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cryptocurrency-exchange

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Published 11/23/2024
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See also: haveno • cryptocurrency exchange guide • so-called free cryptocurrency • “buying and selling cryptocurrency”

Cryptocurrency exchange

Currency exchange = a transaction trading one currency for another at a given exchange rate, or a service facilitating such transactions by making or connecting trade offers.

Cryptocurrency = a currency which relies on cryptographic functionality.

Cryptocurrency exchange = a currency exchange involving at least one cryptocurrency.

Crypto-for-crypto swaps

There are more cryptocurrency exchanges that don’t support USD (or similar) than ones that do. They can be used to trade one cryptocurrency for another. Many of these refer to exchanging currencies as “swapping.” They’re also less likely to have KYC than exchanges supporting USD (or similar).

Quick guide to exchanging USD (or similar) for cryptocurrency

A fuller version should go under the wiki entry cryptocurrency exchange guide

Centralized corporate exchanges

Centralized exchange services should be avoided, especially in places such as the US or the Netherlands, where there are issues such as:

  • KYC
  • funds randomly being delayed or stolen
  • closed-source software often being required on user devices and/or in the handling of user funds
  • Alexey Pertsev being in a 🇳🇱Dutch prison, ostensibly for being 🇷🇺Russian and writing code the American military industrial complex doesn’t like (due to the cryptographic functionality providing some degree of potential privacy - see Tornado Cash)

Personal exchanges

If you know and trust anyone who holds a cryptocurrency you’re interested in obtaining, asking them to trade with you is probably your best choice. Even if they only have a small amount available and you’re looking to obtain more, you can simply go in phases, building your stack trade-by-trade in smaller amounts.

Online services

If you can’t find the right trusted connection to trade with, there are reputation-based online services for finding individual human traders.

Haveno is one that works for Monero. Bisq is another that can be used for Bitcoin.

If you need a different cryptocurrency, such as doggie coin (DOGE), you can use a crypto-for-crypto swap from Monero you’ve obtained using Haveno.

LocalBitcoins was a service which could be used to find people more locally, as the name implied; it rarely worked this way in practice, and has been shut down regardless. Nostr or similar platforms can possibly be used to seek local connections as well.

After obtaining any cryptocurrency, e.g. Monero or Bitcoin, it can be swapped for other cryptocurrency on many exchanges

Accountability and security

Don’t make trades with strangers in a way where they have the opportunity to run away with your money and leave no recourse for you. If you’re going to use an online service, carefully consider how it works and how it’s supposed to offer you security.

If you’re going to do a trade in person, consider asking your trade partner to meet in public with witnesses and wait until one transfer is confirmed on the network before completing the other corresponding transfer.

Always feel free to go as far as using an escrow or other common security measures.

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