LocalBitcoins, one of the largest P2P exchanges in the world, has added Bitcoin Cash and other cryptocurrencies as payment methods to acquire Bitcoin on its platform. This marks a clear departure from the company’s previous position, which did not add new payment methods and had been bitcoin-only for some time.
Localbitcoins Connects Bitcoin Cash and Other Cryptos
Localbitcoins, one of the largest P2P cryptocurrency exchanges in the world, is now allowing its users to buy bitcoin with other cryptos, a departure from its earlier bitcoin-only approach. company announced In a blog post last week they will now allow listings that leverage Tether (USDT), Polkadot (DOT), Cardano (ada), bitcoin cash (BCH), USD Coin (USDC), Chainlink (LINK), and Dogecoin (DOGE) as payment methods.
The exchange has also added several new fiat-based payment methods that can be used internationally, and others that can only be used in specific countries. The decision marks a clear departure from the traditional bitcoin-only stance the company has taken since its creation, and effectively creates the possibility of arbitrage with altcoin prices on the platform, though not directly on a traditional exchange.
Localbitcoins is one of the first P2P exchanges and, apart from tightening the KYC measures associated with the use of the platform, it hasn’t changed much. Even the user experience and webpage have remained pretty much the same since it began operations in 2012, and the platform still lacks a mobile app.
One of the reasons for this sudden change of heart could be the loss of relevance of the exchange in emerging markets such as Venezuela, where the exchange has shifted from the preferred way of buying bitcoins to just another good option in the market.
Proof of this is the declining sales volume, which can be seen in Coin Dance. statistics. This was also fueled by the advent of a new P2P alternative market: Binance P2P, which is backed by the exchange, and has attracted many Localbitcoins traders and customers over the past two years. In addition, other less privacy-invasive alternatives have emerged, such as bitcoin.com local, where no KYC is required for direct P2P trading.
The declining popularity of Localbitcoins may be a sign of the times, as there are now many other ways to buy bitcoin apart from a direct, P2P exchange. However, P2P still has some key traits that make it the go-to method for many people to acquire cryptocurrency, and Localbitcoins may expand its offerings and payment methods to meet the needs of its users.
What do you think about the adoption of new cryptocurrencies as a local bitcoin payment method? Tell us in the comments section below.
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