Nigeria is presently the second leading global center for online searches conducted for bitcoin after America according to recent Google data. The range of uses for cryptocurrencies in Nigeria includes remittance for imports, support for family and friends as well as settlement of other bills.
The unfolding scenario makes Nigeria a huge market for crypto service providers, and with Binance as a formidable global leader, we have set out in this guide all you need to know about Binance P2P, and how it works in Nigeria.
What is P2P trading?
When a trader and a seller get matched on a cryptocurrency trading platform with no intermediary taking custody of fees or value thereof, it is a Peer-toPeer setting at work. with Binance, users of the P2P platform are able to buy and sell crypto with ease using their wallets and bank accounts or agreed payment methods.
What to know before getting started?
- You need to have a registered account
- Provide KYC details like proof of ID, BVN, and a phone number
- Binance holds on to the crypto in escrow till the seller confirms receipt of payment
- The seller should not release the crypto without confirming that expected payments is received
- A private messenger is available on the platform for ease of buyer to seller chat or to contact customer support.
All of these above safeguards are necessary to avoid sellers and buyers losing funds to fraud, and the process is credible if adhered to always.
How can you make money with P2P trading?
Any market where there are sellers and buyers offer a chance to make money, and Binance P2P platform is not different.
Many people are online and looking for ways to bypass the forex shortages in the country and cryptocurrencies are a formidable pathway. You can trade NGN, DAI, BNB, BTC, XRP, USDT BUSD and ETH on the platform.
1. Work with clear terms
On your sales page, state your transaction terms in simple and clear terms and be sure to abide by these terms. You can state:
- Make payment to the recipient provided and send me an SMS
- Or please send a private message after payment or send an SMS
- Expected turnaround time is 15 minutes, please be patient
If for any reason you are not able to meet the terms, be prompt to communicate this to the buyer to avoid a dispute initiation.
2. Use a reasonable profit margin
For example, if BTC/USD is 40,000, selling at $40,500 will net you more buyers than using $42,000, this is as there are many buyers and sellers on the platform. Several transactions over a month can earn you up to $4,000 in fees instead of waiting for three months to make a single sale with a high margin.
3. In-demand payment methods are preferable
Whether it is you setting your terms or working with someone who does, you need to stick to in-demand payment methods. Do not make assumptions or vague descriptions.
Be bold to say, “Pay to XYZ Bank only” or ‘’Send cash with a money agent only”. Either way, the funds can only be sent to the account or recipient that you have provided.
4.Be friendly with helping new traders
On the platform, you are going to come across new traders, and they might not be familiar with the processes. If you come across one, be patient and provide some guidance. The Binance P2P platform has a private message function that is free of charge to use between sellers and buyers, you can message the buyer to make clarifications.
5. Be responsive
it is your personal duty to be responsive and make sure that you respond to enquiries in a timely manner to keep good ratings. If more buyers rate you poorly and line up complaints on your profile, you will lose your patronage and be out of business in no time.
How to become a verified merchant?
The process here is simple and you need to adhere to the requirements to be accepted:
- Open a new account and be registered
- Be KYC-compliant and at least 18 years old
- Provide a utility bill as proof of residence
- Have a fiat bank account in your name with at least $100 or its local equivalent
- Complete and submit an application form
- You also might need to shoot a small video, holding your ID card, and an inscription that is required of you in order to validate your ID.
With these steps completed above, you will be able to get an approval to become a seller in Binance P2P platform.
Are there risks in P2P trading?
There is a good chance to make money with the P2P platform and there are inherent risks too that are worth highlighting. The safeguards are also shown side by side.
- Avoid losses as a seller by refusing to take your trades outside the platform so as not to fall prey to scams. Binance provides escrow account to house your crypto till you have confirmed receipt of funds
- Take an additional step to log into your banking platform to confirm your buyer’s deposit to avoid releasing crypto when payment is not made
- Use a second phone number different from your bank alert phone number as unscrupulous people can send fake alerts to your phone perpetuate fraud
- If a payment claim is made by a buyer and it does not reflect in your account, you can file an appeal to get come information and customer support assistance.
Tips to get more trades
You can get more trades by using these tips:
- Use your referral code and share on social media
- Post the link to your seller’s profile on your social media pages or crypto-themed groups
- Join the Binance Africa/Nigeria Telegram group and you can win some referrals there.
How to buy on Binance P2P Platform
Binance is a cryptocurrency exchange platform that was created in 2017. It also provides cryptocurrency users with wallets to store their cryptocurrencies.
How to open a Binance account
- Go to Binance and click the “Register” button.
- Fill in your email address and select a secure password. If your friend gave you a referral code, you can also input it in the “optional Referral ID” space created.
- Follow the steps given for verifying your account by clicking the code sent to your email address or mobile number.
- You may also be required to upload an ID or document or level 2 identity verification. Please follow all the instructions given for easy verification.
Currently in Nigeria, the easiest way to buy Bitcoin on Binance is the P2P platform , which does not necessarily need you to make a deposit
How to Buy Bitcoin on Binance
Because of the regulations on cryptocurrencies trade by the Central Bank of Nigeria, a new way was devised by exchange platforms such as Binance to make buying Bitcoin easier. This new way is what is called Peer-to-peer transactions or P2P. It connects buyers to sellers directly with no transaction fee unlike other platforms on both app and website.
This method allows you to buy bitcoin from several sellers online. Below are the three steps to follow to buy your bitcoin successfully.
Step 1: Pick your preferred currency and payment method.
- Click on the P2P section.
- Select the Buy tab and the BTC crypto. Then click on the filter icon at the top-right part of your screen
- Select your preferred method and currency. As a Nigerian, you are to select Naira and Transfer via Bank.
Step 2: Make transaction
- Choose an offer from the offers displayed
- Input the number of coins you want to sell, choose a payment method, and click on Buy BTC.
- Thereafter, make a transfer to the seller’s account using the information provided before the time lapses. You may also chat the seller up.
- Ensure that you send the money to the seller and tap on Transfer next.
Step 3: Bitcoin transferred to your wallet
- Click on Confirm. Avoid doing this if you have not made any transactions. (It is a violation of the P2P User Transaction Policy).
- Thereafter, the status of the transaction will display pending.
- After the seller can successfully confirm, Bitcoin will be transferred to your wallet.
Start Selling and Winning
You can start selling on the Binance P2P platform with all the insights provided in this guide. Be mindful of the safeguards, and you will be able to make a decent amount of income and ROI.