Peer-to-peer exchange platforms for various cryptocurrencies are slowly gaining traction. Most people already know LocalBitcoins has become a major platform for trading the world’s largest cryptocurrency. Monero has its LocalMonero platform, and Ethereum now has LocalEthereum. It seems the latter platform is off to a good start already.
So it Begins for LocalEthereum
Ethereum enthusiasts have been waiting to see whether LocalEthereum would get off to a good start. Although these are still the very early stages for this platform right now, it is evident there is a growing demand for ETH on a global basis. This is somewhat surprising news, given the growing number of exchanges supporting Ethereum already. At the same time, it is good to see so many people getting fed up with centralized platforms acting as a custodian for user funds.
Whether or not LocalEthereum will become a major success remains to be seen. There is certainly a lot of activity on this platform right now, as there are quite a few listings for buyers and sellers alike. What makes platforms like this one so appealing is how people can determine their own payment methods. Wire transfers are still possible, of course, but they are far less common on peer-to-peer marketplaces due to their slowness.
Instead, we see various listings for cash in-person pickups, Alipay, PayPal, and other payment methods. Although we strongly advise people not to work with refundable payment methods when buying or selling cryptocurrency, there is always a market for more convenient options in this regard. PayPal is perhaps the worst payment solution when it comes to cryptocurrency, as nefarious buyers can easily charge back transactions and keep the cryptocurrency at the same time.
More importantly, we see listings from all over the world showing up on LocalEthereum. Some people may be surprised to see quite a few Russian sellers on this platform already, though that shouldn’t be a real shock whatsoever. Colombia, Australia, China, and the US are all well-represented at this early stage as well. That’s a very positive trend for this new platform; that much is evident.
Other features to take note of when using LocalEthereum are its end-to-end encryption, a signature system, and in-browser wallet support. The company itself has no access to people’s Ether, which is of great importance to both buyers and sellers. This also means there isn’t a true escrow system in place either, but it remains to be seen if this is a downside at all. After all, the better option is always to not have third parties control your money, and LocalEthereum checks all the right boxes in this regard.
If this platform gains some major traction, it will be interesting to see if it affects the trading volume across centralized exchanges. More often than not, that won’t be the case, but one never knows what the future may hold. It is time people stopped relying on centralized exchanges for their cryptocurrency needs. Decentralization is the name of the game, and we need more marketplaces and exchanges embracing a decentralized business model.