The primary purpose of social media is to bring people together. It has become a vital part of our lives and its presence is one of the factors that aided the adoption of cryptocurrency in Nigeria and other parts of the world.
Social media platforms serve as mediums to share news and information about bitcoin and other cryptocurrency projects. The advent of different forums and groups also serves as a means to bring people with like minds together for important crypto discussions and announcements.
Most people in the crypto industry today got to know about bitcoin and other digital assets on social media. For many people looking for where to buy bitcoin, social media has always been their go-to place, with these platforms and forums serving as a medium to connect sellers and buyers of cryptocurrencies.
There are different ways you can buy bitcoin in Nigeria. However, it is important to use the safest means when trading BTC. While peer-to-peer platforms are one of the popular places to trade, some people prefer to buy bitcoin from a bitcoin exchanger on social media instead of visiting a P2P exchange.
Nigeria is the leading country in terms of bitcoin and crypto adoption in Africa, so with a lot of people dealing in crypto, it is very easy to get a bitcoin exchanger on social media platforms.
Social Media Bitcoin Exchangers
Social media bitcoin exchangers are simply the individuals or groups that buy and sell bitcoin on social media. You can find them on different social media forums, groups, and platforms such as WhatsApp, Facebook, Telegram amongst others.
Anybody can be an exchanger on social media so as a buyer, you are buying directly from an individual that holds bitcoin. After you must have agreed on the rate, you send fiat to the exchanger, and he/she sends your crypto to your wallet.
This is a direct transaction between the buyer and the seller. While this sounds straightforward, it is very risky as the buyer is very prone to scammers. The seller can easily block the buyer off or even deactivate his social media account once he receives the funds; it is as easy as that. Social media isn’t a safe place to trade BTC. If there is an issue with the counter-party, you are hundred percent responsible for your misfortune.
Paid and private crypto exchange groups on WhatsApp and Telegram may be safe and secure to some extent. This is because they are managed by group administrators who serve as escrows. The escrow receives bitcoin from the seller and notifies the buyer to send the Naira equivalent to the seller’s account. After the sending fiat, the escrow then sends the bitcoin to the buyer’s wallet.
This option is not totally safe because many escrow groups have been reported as part of elaborate scams.
Peer-to-peer exchanges are platforms that serve as a marketplace for crypto traders. An exchange acts as a medium to connect traders. You are buying directly from another person just like when you trade with a social media exchanger. However, a P2P exchange offers escrow services for secure transactions between the traders.
The process is also straightforward, you send fiat to the seller and the seller transfers the worth of BTC to your wallet. This is similar to when you use social media exchangers, isn’t it?
However, in a P2P exchange, when you open a trade, the worth of BTC you want to buy would be transferred from the seller’s wallet to an escrow system that holds the bitcoin until the seller confirms the payment. This eliminates the situation where the seller receives your fund and refuses to release your crypto. Some P2P platforms also require that every user complete the KYC registration. This is to make sure that every user registers an account with their real identity.
When you want to buy bitcoin on a P2P platform, it is important to buy from a seller with a good reputation and always maintain in-trade conversations. Do not deal with any trader outside the platform.
On a P2P platform, you have the option to choose your preferred rate and seller. If you don’t find a suitable rate you can create your buying ads. An example of a P2P platform is Remitano.
Remitano is a notable peer-to-peer exchange in Nigeria that enables traders to trade bitcoin and other cryptocurrencies. This P2P platform offers escrow services between the buyers and sellers, guaranteeing the transaction goes on smoothly, which means you can safely buy Bitcoin in Nigeria on the platform.
The exchange operates in over 50 countries and over the years, it has grown to be one of the best exchanges where you can buy bitcoin in Nigeria.
Which is safer – buying from social media exchanges or P2P exchanges?
The answer to this is very obvious. It is safer to buy bitcoin on a P2P platform than buying from social media exchangers. Although some traders argue that you are also trading with a stranger on P2P. However, that is why P2P exchanges have features such as escrow and KYC in place to avoid scams and enable safe and secure transactions on the platform. Trading on a P2P could take a longer time to complete the transaction compared to buying from exchangers, however, it is better to wait a few minutes than losing your funds.
Other safe means to buy bitcoin in Nigeria
Aside from P2P platforms, you can also buy bitcoin in Nigeria on centralised exchanges that operate in the country. Centralised exchanges are very common and they are controlled by a third party. A centralized exchange is quite different from a P2P exchange because traders don’t trade between themselves. The buyer trusts the exchange to complete the trade. The third party is in charge of all transactions. So the safety of the transaction depends solely on the exchange. Although they are prone to hacking attacks because they hold and control users’ assets. Kraken and Binance are popular examples of centralised exchange in Nigeria.
In conclusion, some social media exchangers resort to P2P platforms when they have a trade and they don’t have enough crypto to complete the transaction. So why not buy your bitcoin from a secure and reliable exchange like Remitano?