Today, I will be talking about the top Peer-to-Peer(P2P) cryptocurrency exchanges in Nigeria.

Peer-to-Peer exchange is a common way of exchanging cryptocurrency for fiat/local currency.

Just as the name implies, Peer-to-Peer exchanges involve 2 persons; one is the seller, while the other is the buyer.

The seller exchanges the crypto for a local currency paid by the buyer on an exchange that provides P2P services.

In this post, you will learn all about Peer-to-Peer and the exchanges that provide such services.

Ready for this walk into the P2P space?

Fall in line as I take you through… I promise that it will be a concise one.

Post Summary

To effectively discuss this post, this is what I will be covering:

1. Cryptocurrency Exchange Explained
2. What is Peer-to-Peer(P2P) Exchange?
3. Top Peer-to-Peer Cryptocurrency(P2P) Exchanges
4. Pros and Cons of Peer-to-Peer(P2P) Exchanges
5. Conclusion

1. Cryptocurrency Exchange Explained

A Cryptocurrency Exchange is a company that allows its users to interchange cryptocurrencies(Bitcoin, Ethereum, Litecoin, etc) for fiat money (NGN, USD, EUR, etc).

For example, let’s say I have Bitcoins in my wallet, and then I need some cash to pay bills. All I need to do is to go to one of such companies and exchange my Bitcoins for money.

Such companies also provide different payment methods and charge you a certain percentage as a fee for their services.

These companies require that you create an account on its page before going ahead to use its services.

Examples of such companies include Bybit, Binance, NoOnes, Changelly, Simpleswap, Coinbase, Coinmama, Remitano, and many others.

Having known what Cryptocurrency Exchanges do, I will be talking about how they do it in the next section.

Sit tight.

Also read: 10 Best Exchanges to Buy Bitcoin in Nigeria

What is Peer-to-Peer(P2P) Exchange?

For starters, take note that cryptocurrency exchanges function in different ways.

While some will allow you to exchange your cryptos with others, some will sell cryptos to you directly.

For an exchange that offers P2P services, the company does not sell or buy cryptos from its customers.

What it does is that it brings buyers and sellers together on its site and acts as the supervisor of the transaction.

This is done using the Escrow System.

How an Escrow System Works

An Escrow simply refers to an asset/money kept in the custody of a third party until a specified condition has been fulfilled.

This is a brief explanation of how an Escrow System works:

Assuming Jake wants to buy BTC from Linda using a P2P system.

Jake will enter the amount of BTC he wants to buy from Linda (say 0.05BTC) and initiate the trade.

The P2P exchange (acting as the third party here) will hold on to Linda’s 0.05 BTC, which will be inaccessible to neither Linda nor Jake.

The time for Jake to make a payment(say 20mins) begins to count.

Jake is expected to make payment to Linda and then indicate that he has done so within these 20mins. (If this time elapses before Jake can make a payment, the trade will be closed).

Once Linda sends confirmation that the cash has been received, the 0.05 BTC will be released to Jake.

If any issue arises from the transaction, both parties will present their evidence to the exchange, and the BTC will be released to the rightful owner.

This 1 min video by Remitano further explains the Escrow System.

I will be listing the top P2P exchanges in Nigeria below.

Just scroll down.

Top 8 Peer-to-Peer(P2P) Cryptocurrency Exchanges in Nigeria

A number of cryptocurrency exchange companies in Nigeria provide P2P/Crypto-to-Fiat platforms for buyers and sellers to deal directly with themselves.

Examples of such companies include:

1. Bybit
2. Remitano
3. NoOnes
4. Paxful
5. OpenPeer
6. Gate.io
7. BitValve
8. Coincola

1. Bybit

Bybit is a cryptocurrency exchange that was founded in March 2018.

The founder and CEO of Bybit- Ben Zhou, has experience in the forex market for about 8 years.

The Bybit P2P was launched in 2022, and the following coins are available:

• USDT
• BTC
• ETH
• USDC
• SEI

The payment methods include bank transfers, PayPal, Skrill, SEPA, Google Pay, cash deposit, etc.

Currently (Oct. 2023), Bybit charges no maker or taker fees for all fiat trading pairs.

However, traders may be required to pay transaction fees depending on the payment method opted for.

Read our full review of Bybit P2P to learn more about how this works.

2. Remitano

Remitano, a product of Babylon Solutions Limited, is the most frequently used peer-to-peer exchange in Nigeria.

It provides an escrowed P2P platform that connects buyers and sellers so they can negotiate on a price.

The company has a customer base of 1.5M+, is supported in more than 30 countries, and supports the following cryptocurrencies:

• Bitcoin (BTC)
• Litecoin (LTC)
• Ethereum (ETH)
• Bitcoin Cash (BCH)
• Ripple (XRP)
• Tether (USDT)

How to Buy Cryptos from Remitano

•  Open an account, verify the account, and log in.
•  Click on ‘Buy’ from a seller you have chosen from the list of Buyers and Sellers provided.

The list also shows banks of buyers/sellers with their ratings. It is advised that you choose a seller that has a good rating and uses the same bank as you. This will make the transaction faster.

•  Select a cryptocurrency to buy and enter the amount to buy.
•  Enter your Remitano wallet address or an external wallet address and click on ‘Buy’.
•  Agree with the terms and conditions, then make payment to the provided bank account.
•  Click on ‘I have paid Seller’.
•  As soon as the seller confirms that payment has been received, Remitano will release the amount of cryptocurrency you paid for.

Note that you can chat up a Seller only when the trade is still open; you cannot reach the Seller once the trade is closed.

Remitano charges users a 1% transaction fee for its services.

That’s how to buy cryptos from Remitano.

Not so hard, was it?

You can also read our full review of Remitano with the video tutorial. 

Visit Remitano

3. NoOnes

NoOnes is a relatively new crypto exchange that seeks to become a global leader in the P2P crypto marketplace.

Founded by Ray Youssef, co-founder of Paxful, NoOnes is his new venture aimed at creating a ‘Bitcoin SuperApp’ for the Global South.

NoOnes facilitates the P2P trading of Bitcoin, USDT, and USDC and also their direct conversions.

The platform supports over 500 payment methods and enables users to buy crypto with virtually any fiat currency, even gift cards.

Moreover, the platform does not mandate ID verification for users.

For more information, check out our NoOnes review.

Visit NoOnes

4. Paxful

This company was founded in 2015 and is based in the United States of America.

It supports up to 300 methods of payment and serves about 2 million users.

Paxful supports only Bitcoin and has these fees:

• Buying Bitcoin – 0%. This is because the prices are set by the sellers themselves.
• Selling Bitcoin – Paxful charges users who sell Bitcoin some percentage for its services.

The fees vary depending on the method of payment the seller accepts for payment as follows:

1. Bank Transfers: 0.1%
2. Credit/Debit Cards: 1%
3. Digital Currencies: 1%
4. Online Transfers: 1%
5. Cash Deposits: 1%
6. Gift Cards: 5% for iTunes and Google Play; 2% for every other gift card.

The escrow amount is deducted from your Paxful wallet at the beginning of the trade and is received upon the successful completion of the trade.

But if the trade is not completed, i.e., Bitcoin is released from escrow back to the Bitcoin seller, and Paxful takes no fee.

Read Our full review of Paxful here and with the video tutorial. 

Visit Paxful

5. OpenPeer

OpenPeer is a decentralized P2P exchange that never takes custody of your funds as other platforms do.

It has a smart contract-based escrow system where you can trade directly from your self-custody wallet like Metamask or Trust Wallet.

A very important feature after many centralized exchanges like FTX stole user funds or went bankrupt.

OpenPeer supports trading on EVM networks like Ethereum, Binance Smart Chain, Polygon, and Arbitrum.

Traders mostly trade in USDT, but OpenPeer also supports USDC, ETH, BNB, and MATIC.

Over 100+ fiat currencies and payment methods are available.

OpenPeer doesn’t take any fees from buyers but charges a low 0.3% fee when selling crypto through the protocol.

The rewards campaign OpenPeer offers shows that the team plans to launch a token.

Users can start earning tokens for the airdrop by trading and also posting USDT for sale in escrow contracts.

Visit OpenPeer

6. Gate.io

Gate.io was launched by Lin Han in 2013 as Bter.com.

In 2017, the platform rebranded to Gate.io and has since grown to become a global exchange headquartered in George Town, UK.

Today, Gate.io is a global exchange offering a wide range of features and services.

Its P2P platform supports NGN trading for Nigerian users, alongside over 80 other fiat currencies.

Available cryptocurrencies include ETH, BTC, and DOGE.

There’s the ‘Express’ option, which allows traders to quickly find the best merchant without the hassle of searching.

Additionally, a range of payment methods are supported, making it easier to trade with your most preferred option.

Learn more about Gate.io in this review

Visit Gate.io

7. Bitvalve

This is another renowned P2P platform that Konstantinos Berios founded.

Here, you can buy/sell cryptos with multiple payment options.

The supported coins include BTC, ETH, LTC, DOGE, XRP, and SHIB.

On Bitvalve, your funds are secured, and you also get to pay minimal fees (especially when you hodl its native token – BTV).

The fee schedule is as follows:

• Crypto to Fiat
  • 0.5% – if you hodl enough BTV and payable in BTV
  • 0.8% – if you do not hodl enough BTV and is payable in crypto

• Crypto to Crypto
  • 0.2% – if you hodl enough BTV and payable in BTV
  • 0.35% – if you do not hodl enough BTV and is payable in crypto

Read more about BitValve here.

Visit BitValve 

8. Coincola

Coincola is an exchange based in Hong Kong but broke into the Nigerian market in 2019.

It supports up to 14 methods of payment, gift card exchange for Bitcoin, and the following cryptocurrencies:

• Bitcoin (BTC)
• Ethereum'(ETH)
• Bitcoin Cash (BCH)
• Litecoin (LTC)
• Dash (DASH)
• Tether (USDT)
• Ripple (XRP)
• Gemini dollar (GUSD)
• EOS (EOS)

The exchange offers BTC and USDT as base currencies and supports crypto-to-crypto pairs with Ethereum, Bitcoin Cash, and Litecoin.

It serves about a million users and has its fees stated on its fees page.

Read also: Coincola Review.

Visit Coincola

8. Bitget

 Bitget, founded in 2018, is one of the most popular P2P exchanges used by Nigerians.

With its user-friendly, intuitive interface and strong reputation, the exchange is recognized as a leading global derivatives platform.

Moreover, the exchange supports a wide range of trading services including spot, futures, earn program, bots, copy trading and much more.

It also supports the P2P trading of BTC, ETH, USDC, USDT, and its native currency BGB for over 20 fiats, including NGN.

Although various payment methods are available, Nigerians can only use the bank transfer option.

Read this complete review of Bitget to find out more details about the exchange.

Visit Bitget

Having listed all the P2P exchanges, I will now talk about the gains and dangers of using P2P services.

Just scroll down.

Pros and Cons of Peer-to-Peer(P2P) Exchanges

Pros

The following are the advantages of using P2P exchanges:

• Transparency: Here, prices are listed and are determined, not by any government, but by supply and demand.
• Cost-effective: There is no middle man to settle. Though users have to pay charges to the exchange which is not much.
• Privacy: Not much personal information is divulged during this process.
• Security: There is no third party handling your funds.
• Convenience: Trades can be carried out at all times.

Cons

• Refunds are difficult if not non-existent: When you mistakenly confirm a transaction, there is no way a refund can be effected except the exchange acting as escrow steps in.
• Freezing of account: If payment is sent to you via a hacked bank account, you stand the chance of having your account frozen by the regulatory body of your country because of that.

Conclusion

Here is the final part of this post: Top P2P Cryptocurrency Exchanges in Nigeria.

And I kept true to my ‘concise’ promise (about 2398 words so far! )… A few more to go…

So, let’s talk now:

Have you used any of these exchanges?

What is your experience with them?

Which is your fave exchange or are you yet to try them out?

Did I leave out any exchange or perhaps you have a question about something I said?

Just drop your message in the comment section below right away.

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