The world’s leading peer-to-peer Bitcoin marketplace, Paxful, is showing a huge surge of interest in Russia.
According to data from Paxful, the usership in Russia has grown year-on-year by 350% with an average monthly trading volume from behind the red curtain is $4m.
Russian Interest In Paxful Peer-to-Peer Bitcoin Marketplace Growing Rapidly
With the world in lockdown and the struggles with US sanctions, one might think Russians might be tentative when it comes to purchasing ‘risky’ Bitcoin (BTC).
However, according to a report from the world’s leading peer-to-peer Bitcoin marketplace, Paxful, interest in the world’s leading cryptocurrency has grown exponentially in the space of a year.
The report, which used statistics from May 2019 to May 2020, shows that in the last 3 months alone, the growth in volume has exceeded 40%, with May 2020 being the best month on record.
What is Paxful?
Paxful is a peer-to-peer global Bitcoin marketplace that allows anybody with an account to buy and sell Bitcoin from almost any country.
The platform has millions of users on all corners of the world, and offers more ways of buying Bitcoin than any other exchange or marketplace.
A person wanting to buy Bitcoin on Paxful can do so with almost every government fiat currency, gift cards, airmiles, or pretty much anything the seller is willing to accept.
Russians Don’t Trust Their Banks or Government
Speaking of the growth, Paxful CEO Ray Youssef said the figures ‘had far exceed expectations, and there was a ‘strong belief in the future of cryptocurrency.
Added with a lack of trust that some have for their traditional financial system and the iron fist of Putin’s policies, it’s hardly surprising that Russians are turning to Bitcoin.
The economic downturn in 1998 still festers within Russian society and the Russians will not forget easily. They remember the problems they had back then trying to withdraw cash from the banks, which had mysteriously dried up.
Paxful’s Russian regional manger, Anton Kozlov, added that Russia has ‘always had a monolithic banking system,’ which will only encourage its citizens to look elsewhere, and a global, liquid, peer-to-peer market that never closes seems like the perfect way to emancipate themselves.
Therefore, a lack of trust could explain the reasoning for this uptake of peer-to-peer Bitcoin trading. By why now? Why not any time in the last few years?
Coronavirus, World Tensions Playing Into Bitcoin’s Hands
This year has seen an incredible tightening of the global economy, and as well as feeling the pinch on the price of oil, it could be argued that the coronavirus pandemic is also one of the major drivers of interest in Bitcoin and peer-to-peer trading especially, a feeling echoed by the Paxful CEO.
‘COVID-19 […] brought about a wave of financial insecurity globally, which contributed to more peer-to-peer interactions within the crypto sector,’ said Youssef.
And Russians have had a torrid few months with the nation being one of the worst hit from the pandemic. Added with the tensions between the US and China and Russia, the trust towards the government by many Russians will likely be at an all time low.
Russians Turning to a Paxful Future
It’s well known that Putin is stacking gold, and the fight between Russia, China and the West is intensifying.
And with the world unlikely to see any kind of norm for at least 12 months, Russians are fearful of their government and banks’ inability to control the monetary and fiscal situation.
Paxful offers pretty much anyone anywhere an opportunity to buy Bitcoin for pretty much any currency, 24 hours a day.
Paxful call it a peer-to-peer revolution. In Russia, the people could be on a hunt for a Bitcoin revolution.
Author: Pablo Clarke
Is Bitcoin legal in Russia?
As of writing, Bitcoin is legal in Russia. However, Russia is well known for its instability and change in policies. And it’s believed that the Russian government was thinking of implementing draconian laws that make many uses of digital assets punishable with fines or prison might soon become law in Russia.
What is the point of Bitcoin?
Bitcoin is a decentralized money. A money that nobody can control or manipulate, and a money that nobody can print and devalue. It’s also not necessary for any third party to verify transactions, so it makes it much faster and cheaper to send value. It’s also money built on the Internet: a society of almost 5 billion people.
Can I start Bitcoin with no money?
Absolutely! Bitcoin is like other investments and currencies. If you have some money to invest, you can make more faster. You can lose more faster, as well if you don’t know what you’re doing. But if you don’t have any money to invest you can earn free bitcoins from playing games, learning about cryptocurrencies, or offering your skills for Bitcoin.