P2P fiat

[Anonymous]

Hi @alexg

I was wondering if it will be possible to transfer fiat currency user to user directly in addition to depositing funds to the site as well. Options will be as following

[1.] Deposit Fiat to site bank account (already done)
[1.a] Withdrawals yet to be implemented

[2.] Let Buyer and Seller deposit funds directly to the other’s bank account and their crypto funds get locked till the trade is settled between them for next trade (I guess this should be easier to implement as it’s already there).

All you need to do is to give the appropriate permissions to the users to accept fiat from the other. Keep the Crypto funds locked once the trade accepted between two. Once the Seller clicks payment received Crypto funds will be released immediately to the buyer.

Do i make sense?

{EDIT}

Oh Bank’s transaction ID is must, there should be a field where sender and receiver both should key bank transaction id, this will help system to maintain accounts and will then mark payment between users is settled.

Thanks

[Anonymous]

Ok here we go …

[1.] User A have X amount of Crypto in wallet and wants to sell
[2.] User B wants to buy, so User clicks on Buy and trade gets locked for a certain period say 30 mins or 1 hr window
[3.] User B deposits funds to User A’s account and marks paid for trade
[4.] User A marks payment accepted and crypto funds get released to User B

if

either of the party does not mark the payment accepted or paid crypto funds stays locked till it’s reconciled by the site

Even while sleeping i have been thinking best way outs 😀

[alexg]

Interesting. Thanks for sharing this.

It is already possible for users to transfer fiat between one another, using the [wallets_move] shortcode and the accompanying do_move JSON API call. However locking is not possible at the moment.

What you are describing is an escrow service. This is not in my plans to implement at the moment.

Could what you are proposing be done simply via the Exchange extension? Functionally it is the same, except there is no restriction on who you are buying from or selling to. Are you trying to create an OTC market on top of the Exchange’s markets?

Finally, I already plan to add a way to store bank transaction IDs with fiat deposits (and later withdrawals). This will be out soon.

with regards

[Anonymous]

Hi Alex,

Yes kind of OTC it will become, but that’s only possible if (as you have already denied kind of escrow). So …

definitely there are pros and cons for above… but, anyway.

looking forward to see withdrawals and bank transaction id implementation.

Again thanks for such a wonderful work… keep it up

[alexg]

May I ask why an OTC trading function would be needed? What would be the use case?

If you could help me understand, then I will consider implementing it. But as I see it, this is just a worse kind of exchange. When you enter a limit order in an exchange, you are effectively putting your funds in escrow.

Bank withdrawals will be implemented somewhat later, because these require some changes to the parent plugin.

kind regards

[Anonymous]

I agree with you, this would be worst kind of scenario.

I was wondering about the countries or places where authorities do not allow crypto to bank transaction i.e. in India, but are fine with p2p, as you might have seen in localbitcoins.

That’s why was thinking, if it’s possible.

As you mentioned and we all know withdrawals feature yet to implemented, i am sure you are aware of bank charges as withdrawal fee.

Thanks

[alexg]

Thanks for this. I didn’t know.

To be clear, are you saying that in countries like India it is illegal to provide an market trading between fiat and crypto, but individuals are still allowed to enter into private deals exchanging fiat and crypto?

[Anonymous]

They did not mark Cryptos as illegal but at the same time since April banks have withdrawn support for Crypto trading as Per Reserve Bank of India guidelines …

It’s so stupid.

[Author]

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