesn’t release Bitcoin, the seller cannot use it either as one of the two keys is with the exchange. But if the buyer doesn’t pay and the seller needs to cancel the contract, the dispute will be handled by a support manager.

OPINION:

Hodl Hodl is building smart contracts on the Bitcoin and Litecoin network which is quite impressive. This allows them to never actually hold any cryptocurrency and hence stay away from a lot of regulations. I wish more people in India start using this.

1. INSTASHIFT

Instashift is an Estonian Peer to Peer exchange now present in India as well as Canada. Unlike other P2P exchanges you cannot make offers on Instashift. You basically enter the amount you want to buy or sell and the trade engine will pair you up with a suitable trader.

Instashift offers BTC, LTC, XRP and ETH as of now.

Instashift peer to peer exchange

PROS:

No KYC
Holds Seller coins in Escrow until trade is completed
Login with Phone number, no email needed.
Free Withdrawals
Stop loss to cancel your order if prices fall
Easy to trade
More coins offered
Founders and team accessible on Telegram

CONS:

Can’t see deposits or withdrawal transaction hash
Cannot see any offers from traders.
Prices set by exchange
Only IMPS/NEFT options available. No UPI or wallet support
Fees at 1% for both buyer and seller is slightly steep

FEES:

Trading Fees: 1%
Crypto withdrawal Fee: None
Crypto Deposit Fee: None
DISPUTE HANDLING

In case of Seller not releasing Bitcoin or Buyer marking payment complete without making the payment, either party can create a dispute after which an Instashift staff member will get both parties on a call, check proofs and make a decision.

OPINION:

Instashift for many reasons is quite easy and effective. You only need to enter the amount, bank details and you’re ready to go. I feel the trading fee 1% for both buyer and seller is a little high but is compensated with the referral program they have. You can read more about selling on Instashift here.

1. GIOTTUS

Giottus is an Indian Peer to Peer and spot exchange. We are focusing on the P2P part of it only. The exchange is fairly new and the founders insist they will continue to operate after the RBI deadline. In my opinion, the P2P exchange can keep operating because the exchange doesn’t need a bank account for that.

Giottus offers BTC, LTC, XRP, BCH and ETH

Giottus peer to peer exchange in India
P2P exchange page on Giottus

PROS:

Low fee
Holds Seller coins in Escrow until trade is completed
More coins
Founders and team accessible on Telegram
Offers Stop Loss
The pricing is based on prices from other Indian Exchanges

CONS:

Requires KYC
Not much Volume

FEES:

Trading Fees: Buyers – 0.25% Sellers – Zero
Crypto withdrawal Fee: 0.0001 BTC
Crypto Deposit Fee: None