Local Bitcoins is the largest trading platform, with the help of which you can buy and sell Bitcoin for fiat money. About several dozen of currency pairs are present on the website, which allows traders to buy BTC coins for euro, dollar, ruble and other less popular currencies and choose from thousands of open offers. The main advantage of Localbitcoins-com is that all transactions are carried out instantly, and the commission fee for payments is one of the lowest (1% for the seller).
Technically LocalBitcoins is a P2P exchange, which is characterized by a high degree of anonymity and security. The trading platform is in great demand among users from all over the world. The fact that the verification is non-mandatory here makes the exchange one of the most popular platforms in the world.
On the Local Bitcoins platform, the user is offered a variety of payment methods, including cash and even postal order. Among the popular electronic payment systems here are PayPal, WebMoney, Western Union, etc. It is also possible to make deposits by bank transfer.
As for the security of transactions, the platform provides several protection options:
- Trust storage service. Money is initially credited to the LocalBitcoins account, but the seller receives payment only after confirmation of a successful transfer.
- Reputation monitoring system. Each exchange user has an open reputation, which allows selecting counteragents based on his/her reliability, transaction history, and reviews.
- Support service. Each user can send a request and get a quick response. The website also provides a forum where problems are discussed and tips on working with the exchange are published.
- Conflicts arbitration. LocalBitcoins support team deals with the settlement of disputes between the buyer and the seller. This option is not available on every trading platform.
- Two-factor authentication. This mechanism allows you to protect your account from unauthorized access. Login is confirmed by a pin code, which is sent to the mobile phone of the account owner when he/she tries to log in.
How to work with localbitcoins-com exchange?
To start making a profit with the exchange, you need to go through the registration procedure. To do this, go to the localbitcoins-com official website and click on Sing Up Free. After that, the system will offer you to enter your username, email, and password, as well as solve Google Captcha. After that, a message with a link to confirm the registration will be sent to your e-mail. Once you click on it, consider that your account is created and you can get started. Log in to your account with the login and password specified during registration.
You can buy bitcoins for dollars, rubles or a lot of other fiat currencies. For maximum anonymity, it is recommended to transfer from hand to hand, as this exchange path is almost impossible to track. But if anonymity is not a priority for you, you can use the payment systems available on the website.
There are two options for currency exchange on the website: creating your order or selecting an existing one. In the first case, you set the price, but you will have to wait for a buyer to get interested in your offer. In the second case, the transaction will be made immediately, but at the seller’s price.
To make a transaction, enter the number of coins and the price, select the currency, and specify the location and payment method. After that, click Search, and the system will give you all the available offers. Choose the most suitable option, focusing not only on the price but also on the seller’s reputation. It is necessary to find the optimal balance so that the risks are minimal and the currency price is not too high. Focus on the number of transactions of the seller and the percentage of positive reviews. These are the two most significant indicators of the counteragent reputation. Be sure to study the terms of the transaction and only then agree with them. After selecting the seller, you will only need to click “Buy” and complete the transaction.
We have considered the option of buying bitcoins by executing someone else’s order. But you can also create your order. In this case, you need to set the order execution conditions and wait for the customer to appear. Note that he/she may not appear for a long time or not appear at all. Therefore, if you want to buy or sell bitcoins as quickly as possible, you are not recommended to create your order. It is much more reasonable to overpay a little but execute the order instantly.
Benefits and drawbacks of the platform Lockal Bitcoins
Like any exchanger, Local Bitcoins has its drawbacks and benefits. One of the key advantages of the platform is that the exchange has been actively working since 2012 and is in demand among customers from all over the world. During this period, it has never been compromised. Another advantage of the platform is a large selection of payment systems, such as MoneyGram, OKPay, QIWI, Yandex.Money, WebMoney, Western Union, PayPal, etc. Aside from electronic payment systems used for depositing and withdrawing of funds, you can also use bank cards, cash, and SWIFT transfer.
A high level of anonymity is an undoubted advantage of Localbitcoins. To create an account you don’t need to specify personal data and verify your identity by handing out the relevant documents. Therefore, if you want to remain anonymous, Localbitcoins platform is definitely for you.
Let’s talk about the drawbacks of the exchange. Among the main disadvantages are:
- Support for trading exclusively with bitcoin and the absence of other cryptocurrencies;
- High risks of facing a fraudster or unscrupulous trader;
- The need to make a rating, so that counteragents could trust you.
The Localbitcoins trading platform is a quite specific phenomenon in the crypto-currency world, as many people are accustomed to traditional exchanges, and this platform is rather a kind of aggregator of exchangers. Although Localbitcoins allows you to maintain conditional anonymity, it has its drawbacks, among which are increased risks of conducting transactions. You can face frauds on the exchange. And, nonetheless, if you properly monitor the counteragents’ rating, these risks can be minimized.