P2P (Peer-to-Peer)
Direct transactions between individuals without an intermediary, used for buying, selling, or transferring crypto.
P2P trading means buying or selling crypto directly with another person. Platforms like Binance P2P and Paxful connect buyers and sellers, but the trade happens directly between them. The platform typically holds funds in escrow until both sides confirm.
P2P is popular in countries where direct crypto exchange access is limited. In Nigeria, the Philippines, and many other countries, P2P platforms are a primary way people buy USDC with local currency.
The advantage is flexibility: you can often use local payment methods (bank transfer, mobile money, cash) and negotiate rates. The risk is counterparty fraud, though escrow services mitigate this. Always use the platform's built-in escrow rather than trading outside the platform.
Related Terms
Escrow
A service that holds funds on behalf of two parties until the terms of a transaction are met.
Onramp
A service that lets you convert traditional money (fiat) into cryptocurrency.
KYC (Know Your Customer)
Identity verification requirements that financial services must perform to prevent fraud and money laundering.
Learn More
How to buy USDC safely
A beginner-friendly guide to the different ways you can buy USDC — from centralized exchanges to peer-to-peer — and how to stay safe doing it.
Sending money abroad with USDC
A step-by-step guide to using USDC for international transfers. Cheaper and faster than traditional remittances.
This definition is provided for educational purposes. USDC.org is an independent resource and is not affiliated with Circle Internet Financial.