How To Trade Fiat Currency?

What is Fiat Currency?

Fiat currency is a government-issued currency, such as the CNY, U.S. Dollar, Euro, etc., that is legally circulating in the market relying on government decrees. By contrast, cryptocurrencies are not backed by governments but are issued through algorithms and rules of specific protocols, such as Bitcoin, Ether, Dogecoin, etc.

What is Fiat Currency Trading (or P2P Trading)?

Fiat currency trading refers to the purchase, sale or trading of cryptocurrencies with fiat currency. As most exchanges today do not support buying Bitcoin and other cryptocurrencies with fiat currencies directly, it is possible to purchase the corresponding currency through a transaction between a user and a user, by making a payment to the seller holding the cryptocurrency.Since the purchase of cryptocurrencies is performed between users outside the exchange, the trading of purchasing cryptocurrencies with fiat currency is also known as “over-the-counter” or “P2P transaction”.

How Do P2P Trading Platforms Work?

Gate.io serves as a secure intermediary to help match buyers and sellers in the transaction process. Users can click “Buy Crypto” on the homepage of Gate.io with just one click. Gate.io will match the two parties according to the optimal exchange rate of the current market. Fiat trading merchants can post orders in the market for other users to browse and take.

In order to protect the interests of both buyers and sellers, Gate.io P2P Transaction adopts the custodial model, in which the cryptocurrencies are in the custody of Gate.io before both parties confirm the completion of the transaction. This ensures that the coins are released to the buyer appropriately. In addition, Gate.io’s feedback and rating mechanism helps secure users’ transactions and reduces the risk of fraud. If any problems or disputes occur during the transaction, either party can file a complaint, and a fiat currency commissioner will mediate in it as soon as possible.

Advantages of Gate.io P2P Transaction

1. Fast and convenient deposits and withdrawals.

2. Multiple payment methods are supported, including bank card, Alipay, and WeChat pay.

3. Zero fees currently. In comparison, many over-the-counter trading platforms charge a 1% fee.

4. The custodial model secures users’ transactions.

5. When evaluating the VIP tier of verified merchants, the fiat currency transaction volume is also taken into account. The higher the VIP tier, the more privileges the verified merchants can enjoy.

How to Use Gate.io P2P Transaction?

On Web:

1. To conduct fiat trading on Gate.io, you need to complete the KYC and add your mobile phone number and bank card. You can enter the P2P transaction page by clicking “Buy Crypto” → “P2P Trading” on the upper navigation bar or the blue “Buy Crypto” button on the homepage.

1. Here, let’s take buying USDT as an example. Select “Flexible” on the P2P transaction page.

① Click “Buy”.

② Select USDT.

③ You can filter suitable orders according to the purchase quantity, payment method, etc.

④ Select a merchant you want to trade with from the list and click “Buy USDT”. (Note: You’ll have to pay with a method the merchant has specified.)

1. Enter a buy quantity and the share value will be calculated and displayed automatically.

1. Double-check the information and click “OK”.

1. When the order gets matched, you can find it in “Fiat Order” - “Current Order”. Please pay the seller based on the amount displayed on the screen and click “I have paid”.

Note: Gate.io will not execute the payment automatically. You must make a manual payment and click the “I have paid” button within 20 minutes. Otherwise, the order will automatically get canceled and the money will be returned to the seller’s account. If you do not follow this rule, you may lose both your coins and fiat money.

1. Completed orders can be found in “Fiat Order”-“Completed Orders”.

On App:

1. You can enter the fiat transaction page by clicking “P2P Trade” or “Buy Crypto”/”Buy with Credit Cards” on the “Markets” page.

1. Select “Buy” or “Sell” at the top of the page.

Here, let’s take buying crypto as an example:

① Select a trading pair.

② Input an amount you want to buy.

③ Click “Filter” to set your preferred trade type and payment method.

Select the merchant you want to trade with and click “Buy”.

1. Input an amount you want to buy and click the “Buy” button on the bottom, then confirm your purchase in the pop-up window. If all the information is correct, click “Buy Now”.

1. The system will match the order for you automatically. Once it gets matched, you can check it in “Order” - “Unpaid/Paid”.

1. Click “Pending Payment” to check the recipient’s information. Please pay the counterparty within 20 minutes based on the info the seller has provided and click the “I have paid” button.

Note: Gate.io will not execute the payment automatically. You must make a manual payment and click the “I have paid” button within 20 minutes. Otherwise, the order will automatically get canceled and the fiat will be returned to the seller’s account. If you do not follow this rule, you may lose both your coins and fiat money.

1. Once the order is completed, you can view details in “Order” → “Completed”.

What Cryptocurrencies Can be Traded on Gate.io P2P Transaction?

Currently, the following currencies can be traded on the Gate.io P2P Transaction section:

1. BTC (Bitcoin)

2. USDT (Tether)

3. ETH (Ether)

4. DOGE (Dogecoin)

P2P Transaction Notes

1. In order to ensure transaction security and avoid disputes and issues like bank accounts being frozen, users cannot withdraw or sell fiat currency within 24 hours after purchasing cryptocurrency.

2. Gate.io will not execute payment automatically. The buyer should pay the seller based on the recipient info the seller has provided within 20 minutes after the order is matched. Having completed the payment, be sure to click “I have paid” and wait for the counterparty to confirm receipt. Otherwise, the order will be canceled.

3. To avoid our bank card from freezing, do not mention Bitcoin, BTC, USDT and other sensitive words related to cryptocurrency when transferring money.

4. Be sure to use your own bank card, Alipay or WeChat accounts as both the recipient and payment address.

5. It is prohibited to use an ATM or Alipay to pay, or to withdraw from WeChat to bank cards before paying.

What is a Verified Merchant?

In order to improve the efficiency of order transactions and the trust between regular users and merchants, and to promote a safe, reliable, smooth and friendly transaction experience for both parties, Gate.io gives a blue verified badge to merchants with good trading history and reputation. Qualified merchants will be displayed with the “Blue V” badge on order lists, to indicate that they are recommended and recognized by Gate.io.

Verified merchants will be assessed by Gate.io from time to time. It is strictly prohibited for them to be reported by OTC users to have any abnormal account status, unreasonable cancellation of orders and other malicious behaviors. In the last three months, the user satisfaction rate of verified merchants should reach 80% or above. Most importantly, Gate.io will conduct strict KYC and anti-money laundering (AML) audits on users, providing higher guarantees for users to trade with verified merchants

P2P Transaction FAQ

Q: How to become a fiat trading merchant?

A: VIP 3 and above users, with at least 5,000 USDT or equivalent or 5,000 GT, will be recognized as fiat currency merchants automatically.

Q: What is T+1?

A: To prevent bank accounts from freezing and ensure transaction security, users cannot withdraw or sell a cryptocurrency with fiat money within 24 hours after purchasing it.

Q: How to cancel a buy order?

A: In the buy transaction, be sure to click “I have paid” within 20 minutes after the order gets matched, or else the order will be automatically canceled. If you want to cancel an order, you can contact our customer service agents for help by filing an appeal. To avoid the loss of your assets, please confirm that you do not pay before canceling. If you cancel orders multiple times on the same day, you will be prohibited from placing fiat trading orders for 24 hours.

Q: I have paid. How come the order is still canceled?

A: You are required to complete the payment and click “I have paid” within 20 minutes after the order is matched, otherwise it will be automatically canceled. If you do not click “I have paid” after paying, you might be encountering an asset loss. If this happens, please file an appeal as soon as possible.

Q: Does Gate.io support fiat currency trading?

A: Gate.io provides a platform for OTC traders but does not intervene in any transactions. Transactions are made between merchants and buyers without a third party.

Q: Why is the amount to be paid for fiat currency transactions different from the one displayed? How much is the handling fee?

A: Gate.io does not charge handling fees for ordinary users. However, the bank or money transfer provider you use may charge a fee for the transfer. If you buy USDT with fiat currency, you only need to ensure that the amount of USDT is correct. The CNY displayed on the page is just a valuation calculated at a fixed exchange rate of 6.6. To check the real-time exchange rate, you can enable the floating exchange rate function.

Q: When will I receive the coins after completing the payment?

A: After you click “I have paid”, Gate.io will automatically lock the seller’s cryptocurrency assets to prevent any potential losses for you. Once the seller confirms receipt of your transfer, the cryptocurrency will be released to you. If the seller has not released the tokens for more than 30 minutes and cannot be reached, you can click “File a Complaint” to seek help from our fiat currency specialist.

Q: I am a seller. The buyer clicked “I have paid” without actually paying and I clicked the confirm button without actually checking it. So the thing is that I have released the tokens but do not receive the money. What should I do?

A: Please file a complaint immediately and upload evidence to prove that you do not receive the payment. A special notice: You should only click the confirm button when you have actually received the payment to avoid any possible asset losses.

Conclusion

Fiat trading has narrowed the gap between traditional finance and the crypto world, providing a way for ordinary users to enter into this field and own their own crypto assets in an easier way. Gate.io’s fiat currency transaction adopts the custodial model as well as a feedback and rating mechanism. Any party that encounters a problem during a transaction can file a complaint. A Gate.io fiat trading specialist will help solve your problem as soon as possible.

It is fast and convenient to deposit and withdraw on Gate.io P2P Transaction, where a variety of payment methods, including bank card, Alipay and WeChat pay, are supported. It should be noted that Gate.io will not execute payment automatically. The buyer shall manually transfer funds to the seller and click the “I have paid” button within 20 minutes after the order is matched.

Gate.io P2P Trading serves as an optimal option for you to swap currencies and start a wonderful crypto journey.