## STEEMIT CRYPTOACADEMY | SEASON 2 WEEK 1 : P2P Market-USDT (Binance/Huobi)

Good day everyone,welcome to my homework post on P2P trading in steemit cryptoacademy.Im happy crypto academy is back and better.
This post is on the homework given by @sapwood which is based on P2P trading on binance or huobi.

INTRODUCTION

First of all P2P trading means peer to peer trading.Simply meaning transfer of funds from one trader to the other. It could be crypto to crypto trading or crypto to Fiat trading.
This P2P trading could either be direct between the 2 parties or there could be the use of a third party. This third party is called an "escrow".An escrow is often used to prevent scams and fraud.If there's not enough trust between the 2 direct parties ,the escrow hold the assets and serves as a bridge for both parties.

HOW TO SET UP EXCHANGE NICHE IN P2P MARKET ( BINANCE OR HUOBI) AS A MARKET TRADER OR ADVERTISER.

I'm going to be using the binance p2p market to explain this as that's what I'm used to. You can easily advertise or market a trade following these steps :

1. Log into your binance account (online or app).

2. Transfer from your spot wallet to your p2p wallet.

Click on the transfer button then you should see

Transfer your usdt to your p2p wallet then go back to your home page.

1. At the home page, identify the P2P trading tab ( I have marked it out with an arrow in the screenshot below).

1. Click on it and then you should see something like

Take note of the arrows in the screenshots.In the second picture you'll see advertisment mode.Click on it then the trading platform modifies to that of an advertiser.

Here you'll create your ad,set your prices,limits too.Note that this can only be done after you've created a nickname.
Once you've created your nickname,you'll be asked to create your ad.

There you'll create your ad and that's how to make an ad.

HOW TO BUY/SELL USDT IN THE P2P MARKET

From step 3 above, you'll be seeing this page ;

This is the normal order page where you'll buy or sell usdt.
As you can see from the screenshot above, we're currently in the usdt tab.So you'll pick a rate of your choice ,click on it and you should see the sellers details.

I entered a trade and here you'll input the amount of usdt you want to buy.
Now I'm going to show you what a live trade looks like.

This is a completed trading for 38.64 USDT I made . Once you enter the trade,the market makers details will be there,so you'll make the payment then click that you've made payment and Mark the order as paid.
Once the seller confirms the money has been paid, he'll release your assets and then you can proceed to transfer the assets from your p2p wallet to your spot wallet.

This is a completed order.

When selling,you'll click the sell tab

Here you'll also pick a rate you want and enter a trade. You'll often see a message not to release assets until you've confirmed payment.Thus is very important because of scammers but the binance p2p is relatively safe based on my experience.
When the buyers marks it as paid you'll receive a message from binance to confirm and then release funds.
When releasing funds,a code would be sent to you via email or phone to confirm if you're the one trading.After inputting the code the assets would be released.

That's how to either buy or sell in p2p market.

IMPORTANCE OF AN ESCROW

Like I said earlier,an escrow is a third party that serves as a bridge between an advertiser and the buyer.
An escrow holds the assets while the trade goes on.So when the assets are paid for,the escrow releases it to the buyer.An escrow is important because it prevents fraudulent transactions.
In this case , binance/huobi is the escrow,once you enter a trade,the escrow holds the funds and only the escrow and the seller has the ability to release assets once the buyer has paid.
An escrow simply holds assets and doesn't release them until all agreements has been made.

DIFFERENT PAYMENT METHODS IN BINANCE

In binance ,there are different payment methods,could be bank transfer, back to p2p wallet or even mobile top up etc,I'll send a screenshot of some,but the most common is the bank transfer or Fiat balance.

You can see my payment methods below,the bank transfer and Fiat balance

You can also see add payment options,there you'll see more options,here are a few;

MINIMUM AMOUNT ON P2P MARKET

There is no minimal amount in p2p,sometimes you can trade as low as 1usdt,this depends on both the seller and the buyer. In my case the lowest I've traded was about 1,632 naira.
So as long as the buyer and seller agrees ,there's no minimum or we could just say the minimum is 0.

"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?"

I haven't done that before @sapwood but I've transferred assets to my trust wallet account even though it wasn't USDT.

Thank you for reading my crypto assignment,I hope you've learnt a bit in p2p market and trading.
CC: @sapwood
CC: @steemalive

NOTE; All screenshots are from my binance exchange app on my mobile device.

#sapwood-s2week1 #cryptoacademy #p2p #blockchain #market #binance #steemit #steemexclusive #steemalive #nigeria