Paxful, a major P2P cryptocurrency exchange, has suspended its marketplace operations due to staff departures and regulatory challenges. As the company works to resolve these issues, customers are encouraged to explore self-custody options and alternative platforms like Noones and Bitnob.
Paxful, a leading peer-to-peer (P2P) cryptocurrency exchange, has suspended its marketplace operations. The company’s founder and CEO, Ray Youssef, revealed that key staff departures and mounting regulatory challenges prompted the decision. He advised customers to “explore self-custody and trade elsewhere” while the company addresses these issues.
Paxful Wallet Stays Open, Recommends Alternative Options
Although the marketplace is suspended, Youssef assured customers that all funds are accounted for and the Paxful Wallet remains accessible. To ease the transition, Paxful is endorsing alternative wallets like Exodus Wallet and Muun Wallet for self-custody. Non-U.S. users can migrate to other platforms, such as Noones, a P2P exchange focusing on the Global South, and Bitnob, which connects Africans to Bitcoin.
CEO Vouches for Noones, a New P2P Contender
Youssef personally endorsed Noones, which boasts lower trading fees, a more affordable wallet, a superior affiliate program, a streamlined KYC process, local dispute moderators, and a user-friendly TOS policy that avoids account locking. This new player could potentially fill the gap left by Paxful’s suspension.
A Wake-Up Call for the Crypto Industry
Paxful’s suspension highlights the challenges faced by the crypto industry, especially in light of increased regulatory scrutiny in the U.S. This situation underscores the importance of self-custody for investors and the need for secure, reliable P2P exchanges that can navigate regulatory pressures while safeguarding customers’ funds.