LocalBitcoins is a Peer-to-Peer (P2P) Bitcoin exchange platform. It provides services to the buyers and sellers of cryptocurrencies like Bitcoin, Ethereum, and all other Altcoins. The sellers and buyers decide and agree on the transaction terms, and LocalBitcoins facilitates the transaction along with the escrow service for protection of the trading parties.
LocalBitcoins was founded by Jeremiah Kangas in 2012. It is one of the oldest Bitcoin exchanges. LocalBitcoins was one of the first Peer-to-Peer (P2P) Bitcoin exchanges. It is now the largest one.
It is currently headed by Nikolaus Kangas, who is the CEO. LocalBitcoins has its headquarters in Helsinki, Finland. It has its operations in about 248 countries and about 14000 cities.
LocalBitcoins provides a platform for meeting of the sellers and buyers of Bitcoins from all over the world for transaction or trading of cryptocurrencies amongst themselves. It enables them to make online or face-to-face Bitcoin transactions. This is done by matching people who live in nearby places. LocalBitcoins provides an escrow service to bring safety and security features to the various cryptocurrency transactions and to effect fair dealing for all the participants or buyers and sellers in the cryptocurrency transaction.
The buyers and sellers from different countries can convert and exchange their local currency into Bitcoins on LocalBitcoins.com. LocalBitcoins allows users or buyers and sellers to post their advertisements mentioning their various requirements, locations, payment methods, and exchange rate for buying or selling of Bitcoins or any other type of cryptocurrency or Altcoins. You can identify and reply to the relevant advertisements and contact the advertisers. You can trades through online banking or agree to meet in-person to buy or sell Bitcoins with cash.
Thus, LocalBitcoins.com is a de-centralized cryptocurrency platform and hold on to the true spirit of Bitcoin in terms of privacy and decentralization. LocalBitcoins is different from the other commonplace centralized cryptocurrency or Bitcoin trading sites. It allows you to make a Bitcoin trade directly with the other person. This helps in making various Bitcoin transactions very fast.
LocalBitcoins, by virtue of its decentralized nature, supports almost any payment method which is acceptable to the user community. LocalBitcoins enables very fast processing; and the entire trade or transaction process beginning with the user account creation to arrival of the Bitcoins in your wallet, can be completed in a few minutes.
LocalBitcoins Pros and Cons
The various pros and cons of LocalBitcoins are as given below:
- LocalBitcoins provides a large number of payment methods. LocalBitcoins users are free to buy and sell cryptocurrencies using any payment method. The payment method depends on what’s available in your particular location. Cash deposit, due to its privacy feature, is the most popular method for LocalBitcoins transactions.
- LocalBitcoins does not impose any buying or selling limits on the trading parties. Users are free to decide on their own limits.
- LocalBitcoins does not require personal information for trading. LocalBitcoins provides a very private way for trading Bitcoins.
- LocalBitcoins is available in almost all the countries in the world, even where there is no other cryptocurrency exchange is available.
- LocalBitcoins facilitated in-person cash trades are fast and easy to complete.
- You can assess your counterparty by viewing his or her feedback history or profile.
- LocalBitcoins has low fees. LocalBitcoins charges a flat 1% fee on all trades.
- LocalBitcoins has forums where you may seek help from other LocalBitcoins users.
- LocalBitcoins is not available in Germany or the state of New York.
- There are many scams on LocalBitcoins, and you need to be very alert.
- Fees and rates can be high, if buying in cash.
- Some payment methods such as PayPal, may have reversible payment features; which may prove to be risky.
- The speed of transaction would depend on payment method.
- It is risky for the users to store Bitcoins in the LocalBitcoins wallet.
- You need to check the reputation of each of the users on the exchange, particularly with whom you are going to trade.
- There are problems with new users or the ones with bad feedback.
- Some sellers or buyers may require ID verification for making a trade.
- Prices may be excessive depending on the payment methods.
LocalBitcoins is one of the best Peer-to-Peer (P2P) cryptocurrency exchanges with many advantages over its peers. It is good for users on the basis of various criteria like speed of transactions, availability in almost all countries of the world, payment options, Altcoins options, etc.