If you are among the millions of potential investors in the world’s number one decentralized digital currency, you may be shopping for a good and dependable exchange to buy this coin. Paxful is a great platform where you can trade in Bitcoin at your convenience.
According to the exchange, “Paxful is a peer-to-peer Bitcoin marketplace that allows you to quickly and easily buy and sell Bitcoin”.
Well, you have it there. Paxful offers you a legit platform to buy or sell this currency by dealing with other users from across the globe.
Review of Paxful – How to Trade
I have earlier pointed out that using this exchange is very simple and straightforward. Starting from signing up to carrying out transactions on the exchange, you will have a smooth and stress-free ride.
If you are ready to start buying and selling on Paxful, you can do that easily by following these simple steps:
- Create an account on the platform. You can click here to sign up for the exchange.
- Click “Create Account.”
- Fill the Signup form below. Make sure that you supply accurate information about yourself and ensure that your password is long, contains alphanumeric characters to ensure that it is strong enough to withstand hacking. Don’t forget to check “I’m not a robot.”
4. Click “Create Account and Free Wallet” when you are through.
5. Check “Buy Bitcoin” if you want to purchase the coin.
6. Select either of the payment options displayed.
7. Specify the amount you want to spend (if you want to buy.)
8. Go through the list of sellers and compare their rates. Choose a seller you are comfortable dealing with.
9. Discuss the terms of the transaction with the seller via a live chat.
10. Complete the transfer.
11. Otherwise, you may let the exchange recommended some trusted sellers by clicking the “Give me the Best” button. This will trigger a list of reputable buyers that you can sell to.
Note: If you want to sell Bitcoin on this exchange, most of the process is similar. Instead of checking “Buy Bitcoin,” check “Sell Bitcoin” if you want to sell some coins on the platform.
If you want your offer to be visible to potential buyers, you must have sufficient Bitcoin in your account so that you can conveniently cover the minimum transaction amount.
Paxful vs Coinbase
Over the years, thousands of Bitcoin traders have conducted tons of transactions on both of these exchanges. Each platform has its pros and cons and huge followership. However, as a newbie, which of these two exchanges should you settle down for? Let me briefly compare these two platforms to assist your decision-making to be based on facts rather than on mere assumptions.
- Platform type: Both of these exchanges operate differently. While Paxful is a peer-to-peer exchange, Coinbase is a regulated financial institution. Simply put, Paxful is a platform for sellers and buyers to meet and conduct transactions while Coinbase, as a financial institution, can seel Bitcoin to potential buyers directly.
- Speed: Transactions only take a couple of minutes before confirmation on Paxful while transactions can be delayed for some weeks on Coinbase.
- Safety: You have to be primarily responsible for your safety on Paxful while Coinbase has that angle perfectly covered for the users.
- Moderation: Paxful team responds to complaints while Coinbase bans accounts preemptively.
- Payment methods: While Coinbase limits its users to 3 payment methods, you have over 300 payment methods to choose from on Paxful.
- Reliability: The reliability of Paxful is a function of its sellers. The platform will prove to be reliable if you meet honest sellers. Otherwise, unscrupulous sellers may detract from the reliability of the platform. On the other hand, Coinbase enforces strict compliance with AML regulation as well as KYC. Thus, potential scammers are easily identified and appropriately dealt with.
- Tradeable coins: Paxful doesn’t support any Alternative Coins but supports Bitcoin only. On Coinbase, you can trade in Ethereum in addition to Bitcoin.
- Trading volume: Coinbase has a higher trading volume than Paxful. This counts when looking for a platform that can efficiently handle huge transactions without breaking down under the pressure of the load.
Is Paxful safe and trustable?
Paxful’s security is unarguably one of the most important factors you must consider before committing your hard-earned money to any transaction on the platform.
Recently, the Bitcoin exchange has received mixed reviews from its users. Some people have complained of losing their money during transactions to scammers. That’s quite unfortunate and a dent in Paxful’s image.
On a closer look, though, Paxful is not really at fault here. In most scamming cases, users are duped of their money by unscrupulous users who thrive on ripping off others of their coins.
For instance, can you blame Amazon if you make a purchase via the online marketplace and the seller defaults and refuses to ship your order after making payment? It will be an injustice if Amazon is held responsible for such an occurrence. So, Paxful is an honest and legitimate peer-to-peer exchange for Bitcoin investors and traders alike. Thus, you must exercise patience when conducting any transaction with other traders via the platform.
What currencies can I buy, sell and margin trade?
As of the time of this writing, Paxful supports Bitcoin only. It is the only coin that you can either sell or buy. However, it is believed that the company will widen its horizon and make other big cryptocurrencies available for a transaction in the near future.
Are there any transfer limits?
Paxful places transfer limits on transactions. For instance, the minimum transfer is $10, although this may vary according to the seller. Similarly, the maximum transfer varies by sellers as well.
How quickly will my funds be available?
Transactions are extremely fast on this exchange. The delivery speed is usually some minutes or longer. The delivery speed is usually determined by the seller’s response and the payment method you want to use.
Paxful has an excellent customer support services. Whenever you have a complaint or want to make an inquiry, the exchange’s customer support team is always on hand to attend to your needs.
You can contact their customer support via some communication mediums such as email, phone call, community forums, and what have you. So, rest assured that your complaints will be addressed swiftly without delay.
Pros and Cons of Paxful
Paxful, like every other notable exchange, has its peculiar pros and cons. Here are some outstanding pros and cons of this exchange you should consider before patronizing them:
Here are a couple of some benefits of using this exchange:
- Payment methods: To its credit, Paxful accepts a large number of payment options. While users of some platforms are limited to a handful of payment options, Paxful accepts payments through MoneyGram, Western Union, PayPal, SEPA, Skrill, OkPay, MasterCard, Netteller, Visa, and AmEx. You can also make payment with cash deposit in banks, gift cards, debit/credit cards, and online transfers. These are just a handful of the over 300 payment methods supported by the exchange.
- Low fees: Paxful charges 1% of any transaction conducted on the platform. This fee is considered to be lower than what most exchange charge.
- It uses escrow: Due to the prevalence of fraudulent activities, Paxful uses escrow during transactions. Therefore, any fund that is in the possession of the escrow will not be released until the confirmation of payment. However, this measure has been unable to prevent a chargeback.
- Free wallet: Out of its desire to ensure the convenience of its numerous users, the platform offers each user a free wallet for holding his or her coin. You can sell Bitcoin or purchase the coin through the wallet.
- Mobile app: Paxful also has a mobile app that was designed to make transaction easier and faster for the user, especially since most of the users conduct transactions via their mobile devices. This ensures that you can conduct swift transactions even if you don’t have access to a personal computer.
- Easy registration: To have access to the platform for your Bitcoin transaction, you must sign up. This is a common practice among exchanges. The difference is that Paxful ensures that the registration can be done swiftly without hitches. You only need to click a couple of buttons and provide the necessary information about you for your account to be created.
Paxful Fees – Cons
Using Paxful for transactions come with these disadvantages:
- High seller fee: The buyer bears the payment fees. Sadly, the sellers have absolute control over this and sometimes take advantage of this to rip off the buyers. This is more pronounced if you want to use some payment methods such as different gift vouchers, either from Walmart, Amazon, and others.
- Fraud: Fraud is not at zero level here. Despite the best efforts of the platform to make it fraud-free, some die-hard criminals still find their way around the exchange and dupe people of their hard-earned money.
In a nutshell, Paxful seems to have what it takes to stake a claim to the cryptocurrency world as a reputable exchange. However, you should do your due diligence and get more information about the exchange before conducting transactions on the platform.