October 30, 2020

Switch to Hodl Hodl: Comparison with other P2P exchanges

Hodl Hodl continues a series of educational posts dedicated to traders who trade on other P2P venues but are familiar or not very familiar with Hodl Hodl (hodlhodl.com).

Starting October 1 at Localbitcoins, without passing verification, you can buy no more than 1000 EUR in Bitcoin per year. You cannot create offers and sell bitcoins without verification.

Material from the series “Switch to Hodl Hodl” demonstrates the differences between Hodl Hodl and Localbitcoins and Paxful, all according to public sources.

Hodl hodl

registration

In order to register, you only need to provide an email address, once it is confirmed, you can trade.

Creation of an offer

Immediately after registration you can create an offer. Nothing is required in order to create an offer, except for an account on the exchange. No verification, no deposits before creating an offer, nothing else.

Contract creation

You can accept an existing offer right afterregistration, we do not ask for anything in order to do this. There is no verification, there are no deposits until the offer is created, as soon as the contract is created, only the seller sends bitcoins to escrow.

Verification

Other platforms allow you to create a couple of contracts, but after you exceed the limits, you must pass verification.

In our case, this is not so, we give the opportunity to pass verification absolutely voluntarily, the only exception is the case of a dispute in your contract. In this case, the Hodl Hodl team may request confirmation of your identity to resolve the dispute.

Funds storage

The exchange does not store your funds, neither fiat norBitcoin This is possible thanks to the unique multisig escrow address that Hodl Hodl generates for each contract, where the funds are stored during the transaction.

Payment Methods

More than 215 payment methods are available on the exchange, you can also offer a new payment method to site administrators.

No banned payment methods.

Commissions

The maximum transaction fee is 0.6% of the contract amount (0.3% per user). There are various commission rates that are always equally divided between the buyer and seller.

  • 0.6% for each registered user (0.3% per user);
  • 0.55% for each user registered by referral link (0.275% per user);
  • 0.5% for each user who has passed verification (0.25% per user).

The commission is deducted from the amount sent to the escrow (only when withdrawing funds, only if the contract is completed).

Plus, you need to pay for the transaction in and out of escrow for each contract.

Availability

Hodl Hodl service is available in every country of the world except U.S.

Localbitcoins

registration

In order to register, in additionto the email address, you also need to disclose your first name, last name, phone number and country of residence. After you submit the information, you can use the platform.

Creation of an offer

You are not allowed to create your offers immediatelyafter registration. To create your offer, you need to go through verification; you must also send funds to the platform wallet (for offers for sale and purchase).

Contract creation

Immediately after registering, you can createonly purchase contracts, through an existing offer, (you cannot sell immediately after registration), you are limited to a maximum contract volume of 1000 EUR.

Once you reach the limit, or you want to sell, you have to go through verification. Also, in order to sell, you need to send funds to the platform wallet before creating a contract.

Verification

You need to confirm your identity in the following cases:

  • Do you want to create an offer;
  • Do you want to sell bitcoins on an existing offer;
  • You want to buy bitcoins at an existing offer if you exceed the limit of 1000 EUR per year.

Funds storage

The exchange does not store your fiat funds, but stores your bitcoins:

  • When you buy, first you get bitcoins on the platform wallet, before you can send them to your personal wallet;
  • When you sell, first you need to send funds to the platform wallet before creating an offer or a sale contract.

Payment Methods

Many payment methods are available, but you cannot offer new payment methods.

Cash transactions are prohibited.

Commissions

Users who create offers pay 1% of the exchange commission for each closed transaction, which is charged from the amount of the contract after its completion.

In addition, you must pay a transaction fee by sending funds to the platform wallet and withdrawing funds from there.

Availability

Localbitcoins service is available in every country of the world, except:

  • Iran
  • Germany
  • States U.S. - New York and Washington

Paxful

registration

A similar process is like a Hodl Hodl: to register, all you need is to provide your email address, once it is verified, you can continue.

Creation of an offer

As with Localbitcoins, you cannot createtheir own offers immediately after registration. To create your own offer, you need to go through verification and, if you want to sell, first you need to send funds to the platform wallet.

Contract creation

You can accept existing contracts after registration, but you are limited to 1500 USD. If you want to sell, you need to send funds to the platform wallet before creating a contract.

Once you reach the limit of 1500 USD, you will have to go through verification.

Verification

You need to confirm your identity in the following cases:

  • Do you want to create an offer
  • Do you want to buy or sell bitcoins on an existing offer if you exceed the limit of 1500 USD.

Funds storage

Like Localbitcoins, the exchange does not store your fiat funds, but stores your bitcoins:

  • When you buy, first you get bitcoins on the platform wallet, before you can send them to your personal wallet;
  • When you sell, you first need to send funds to the platform wallet before creating an offer or a sale contract.

Payment Methods

More than 300 payment methods available, but you cannot offer new payment methods.

No banned payment methods.

Commissions

The seller is charged a commission, which varies from 0.1% to 1% for each transaction, the commission is charged after the completion of the contract.

In addition, you must pay a transaction fee by sending funds to the platform wallet and withdrawing funds from there.

Availability

Paxful service is available in every country in the world.

BitNovosti.com publishes this press release “as is” and the information provided cannot be regarded as investment advice from the editorial board. The reader conducts an independent analysis and makes a decision at his own risk.

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