Celebrating their fifth year in operation, next-generation peer-to-peer (P2P) bitcoin marketplace, Paxful, are reflecting on key milestones since inception in 2015. Started by two formerly homeless entrepreneurs, the organization has established itself as a pioneer in the peer-to-peer finance space.
The multi-billion-dollar transaction business has been opening new doors for users in the crypto world, with the aim to provide greater financial inclusion for consumers around the globe. As of July 2020, Paxful hit 4.5 million registered wallets and reached 4.6 billion USD in trading volume. Adding one million users each year since 2015, Paxful is on track to sign up an additional two million users by the end of 2020. Africa continues to be a fast-growing market for Paxful and an exciting new frontier for the bitcoin economy.
Crypto adoption has progressed over the past several years, and peer-to-peer crypto platforms had to adapt to stay ahead. Making great strides in becoming one of the leading peer-to-peer marketplaces, here are some of the key insights Paxful learned over the last five years in business:
1. User safety is the top priority
Despite what some may believe, the vast majority of transactions in the Bitcoin economy are safe. Paxful believes it is time cryptocurrency took its place in the world economy; however, confidence in the industry is still shaky. To strengthen user trust that the bitcoin sector is seeking, Paxful ensures strict compliance and risk management practices making it one of the safest peer-to-peer platforms out there.
Since its establishment, Paxful has consistently invested in some of the world’s leading governance, risk, security, and legal services to help implement the best possible policies and procedures to protect its users. Further, partnerships with industry security experts, like Chainanalysis and Jumio, supports user safety and compliance with industry regulations. Paxful takes pride in its transparent operations and ongoing programmes to educate users about safety in bitcoin trading.
2. Crypto continues to gain ground in emerging markets
While many parts of the Western world remain fixated on speculative activity in the crypto-world, people in emerging markets such as Africa are teaching us about the real opportunities bitcoin trading provides; allowing users to be in control of their finances, without the interference of traditional financial systems.
With Africa being its fastest growing region, Paxful reaffirms their belief that the continent will shape the future of peer-to-peer (P2P) finance. The use and ownership of bitcoin is increasing significantly amongst African consumers as it offers cheaper, more convenient, and faster alternatives for transferring money in and out of African borders. In addition to South Africa, the leading markets on the continent for Paxful include Nigeria, Ghana, Kenya, and Cameroon.
Ray Youssef, Co-Founder and Chief Executive Officer of Paxful, adds: “Bitcoin continues to change the way people manage their finances. Our customers in Latin America, Africa and Southeast Asia are getting around the limitations of their financial systems by realizing the full potential of the Bitcoin-economy, using it for both personal finance needs and entrepreneurial ventures including paying bills, purchasing goods and services, and building businesses.”
3. Competition for talent is on
According to the professional social networking platform LinkedIn, blockchain skills top the list of most in-demand hard skills for 2020. To support the pipeline of talent in the industry, Paxful is investing in future bitcoin-economy professionals and entrepreneurs by supporting youth-focused workshops, seminars, and webinars. Paxful is also promoting education through its Peer Program, which supports crypto enthusiasts who are dedicated to expanding financial freedom and are looking to become bitcoin entrepreneurs.
Paxful is also committed to becoming a sought-after employer. Paxful was recently recognized as part of Forbes’ inaugural list of America’s Best Startup Employers for 2020. The company currently has over 260 employees spread out across its global offices.
Paxful is very proud of its diverse employee base. More than 35% of Paxful’s employees are women and the company is set to further increase female appointments across its offices. All employees receive the same benefits: new parents are able to enjoy generous parental leave together with a new-born bonus to ease financial pressures. To further encourage a healthy work/life balance, Paxful offers employees remote work options, flexible hours, sponsored sporting activities, massages and chiropractor visits, as well as a food allowance.
4. Plenty of room for new players
The increase in Bitcoin transaction volume in Africa has largely been influenced by the emergence of various cryptocurrency exchanges and marketplaces across the continent, resulting in more income-generating opportunities.
As the world is progressively adapting to cryptocurrencies, business giants like Facebook and PayPal are gearing up to cater to the current needs by adding crypto trading functions to their services.
“We welcome seeing more players enter the space, as it raises awareness and educates the public on the crypto-economy and P2P finance. It contributes to the growth of economic opportunity and financial inclusivity for people around the world as more individuals are using bitcoin in their everyday lives,” says Youssef.
5. Partnerships are the future
Paxful has always been keen on building and expanding partnerships. To date, the company has joined forces with industry giants like OKEx, the world’s largest and most diverse cryptocurrency exchange to provide more Bitcoin payment options for users in developing regions.
“We are witnessing more industry collaborations that successfully play to each other’s strengths, adding value, increasing functionality and unlocking more trading options for customers. We are always excited to partner with businesses who share our passion and vision of economic freedom, a world where everyone has equal access to finance, no matter who they are, or where they are from,” concludes Youssef.
Paxful also partnered with various non-profit organizations to implement its #BuiltWithBitcoin initiative, that aims to support communities in emerging markets by building sustainable schools and community gardens in under-served communities, all paid for with bitcoin. With 2 schools in Africa already up and running with 1 other nearly completed, the company’s journey to a total of 100 schools around the world is just at its beginning.