Paxful Review 2023: The Facts You Should Know!
- What Is Paxful?
- How Does Paxful Work?
- Is Paxful Regulated?
- Products and Services
- Pros and Cons
- Opening a Paxful Account
- How to Buy Bitcoin on Paxful?
- Paxful Fees
- Accepted Payment Method
- Deposit and Withdrawal Methods
- About Paxful Platform Interface
- Paxful Wallet
- Paxful Mobile App
- Paxful Supported Coins and Countries
- Customer Support
Paxful is a leading peer-to-peer crypto exchange as well as a digital wallet. Paxful traders can buy and sell cryptocurrency using different payment methods. It is based in the United States and headquartered in the Philadelphia region. Currently, it is one of the longest-standing P2P Bitcoin exchange platforms.
|Headquarters||New York, US|
|Listed Cryptocurrency||Bitcoin (BTC), Ethereum (ETH), and Tether USD (USDT)|
|Supported Fiat Currencies||140+|
|Supported Countries||Most of All Except OFAC Banned Countries|
|Minimum Deposit||0.005 BTC|
|Deposit Fees||Vary on Payment Method|
|Transaction Fees||Buyer fee – None
Seller fee – Varies
|Withdrawal Fees||Vary on Payment Method|
|Customer Support||Mail, FAQs, Live Chat|
It was founded by Artur Schaback and the famous developer Ray Youssef back in 2015. Paxful is ranked in the top five peer-to-peer exchanges for high trading Bitcoin volume. The Paxful review covers all the critical features, sending fees, deposit and withdrawal methods, pros and cons, and many more aspects of Paxful.
What Is Paxful?
Established in 2015, Paxful was initially known as EasyBitz. The Nigeria crypto exchange has over 4.8 million users and more than 200 workers with global offices in the Philippines, Estonia, and Hong Kong.
Paxful users span the world with active traders from Malaysia, UAE, India, Pakistan, Indonesia, and Zimbabwe. The CEO and founder’s vision was to develop a crypto community accessible to every trader willing to buy and sell Bitcoin and other digital currencies.
Unlike the other exchanges that are order-book based, Paxful is quite a trustworthy and straightforward platform that allows crypto buyers and sellers to directly interact with each other to sell or buy Bitcoins and significant cryptocurrencies.
They can trade Bitcoin, Ethereum, and Tether USD by selecting the Paxful vendor or buyer from the available options, or they can directly find their suitable counterparties.
Paxful Review – Platform Interface
How Does Paxful Work?
Paxful promises to keep the process of trading Bitcoins as straightforward as possible. To start trading on Paxful, users need to head to the official website and click the Buy Bitcoin button. A message box will ask for the Bitcoin quantity and the type of fiat currency to be traded. The site will also display the amount of Bitcoin in terms of the chosen fiat currency.
Follow the steps mentioned below to start buying Bitcoins:–
First, the users must create a Paxful account by filling a form with a valid email ID, username, and password.
Once the account is created, Paxful will ask users to create a free wallet to simplify the purchasing process.
Choose a preferred payment method from the long list of payment options, including credit card, PayPal, wire transfers, and NetTeller.
Paxful Reviews – Buy or Sell Crypto Using Paxful
The platform will show a list of available Bitcoin sellers from which the Paxful user needs to select a suitable one and mention the currency choice and method chosen. The search results display the open orders for buyers to simply select the preferred seller.
Once the seller is selected, Paxful will allow its buyers to view the sellers’ profiles to make an informed decision. Buyers can either proceed to buy Bitcoin from the chosen seller or select another one. They can contact the seller through the platform and confirm the purchase process only when convinced.
Once the purchase process initiates from the seller, Paxful will take the buyer to an Escrow service that finally guides them on the selected payment method.
Is Paxful Regulated?
Paxful is not a regulated wallet, but it is safe and secure to use. It is important to note that buyers should not confuse the platform’s and seller’s integrity. Though the Paxful platform requires their clients’ ID for verification and abides by the KYC standards, it is not regulated in any country. Users can securely use the platform since the anti-money laundering, and KYC standards are in place.
Products and Services Offered by Paxful
Paxful is one of the leading crypto exchanges globally that offers significant crypto coins and margins that make the platform unique. Among their many products and services, we will be laying importance on a few in this section:–
Paxful Reviews – Products and Services Offered by Paxful
Buying Paxful Cryptocurrency
Paxful allows traders to comfortably buy and sell different digital currencies from any part of the world without charging any transaction fee for traders purchasing crypto. Though when the buyers buy cryptocurrencies from their preferred sellers on the Paxful exchange, they are buying at the rates fixed by the sellers. This crypto exchange rate may vary based on different factors like currency pairs, payment options, and many more.
Selling Paxful Cryptocurrency
Paxful sellers are charged with transaction fees when they sell crypto to their buyers. However, the selling fees vary depending on the selected payment method. For bank transfer, Paxful charges 0.5%, for cryptocurrencies, fiat currencies, credit cards, debit cards, and online wallets, the platform charges 1%, and for gift cards, they charge 3%. When the trade begins, the buyers pay this fee through the Escrow service, and when the trade is complete, the fee is released to the particular seller.
Paxful Review: Pros and Cons
|Offers biometric verification.||Unregulated digital currency exchange.|
|More than 300 payment methods.||High exchange rate.|
|Fixed trading fees.||Possibility of seller scams.|
|Quick and responsive support system.|
|Safe Escrow trading.|
Create a Paxful Account
To start enjoying the unique features on the Paxful trading platform, the traders will require a live account and meet the mandatory requirements for registration that include ID verification for specific territories. Note that clients from Cuba and North Korea are not eligible to open an account on Paxful.
Moreover, clients need to meet additional KYC standards and ID checks for high-volume traders and high wallet limits, including answering specific security questions and video verification. The requirement limits and their verification levels are:–
Paxful Reviews – Paxful Account Creation Process
Requires phone and email verification and offers lifetime limit and $1000 per trade limit.
Requires ID verification and offers $10,000 per trade limit along with lifetime limit.
Requires address verification and offers $50,000 per trade limit along with an unlimited lifetime limit.
Requires enhanced due diligence and offers over $50,000 per trade and an unlimited lifetime limit.
Note that Paxful has the authority and right to delete a client’s account with a single withdrawal or cancel an entire trade. The platform exercises this right only if they find a violation of the terms of service or the trader is in a blocked jurisdiction at the Paxful login.
How to Buy Bitcoin on Paxful?
Bitcoin buyers can start buying cryptocurrencies on the Paxful platform by following the simple steps mentioned below:–
- Registering on the Paxful exchange is one of the most straightforward processes that take a few minutes and clicks to complete. To register, go to the official trading website and click on Create Account. Fill in the form with personal information like name, email ID, password, phone number, etc., and click Enter to create an account.
- Once the account has been created, an email will be sent to verify and confirm the account. On confirmation, buyers need to visit their profile page once more to verify their mobile number.
- After verification, the platform will allow buyers to fund their Paxful wallets. Now, there are different payment methods available to the buyers to make deposits. However, before investing in Paxful wallet, the platform asks for identification proof to verify the account.
- Buyers who have deposited funds in their wallets can start buying Bitcoin. Go to the dashboard again and click Buy Bitcoin and the quantity you wish to buy. Select a preferred method and the currency from the website.
Paxful Reviews – Bitcoin Buying Process at Paxful
- After choosing the payment method and the currency, Paxful will display a list of suitable sellers. Buyers can review the sellers either by their photo ID or their selfies and ensure that they are verified on the platform with more than 200 ratings.
- After choosing a verified seller, buyers will enter the crypto amount they want to spend. The funds directly go to Paxful Escrow which ultimately, the sellers receive once they provide the digital currencies to their respective buyers.
Paxful cryptocurrency trading platform charges a wide range of service fees that can be categorized into the following types:–
Paxful Trading Fees
First things first, crypto purchases on Paxful are entirely free. Buyers do not need to pay any fee for buying cryptocurrencies irrespective of the payment method chosen. However, the sellers are charged a price ranging between 0.5% and 5% of the total order for every sale. Selling Bitcoin and other cryptocurrencies through bank transfers costs the most minuscule fee of 0.5%, while through a gift card, the fee could go as high as 3% to 5% based on the type of gift card. Other payment methods for selling cryptos have a flat fee of 1%.
Paxful Sending or Receiving Fees
In addition to this, though crypto deposits are fee-free, crypto withdrawals or transfers are chargeable depending on the transaction size. Bitcoin transfers of more than $20 are subject to a 0.0005 BTC fee, while USDT transfers of more than $20 cost 5 USDT. Paxful traders also receive five free USDT and BTC transfers every month if they transfer USDT and BTC to other wallets on Paxful.
Paxful Conversion Fees
Finally, coming to exchange fees, note that USDT to BTC conversions are free while BTC to USDT conversions or transfers are subject to a fee of 0.1% paid in Bitcoin. Moreover, to get complete details on Paxful fees, check this link.
Paxful Accepted Payment Method
Paxful offers several payment methods to buy Bitcoins and other cryptocurrencies, and they are:–
- Bank transfer
- A debit card or credit card
- Amazon gift card
- iTunes gift card
- Cash in-person
Paxful Reviews – Paxful Accepted Payment Methods
Paxful Deposit and Withdrawal Methods
Though Paxful is available to several major countries, the platform has made certain exceptions. Paxful is not available to traders belonging to any OFAC banned countries like Iraq, Iran, Cuba, and Venezuela.
Traders can use more than 300 payment methods for their trades; however, they will vary in each region based on the traders currently active. The platform supports the sale of only two cryptocurrencies, BTC and USDT, that can be sold using any supported payment methods. Traders are subject to buying and selling limits on the platform based on their ID verification levels.
For higher trading limits, they need to complete higher levels of verification. The highest trade limit offered on Paxful is $50,000 per trade with an unlimited lifetime trade limit, but for this, users need to verify on level 4.
Paxful exchange offers two platforms to trade cryptocurrencies, and they are:–
Paxful Web Interface
This platform is quite similar to other trading platforms. These web-based platforms enable buyers and sellers to buy and sell in several types of orders. The web interface automatically searches for the best offers for their trades based on their preferences.
Paxful Mobile Interface
The Paxful mobile interface was developed recently, and it assists traders with buying and selling cryptocurrencies on the go. Traders can also use this mobile interface as a wallet. This Paxful Bitcoin wallet app offers all the features that the web application provides.
Primarily developed as a cryptocurrency trading platform, Paxful also functions as a web-based Tether and Bitcoin wallet. Being a cloud-based wallet, Paxful can be used anywhere globally, using any device with an internet browser. Based on the users’ location, they can deposit or withdraw BTC only after completing the Level 1 identity verification process. The Paxful wallet is directly linked to its exchange platform so that traders can smoothly and quickly buy or sell Bitcoin from these best crypto wallets or free Bitcoin wallets.
Paxful Reviews – A Secure Paxful Wallet for Bitcoin
Paxful Mobile App
The Bitcoin wallet app on Paxful can be downloaded to any device, including Android and iOS devices. The mobile app offers easy and safe sign-in accessibility to the crypto marketplace. The features on the Paxful mobile apps are:–
- Profile personalization
- Real-time balance
- Check the status of the recent Bitcoin transactions
- View the updated crypto-to-fiat exchange or conversion rates
- Store, send and receive digital coins in the mobile wallet app
Paxful Reviews – Download Paxful Mobile App & Explore
Paxful Supported Coins and Countries
The supported cryptocurrencies on the platform are – Bitcoin (BTC), Ethereum (ETH), and Tether USD (USDT). Paxful trading platform is available in almost all countries. Still, in 2020, the platform decided to exempt certain countries involved in financial activities that pose threats to national security, foreign policy, or the US as an economy. It removed the OFAC banned countries from its supported country’s list, and they are:–
- Republic of Congo
- North Korea
- Central African Republic Sanctions
Paxful Customer Support
Although customer support is restricted, the platform provides a wide range of FAQs and a knowledge-based help center. The Paxful support is extended through an online form or live chat box available via the Paxful logo on the website or mobile app. The Paxful website does not offer their phone number or email address. Still, they are available on different social media channels, including Facebook and Twitter, to submit their latest news on cryptocurrency exchanges. Customers can mail Paxful at – 3422 Old Capitol Trail PMB# 989, Wilmington DE, 19808, USA
Paxful Review: Conclusion
To conclude this Paxful review, we can say that choosing a peer-to-peer cryptocurrency exchange requires compromises. Traders will either get additional features and different payment methods with expensive fees for the effective and quick service or earn low fees but compromise on the impressive features. Paxful continually tries to break this trend.
The platform not only features a wide array of features and offers along with the best selection of deposit methods, but it also tries to charge as low as possible and that makes it on the list of best cryptocurrency exchanges. The minimum fee is fixed at 0.5%, one of the cheapest fee rates in the P2P crypto community.
Paxful Reviews – Paxful Popularity So Far!
Is Buying Bitcoin on Paxful Safe?
Yes, based on Paxful reviews, buying Bitcoin on the Paxful platform is safe and secure. The platform is known for keeping funds safe, abiding by anti-money laundering and KYC standards. According to Chain Analysis, used by popular governments and banks, this platform has been tagged as one of the safest crypto platforms in the crypto community.
Is Paxful Legit?
Yes, Paxful is legit! The funds on the platform are safely and securely protected from fraudulent transactions and scammers. The Escrow service does everything in its power to keep scammers away from the wallets. However, buyers should always trade within the platform. If any seller wants to trade outside, the buyer should not take the risk, and any damage or theft will not be a part of Paxful’s responsibility.
How Do I Withdraw Money From Paxful?
One of the best ways of withdrawing funds from a Paxful account is through Bitcoin withdrawal. You can also withdraw funds using PayPal, Skrill, Perfect Money, and several other online wallets. The most commonly used withdrawal method used by most of the traders is PayPal and Western Union.
How Do I Not Get Scammed on Paxful?
Paxful continuously checks and verifies its clients’ IDs to make sure they are authentic. Hence, it is challenging to be scammed on the platform. Moreover, the funds are held securely in Escrow unless the seller releases the crypto. However, to avoid being scammed, always trade on the platform, even if the seller requests to trade outside.
Note: Paxful Reviews are not to be considered an endorsement or investment advice of any kind. Investors are requested to seek independent financial advice and carry out their research before trading on crypto exchanges.