Many digital currency enthusiasts around the world are very excited about the new peer-to-peer trading platform Coinffeine, which is currently in private beta testing. Rather than using the traditional approach by the major exchanges, Conffeine is trying something entirely different and aims to improve the model set by LocalBitcoins.
Coinffeine To Solve Lack Of P2P Trading Options?
In the world of Bitcoin and digital currency, there are two types of exchanges: traditional exchanges such as Kraken or Bitstamp, which hold your funds until you execute a buy or sell order. On the other hand, there are peer-to-peer exchanges like LocalBitcoins, who never touch user funds and match buyers and sellers, rather than buy orders and sell orders.
Unfortunately for Bitcoin enthusiasts, there is only one major peer-to-peer trading platform available, and that is LocalBitcoins. And even that platform has faced some adversity, as they had to shut down operations in Germany a few months ago. However, the idea of trading and exchanging Bitcoin peer-to-peer is still valued among the core community.
It should come as no surprise then that there is an increasing demand for more peer-to-peer Bitcoin trading platforms. Not because people don’t like to use LocalBitcoins, as its reputation system is very nifty and helpful. But more competition and options on a global scale in this area would be great, in the order of decentralizing not just the financial side of Bitcoin, but also the services we use.
Whereas, LocalBitcoins is a great platform for most Western countries, the rest of the world is left in the cold. Coinffeine is looking to solve that problem, by offering their services to markets with the greatest potential. In the end, Coinffeine will serve as a global exchange that takes advantage of the peer-to-peer model.
Review By A Private Beta Tester
At the time of publication, Coinffeine was still in private beta, with only a handful of users able to use the system. However, these users can trade Bitcoins and live money through the peer-to-peer platform, rather than running simulations. Jorge Ordovás is one of those users, and he gave us his thoughts on the Coinffeine platform and experience so far.
“The evolution of Coinffeine has been spectacular in many ways. The performance has improved considerably, as well as ease for installation and configuration, and many aspects of overall performance has been further refined. But where it really has been a before and after is in the complete redesign of the user interface, changing from an environment very oriented to the technical level of the solution to a much more attractive, intuitive and simple application aimed at the end user, which also includes custom functions for users of exchanges (as orders at market price)“
Which brings us to one of the major hurdles novice users encounter when buying Bitcoins for the first time. Most platforms force you to have some technical knowledge of how the system works, rather than offering an intuitive user interface. Bitcoin was designed to give back financial control to the user, and with Coinffeine’s new interface, the user feels in control of their money.
Source: Coinffeine Blog
Images courtesy of Coinffeine and Shutterstock