How to Earn Money With P2P Trading on Bybit
Pseudo-anonymity, fast transactions and 24/7 trading are a few of the reasons why cryptocurrency trading has become so popular in recent years. But for many people, buying and selling cryptocurrencies can be daunting. Spot trading and derivatives may come to mind when we think about trading cryptocurrency; however, there are far easier ways to trade crypto and earn money without your having to stare at complicated charts all day. One example is peer-to-peer (P2P) trading.
What Is P2P Trading?
P2P trading is two individuals trading cryptocurrency directly with each other without a middleman or third party. It’s beneficial to both parties as they get to select their preferred payment method and a price on which both parties agree. This type of trading is also referred to as over-the-counter (OTC) trading.
Because you can trade directly with another person in either OTC or P2P trading, you get to enjoy fast transactions with privacy even while trading on centralized exchanges (CEXs).
5 Ways to Make Money With P2P Trading
Peer-to-peer trading is a great way to invest in cryptocurrency markets. Not only does it allow you to buy or sell cryptocurrency directly with another person, but it also lets you avoid some of the transaction fees that come with traditional exchanges. Here are five ways to earn money with P2P trading.
1. Crypto Arbitrage Trading
Arbitrage trading is a profit-making trading strategy that exploits the price difference of the same cryptocurrency on different exchanges. It’s executed through the purchase and sale of the same asset to profit from the difference in price.
P2P trading provides plenty of opportunities for arbitrageurs, because there are often significant price differences between exchanges. Using P2P trading to buy and sell crypto assets, you can take advantage of these differences and earn a profit.
It’s considered risk-free because the arbitrageur doesn’t take directional market risks when entering into trades. However, they must perform the trades immediately, or as quickly as possible, since the arbitrage opportunities close quickly.
For example, if Bitcoin sells for $11,000 on one exchange and $11,200 on another, you can buy it on the first exchange, and sell it immediately on the second exchange for more revenue.
2. Arbitrage With Fiat
P2P trading also provides arbitrage opportunities with fiat money. With over 30 fiat currencies to choose from on Bybit, you have numerous chances to take advantage of the price differences between each fiat currency. But first, you have to do a little research and some calculations before making the purchase. Below is an example of how you can leverage price differences.
If the buy price is $21,328 (30,926 AUD) and the sell price is $20,872 (30,265 AUD), you’ll be losing $456 (sell price − buy price).
If the buy price is 28,796 AUD ($19,852) and the sell price is 29,174 AUD ($20,112), you’ll be making a profit of 378 AUD (sell price − buy price).
If you buy and sell only in the U.S. market, you’ll be taking a loss compared to trading in the Australian market. But if you own a multicurrency bank account, you can buy BTC in the AUD market at 28,796 AUD, and then sell it in the USD market for $20,872 (30,265 AUD), and you’ll earn an even higher profit of 1,496 AUD (30,265 AUD − 28,796 AUD).
3. Buy and Sell Ads
This method allows you to post an ad on a P2P trading platform, stating the asset you want to buy or sell, and the price for which you’re willing to pay or sell. After your ad is posted and other platform users see it, they’ll decide if they want to trade with you.
If another P2P user decides to trade with you, they’ll send you a trade request. Once you have accepted the request, the two of you can complete the trade.
A great way to reach out to a wider customer base is by setting a lower price than the current market price. You can also choose to set a higher price to earn more revenue.
4. Earn Advertising Commissions
On Bybit, you can even make money by becoming a P2P merchant and earning advertising commissions every two weeks. To become a merchant, you simply need to create an account on Bybit and then post at least two ads, including one selling a minimum of 300 USDT.
If you’re deemed an eligible merchant and meet all the requirements such as being online for at least 50 hours every week, you’ll earn a weekly commission of 200 USDT. And if you list ads for two different fiat currencies, you’ll earn twice the commission — 400 USDT!
5. Earn Merchant Incentives
As a top-ranking merchant on Bybit, you could earn up to 150 USDT per fiat currency every week! To be eligible, you need to meet several requirements and be ranked among the top three merchants in total sales of USDT.
Advantages of P2P Trading With Bybit
Bybit is a cryptocurrency exchange that offers P2P trading services, which means it allows users to trade directly with each other without the need for a third party or other intermediary. P2P users can trade cryptos faster, cheaper and more efficiently.
So, if you're looking to trade cryptos and earn money, P2P trading on Bybit is an excellent option. Here’s why.
Buy and Sell With Zero Fees
Bybit doesn’t charge any fees for buying or selling crypto on its P2P platform. However, based on the payment method selected, traders may need to pay transaction fees to the payment provider.
Multiple Payment Methods
Bybit supports over 300 payment methods, including bank transfers, credit/debit cards and e-wallets. This makes it easy for users to deposit and withdraw funds from the platform in their preferred way.
Low Barriers to Entry
Bybit has low barriers to entry, meaning it’s easy for anyone to start trading on the platform because you don't need much money. In fact, you can start trading with as little as $2!
Bybit takes security seriously and employs multiple layers of protection to safeguard user funds. In the first place, all its advertisers are required to complete KYC verification. Second, if your trade exceeds a certain transaction limit, you’ll also need to submit your KYC details for verification.
Additionally, Bybit provides an escrow service to hold user funds in case of fraud or platform malfunction. If the seller does not release the coin within 10 minutes after receiving the payment, Bybit’s customer support team reserves the right to release the coin from the reserved funds to the buyer after verification.
All of these steps serve to provide its users with a safe and secure trading environment.
Bybit offers 24/7 multilingual customer support to help users, via email and phone, with any issues or questions. The website also has an extensive FAQ section that covers all aspects of the platform, and a Live Chat function to help users in real time.
Bybit is a global marketplace that allows users from all over the world to trade crypto. It offers trading in multiple languages, including English, Spanish, Russian and Chinese. It also supports over 30 fiat currencies for its P2P trading platform, including USD, EUR, JPY and KRW.
Getting Started With P2P Trading on Bybit
If you're looking to get started with P2P trading on Bybit, here are a few things you’ll need to know.
Step 1: Head to the Bybit website and sign up for an account. Once you've done that, it's time to start trading.
Step 2: To buy or sell on Bybit P2P, click on Buy Crypto → P2P Trading (0 Fees) and find the cryptocurrency you wish to buy or sell, such as USDT.
Step 3: To buy USDT, choose Buy and filter the advertisers by entering your desired Amount, Fiat Currencies or Payment Methods. If this is your first time trading on the platform, you’ll need to create a nickname.
Step 4: Choose your preferred advertisement and click on Buy USDT.
Step 5: Enter the fiat currency amount you wish to pay and see how much USDT you’ll receive in return. Then click on Buy to proceed.
Step 6: You’ll then be directed to the order page, where you’ll need to transfer your fiat currency to the seller’s account within 15 minutes. After verifying that all your details are correct, click on Payment Completed. You should receive the coins within 10 minutes, after which you can click on Check Asset to view them, along with your transaction history. If after 10 minutes you still haven’t received the coins, click on Submit Appeal and the customer support team will contact you.
If you want to trade at a higher transaction limit, you must first complete the KYC verification. Then head to Account and Security at the top right corner of your account and click on Verify Now to upload a copy of your passport. Next, you’ll have to complete a facial recognition scan. Verify your passport information, then click on Next. Once your KYC details are verified, you’ll be able to transact at higher amounts.
P2P trading is a great way to earn passive income. It's simple, easy to do and can be quite profitable, if done correctly. There are a few things to keep in mind when using this trading method, however, overall it's a pretty straightforward process. With Bybit, you can trade confidently, knowing you're getting a fair price for your transactions. If you want to make more money through trading, but are put off by the complex tools necessary for spot or derivatives trading, then P2P trading is definitely worth considering.