On any given day, if you scroll through Bybit’s peer-to-peer (P2P) trading feature—currently the largest active crypto P2P platform following Binance’s delisting of Nigerian users—the presence of Nigerian traders is hard to miss. You’ll spot them by their bogus claims of offering the “best deal” in the market. Hundreds, if not thousands, of young Nigerians flood the platform, drawn by the promise of financial stability in an economy that offers few opportunities.
During bull market cycles, the mood among P2P traders—merchants who provide liquidity to crypto buyers—is particularly upbeat. According to several traders who spoke to TechCabal, peak trading periods can see them handling between 3,000 to 5,000 transactions monthly. On average, this translates to thousands of dollars in profits. One trader, who provides crypto liquidity in small caps, shared that he earns between $500 and $1,000 during what he calls a “great month for business.” The allure of such gains is undeniable, but the risks are equally heavy.
Like most cutthroat businesses, P2P traders try to undercut each other by offering cheaper deals on exchange rates—striving to maintain a balance between staying competitive and avoiding underpricing themselves.
On top of that, the market still finds a way to bring a potential scammer their way at least once a day. These traders face glitch fund scams, flash fund scams, money laundering attempts, coin locking, and the constant challenge of dealing with regulatory bodies and banks that are eager to freeze their accounts.
Yet, as one Web3 influencer put it, these risks are “occupational hazards” that come with a high-reward venture.
While many crypto traders have developed a thick skin to deal with the consequences of the P2P business, scammers are getting smarter in response, turning the struggle into a battle of wits. The most impressive aspect of these traders is that they’ve rallied themselves into communities to share updates and trends on how fraudulent actors are operating, helping them stay one step ahead.
Like experiencing a quick release of endorphins, the simple joy of seeing a buyer initiate a trade is enough to make any trader’s day. The risks, the intense competition, the account freezes, the court orders, and the legal troubles—they are what they are: occupational hazards, pesky side effects of an unchecked, well-oiled system.
Read TechCabal’s coverage of how P2P crypto traders are navigating daily scam threats and regulatory issues in their businesses.
