Topic: local bitcoin alternative (Read 452 times)

This is part of the problem for a new website with no history and an anonymous owner/operator. Well, sending crypto first and anticipating payment via bank transfer or exchange for another crypto is something that requires trust with website owners. Also, if your customers (rightly) should take caution and implement precautions if they were to meet traders in person, it is a highly risky (and potentially life threatening) strategy.

What can you do in order to increase your customers as well as trades taking place?

It's cool to try and give back and make a site to connect buyers and sellers given local bitcoins has collapsed, however there is an inherent risk with running a site like this with no KYC, no fee structure or commission model, and also trying to establish a seller reputation dashboard to assist customers with trusting someone they are buying from. To break into this market you will need a lot of capital and experienced developers.

Really nothing?

I liked Localbitcoins very much. But I managed to find alternatives which are even better than Localbitcoins:
- LocalCoinSwap which is almost non-custodial (excepting the escrows),
- Agoradesk which is non-custodial for bitcoin buyers,
- RoboSats which operates with Lightning Network with very small fees,
- LNP2PBOT which allows us to create local exchange communities in Telegram,
- Vexl which helps us to spread our offers across our friends and FOAFs only and avoid scamming strangers.

But the main strength of Localbitcoins was its widest popularity. It definitely used to be the biggest platform where it was very easy to find good offers and create our own offers which could attract someone from a big Localbitcoins' community.

Now that big community is fragmented. So there is no alternative to Localbitcoins as a place where offers are made and seen by millions of people.

Unfortunately, your site contributes to this community fragmentation as well. But it doesn't mean your website doesn't have the right to exist. On the contrary, let there be different platforms with different terms. And community integration can be facilitated by aggregators that gather information about offers from all these platforms.

For example, this is how https://yadio.io/market.html operates. What do you think about reaching out to them to have ads from your website included in their list?

Why are you advertising PrimeXBT on your site?

https://go.prmx.co/visit/?bta=35745&brand=primexbt

This looks very unprofessional.

I'm all for crypto being anonymous, distributed, buyer beware. Unfortunately, as soon as it touches fiat currency the feds have other ideas.

If you're a US citizen then you're opening yourself and any US users up to the issues that localbitcoins had. This includes users being charged with money laundering and unlicensed money exchange services.  You really need some good crypto legal advice to keep yourself from running into issues. The gov won't care if it's only a hobby project.

Not trying to be a downer, I firmly believe the more devs working in crypto the better. However, I've been around enough to know that any service needs a legal review before it goes live.  If you aren't friends with any lawyers look around. I had one that I could pitch projects to and he'd gladly listen and tell me what would be needed to launch without any charge. He would only charge if I then asked him to do work. He said it was a nice change from the typical business stuff he did.

  That sounds like a great initiative! Creating a platform to facilitate local Bitcoin transactions can indeed be very helpful for the community, especially in the absence of popular platforms like localbitcoins.com. By providing a classifieds-style website where individuals and businesses can connect to buy and sell Bitcoins locally, you're offering a valuable service that can foster trust and convenience for users. This can be particularly beneficial for those who prefer face-to-face transactions or who may not have access to traditional online exchanges.

Here are a few suggestions to ensure the success and safety of your platform:

User Verification: Implement a user verification system to ensure the identity and legitimacy of both buyers and sellers. This can include email verification, phone verification, or even ID verification for high-value transactions.

Secure Communication: Provide a secure messaging system within the platform to allow buyers and sellers to communicate safely without sharing personal contact information until they're ready to meet in person.

Transaction Escrow: Consider implementing an escrow service where Bitcoins are held in escrow until both parties confirm the completion of the transaction. This helps prevent scams and ensures that both parties fulfill their obligations.

User Ratings and Reviews: Allow users to rate and review each other based on their transaction experiences. This helps build trust within the community and allows users to make informed decisions when choosing who to transact with.

Security Measures: Implement robust security measures to protect user data and prevent unauthorized access to the platform. This includes encryption, regular security audits, and staying up-to-date with the latest security best practices.

Legal Compliance: Ensure that your platform complies with relevant laws and regulations regarding financial transactions and data protection in your jurisdiction.

By prioritizing user safety, trust, and convenience, your platform has the potential to become a valuable resource for the Bitcoin community. Best of luck with your project, and I hope it brings positive benefits to the users it serves!

Well said, I think KYC should be introduced to this platform in order to lower the chances of having scammers here, because this platform is a good avenue to buy and sell BTC, 90% of wat we do here is BTC related, and if someone wants to sell a BTC, I think here should be the right place to get buyers and sellers, but that can't be achieved if a way of identification of users is not introduced, I think it should be introduced to reduce the risks of being scammed on this platform.

Hello, Kakmakr

You're right, it's true.

I appreciate your feedback.👍

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Hello,

I understand your concerns, but I suggest scrolling back through the thread of this forum post where you'll find answers to your questions.

(Just for your information, PayPal is a centralized platform; if you conduct a transaction through PayPal, you can open a dispute.)

Life is made up of risks and choices, just carefully measured. I believe that in the real or virtual world, it's the same.

Best regards, and thank you for your feedback.

Hello logfiles,

you're absolutely right. I'm going to promote Bisq.network on the platform. I'll create an article in the future FAQ.

Answer: No, because my site is a classified ads site. In the future, I'll add the option of selling any physical object in bitcoin, which will make the platform more general. Imagine if someone wanted to sell their house or car in BTC, let's be crazy 😅.
I'm a classifieds site; if people want to exchange bitcoins for tomatoes, that's their choice.

Best,

Use a platform like this to buy or sell bitcoins, is a High-Risk move, i wouldn't recommend anyone to risk their money this way because if you lose your money the platform will say "It was a P2P exchange and we are not responsible for your loss".

My question is, how does the platform avoid scammers if there is no KYC process on it? Anyone could join with a fake name, offer Paypal, and after the deal then charge back the Paypal payment while they already get the BTC.

the idea isn't bad, but it will be a paradise for scammers with the current rules.

I think it is cool to give something free to the community and I applaud that, but you also have to put warnings up to warn people against the dangers of using a system like this. (Also add some kind of disclaimer to protect yourself, if somebody misuse your system)

It is still early days and you still have a lot of things that need some fine tuning, so expect some negative feedback. I think "exchanges" need some competition to keep them on their toes, but I know the regulators will come looking for you.. once this grows big enough for them to take notice.

This means you might have to adopt a system where individual traders have to download some open source software, run their individual nodes, connect to other peers creating a true decentralized peer to peer network and exchange (look at bisq.network)... right? Because that's what Bitcoin's philosophy is partly.

I understand, but your platform remains centralized in a way that you or Law Enforcement can stop it at any time they want. Probably seize even the servers.

Maybe you could consider creating a tor mirror as well in a mean time.

It is clear that any meeting with a stranger, regardless of their origin, online with an unknown person can be dangerous. It is well known that on dating sites, on Snapchat, Facebook, Tinder, or any platform, it is imperative to be vigilant. Even with identity verification procedures (KYC) and criminal record checks (as one can never truly know an individual, and identity theft is easy), the risk of theft or violence still persists. Prioritizing personal safety and being aware of the potential risks associated with online meetings with unknown individuals is crucial, and it is always good to emphasize this.

Don't implement a reputation procedure!   Even with KYC and criminal record checks (both which would kill your enterprise immediately), people can still be robbed or murdered, and guess who would be sued?

Hello,

Of course, I completely understand your concerns. Detecting artificially inflated reputation is a major challenge, and even global technology companies like Google face difficulties in controlling this phenomenon. The complexity lies in the diversity of methods users employ to manipulate reputation, making it challenging to implement a universal solution.

I am fully aware of this issue, and if there is a possibility to counteract it, I will implement it in the future. I am open to any suggestions or additional recommendations you may have on this matter. Your involvement and feedback are crucial for enhancing the integrity of the platform in the future.

ps : for the 2FA , i will try to fix that in future thanks for you repport.

Thank you for all your feedback!!

Hello logfiles,

Thank you for your questions. Allow me to provide a more concise explanation of the principles that guide my platform:

Regarding the depositary or non-depository nature, the platform aligns with the Bitcoin philosophy, operating as a fully non-depository and decentralized service. Although being a platform for connecting buyers and sellers. my commitment is to adhere to Bitcoin's founding principles, avoiding unnecessary regulation, centralization and preserving user privacy.

The absence of KYC is intentional, reflecting the desire for a more private and decentralized financial system. The platform is designed to uphold the values of financial freedom and user autonomy that bitcoin represents.

In terms of escrow, the platform operates without an escrow service due to workload, and disputes are managed through a community-based approach, emphasizing transparency and collaboration to mitigate risk.
As far as fees are concerned, the platform operates as a voluntary and free service for the community. The intention is to contribute to the community without any commercial or profit motive. This is a voluntary, non-commercial initiative to foster a community-focused space.

PS : It costs me nothing; I coded the site myself, and, as mentioned earlier, for hosting, it takes 0.1% of my VPS, which I use for other side projects.

I appreciate your understanding and support, as I strive to respect the principles and values on which Bitcoin was founded.

Best.

@r00tuser

Since it's noncustodial, does that mean no KYC. You did talk about that bit. Remember, this is a fiat to crypto service. So you are bound to clash with Regulators and Law Enforcement at one point in time. What is your plan to avoid such a scenario.

This is why the term of service are so important. So that the user knows what they are getting into.
So how will disputes get handled if there is no escrow plan? Not all people who trade p2p are genuine, some of them are scammers.

Where will you get money to foot the cost of running the service?

Hello,

The price is live updated every 60 seconds with an API directly from CoinDesk. (I need to verify if there's a bug.) And yes, it's free because it costs me nothing (only the domain name, $9/year). I have self-coded it, and for the hosting, it's on my personal VPS that I use for other personal projects.

Thanks a lot for your feedback!

Best❤️

The first observation that I noticed is that the price of Bitcoin is completely different from the market price. As shown in the picture, the price of Bitcoin on the site is $54,540, while the market price is currently $61,214.



The other thing is that you say that "the platform is 100% free as a service to the community". This is illogical and could make the site suspicious because no one would believe that a site provides a completely free service without any fees while it needs to pay fees for hosting, support, and other site services.