Benefits of an ESCROW Protection in P2P Crypto Transactions

Published in
3 min readFeb 23


An escrow service is an arrangement in which a trusted third party handles the exchange of goods or assets between the transacting parties, ensuring safety and fair trading.

The seller’s cryptocurrency will automatically be transferred from the seller’s wallet to the temporary deposit with exchange P2P’s escrow service once the buyer places an order. Until both parties have successfully completed the transaction, the cryptocurrencies will be kept in the deposit guarantee.

Peer-to-peer escrow is a popular option for cryptocurrency traders and investors who are looking for a safe and secure way to conduct transactions.

Here are five reasons why peer-to-peer escrow is the best option for cryptocurrency traders and investors:


Peer-to-peer escrow offers a high level of security for cryptocurrency traders and investors. The use of smart contracts and multi-signature wallets helps to ensure that the funds are held securely until the terms of the transaction are met.


By using a peer-to-peer escrow service, both parties in the transaction can trust that the other party will fulfill their obligations. This helps to build trust between buyers and sellers and reduces the risk of fraud.

Lower Fees

Peer-to-peer escrow services often charge lower fees than traditional escrow services. This can save traders and investors a significant amount of money in transaction fees.

Faster Transactions

Peer-to-peer escrow services can facilitate faster transactions than traditional escrow services. The use of smart contracts and automated processes can help to speed up the transaction process and reduce the time it takes to complete a transaction.


Peer-to-peer escrow services are often decentralized, which means that there is no central authority or intermediary controlling the transaction. This can help to reduce the risk of censorship and provide greater privacy for users.


Peer-to-peer escrow was developed in response to the demand for a safe and dependable method of conducting business between parties without the use of a middleman or centralized authority. This demand was especially pressing in the cryptocurrency industry, where the lack of a central authority made it challenging to carry out transactions securely.

P2P is anticipated to grow in value over time as technology advances, making it even more helpful for cryptocurrency traders and investors. Peer-to-peer escrow services are probably going to get even more dependable, effective, and secure as blockchain technology and smart contracts advance. This will likely help to further accelerate the adoption of cryptocurrencies.




DeFiX Solutions is an open-source P2P protocol that wants to build a decentralized trading platform that is secured by escrow.