You don’t necessarily need to watch the news to know Bitcoin is currently hotter than ever.
As the demand for the most valuable cryptocurrency around continues to rocket, there are both customers wanting to buy it and current owners looking to sell it. Emerging to facilitate this demand for trading Bitcoin is Paxful – a peer-to-peer marketplace where users can buy and sell their cryptocurrency using a plethora of payment methods. Describing itself as ‘PayPal + Uber and the people’s Wall Street’, Paxful prioritizes convenience and accessibility, offering a no-nonsense and transparent service for its users. We’ve reviewed the site below.
Paxful Review: Key Information
Established in 2015 by a collection of experienced developers, Paxful is unique in a couple of ways. Firstly, it is a peer-to-peer marketplace where buyers and sellers post trade offers. Think of it like eBay; as opposed to being a merchant for Bitcoin, Paxful simply acts as a mediator between parties and provides a public space for users to post their demands.
Secondly, users can buy and sell their Bitcoin using the most diverse selection of payment methods. These include credit/debit card, bank transfer, PayPal, Neteller, Skrill and a huge number of gift cards (including iTunes, Amazon and Steam).
Paxful does not take any fees directly from the buyer when they are purchasing Bitcoin. However, the buyer will be charged a fee at the discretion of the seller; this percentage can vary greatly depending upon the payment method being used. These fees can be quite high, especially for niche payment methods like gift cards.
Sellers of Bitcoin on Paxful will be charged a 1% fee. There is also a small charge known as a ‘mining fee’ when Bitcoin is sent from one address to another – this will also be paid by the seller. User info is transparent and others can leave positive or negative feedback with additional comments – all of which will be displayed on your profile.
|Site Type||Peer-to-Peer Bitcoin Marketplace|
|Company Location||Delaware, U. S.|
|Deposit Methods||300+ Methods Including Credit/Debit Card & PayPal|
|Withdrawal Methods||150+ Including Credit/Debit Card, Bank Transfer & PayPal|
Buying Bitcoin on Paxful
The first step to buy bitcoin on Paxful is to choose the amount you’d like to purchase.
If you do not yet have a Paxful account, you will be asked for your email to begin the registration process. At most, Paxful will require email, username, and password to to create an account.
You will then need to choose the payment method you’d like to use. Sellers accepting gift cards typically charge very high fees, however you won’t have to prove your identity and payments should be instant.
Once you choose an offer, you will be matched with a seller. You can then view the sellers profile and reputation. You’ll also have the ability to choose another seller to make your purchase from.
Once you’ve initiated your purchase from your chosen seller, you’ll need to complete the steps shown on Paxful. The details will vary depending on the purchase method you’re using.
Is Paxful Safe?
When you are making financial transactions on the internet, it is crucial that the website you are using is safe and protects your personal information. Paxful is secured by Comodo, meaning that all sensitive data is encrypted by 256-bit SSL. The site also complies with PCI vulnerability standards to ensure that the environment is secure as possible for its users. Since Paxful is a peer-to-peer service, you should make sure that the user you are trading with is reputable and verified with positive feedback. Funds are protected by Escrow and any disputes between trading parties are resolved by Paxful’s team of moderators.
Paxful Inc. is a registered company with its headquarters located at 3422 Old Capitol Trail, PMB #989, Wilmington, DE 19808, United States. Information about their staff can be found at the ‘About Us’ page. Reviews of Paxful are positive and the site has served more than 55,000 satisfied customers since 2015.
Safety of Funds
Unless you specify otherwise, your funds at the site will be stored in the wallet that Paxful automatically creates for you when you register for an account. Your wallet is as secure as your password and two-factor authentication, so having a complex password and 2FA enabled will keep your wallet adequately protected. Paxful’s servers are guarded in accordance with the highest banking specifications.
Personal Account Security
Paxful has two-factor authentication enabled so that you can add an additional layer of security to your account. To do this, visit the following link: https://paxful.com/account#security (you must be logged in to access this page). You should also make your password as secure as possible by including lowercase and uppercase lettering along with numbers and symbols.
The support team at Paxful is very responsive and contactable through a variety of means. For specific inquiries, get in touch via email at [email protected] or by phone at +1 (865) 272-9385. There is also a messaging service integrated within the website – just click on the chat box image at the bottom right of the screen. Social media users can also contact Paxful through their Facebook page at https://www.facebook.com/paxful/ or over at their Twitter (https://twitter.com/paxful). For general FAQs, visit https://paxful.com/support.
Buyer/seller limits are not controlled by Paxful but by participants of each trade. Make sure to read the limits set by the user you are trading with so that your demands are satisfied.
Paxful has no limitations on supported countries – all users are eligible for registration regardless of their location. However, buyers and sellers will have their own conditions on countries that they support. Some payment methods are commonly internationally accepted (such as Western Union), others will be country-specific.
Paxful Review Summary
If you are looking for a fast way to buy and sell Bitcoin using a variety of payment methods, Paxful is ideal. The biggest perk of the site is the huge number of ways that you can pay for your crypto. Whether you want to buy Bitcoin through PayPal, a Netflix Gift Card or Runescape Gold, Paxful has you covered.
With this flexibility does come responsibility, and when using a peer-to-peer trading system you should always make sure to research users you wish to make an exchange with. Since fees are determined individually by sellers, you should always look for the best deal and avoid any offers that are charging extremely high exchange fees and looking to profit off your naivety.
For alternative options to buy and sell cryptocurrencies, check out our How to Buy Cryptocurrency Page.
The Grayscale Bitcoin Trust (GBTC) owns about 3.1% of the global bitcoin supply– here's what you need...
Voyage Invest offers commission-free trading and a cryptocurrency interest account– learn how it pulls this off in...
Celsius and Gemini Earn are two prominent cryptocurrency interest account products; in today’s review, we’ll be comparing…
Jodie Gunzberg brings her experiences at the S&P Dow Jones, Morgan Stanley, and Graystone to the crypto as Managing Director of Coindesk Indexes.
ABOUT THE AUTHOR
ABOUT THE AUTHOR
With a background in professional poker, George became interested in cryptocurrency after looking for potentially lucrative investment opportunities. He now spends a lot of time navigating through the wealth of misinformation on altcoins in order to decide which will be the next addition to his portfolio.