The exchange doesn’t interfere in the price formation process and allows clients to negotiate directly. Clients are provided with escrow services that guarantee the safety of their funds. The administration of the exchange decided to separate reliable P2P-traders into a separate category, assigning them the merchant status. Binance exchange is one of the largest trading platforms. It ranks first in Coinmarketcap in terms of trading volume.
All accounts are subject to identity verification, and the exchange team is constantly working to improve the quality of services. In this review we will tell you how to get a merchant status on Binance and what benefits this status gives to p2p-traders.
A merchant on Binance is a solid trader who plays a key role in providing liquidity in the p2p section of the exchange. Not everyone can acquire such a status.
Merchants have a number of benefits in terms of access to trading tools and pay lower commissions. Their ads are marked with a special yellow icon, and regular users can select them in a separate list. To get into this category, you need to apply and fulfill the conditions.
Requirements for traders
To become a merchant, you need to have some experience in p2p trading. If you have recently registered on the Binance exchange, and have made only two or three successful trades, you won’t make a merchant. Work in the regular status for six months and make at least 200 successful trades in the last month. The minimum trading turnover during this period must be equivalent to 4 BTC.
A merchant candidate must have only positive feedback from his counterparties and keep a certain amount of BUSD on his spot wallet balance. Furthermore, SMS confirmation must be enabled, and extended verification is required.
If you have experience of direct trading on other platforms, the Binance administration will take it into account.
How to apply
Application for Binance merchant is available in the section “P2P User Center“. To get to this page, you need to log in to your account on the Binance exchange, go to the P2P platform and open the desired section by clicking on the appropriate line in the upper right corner.
The yellow “Become a Merchant” button is clearly visible and cannot be confused with anything else. Every verified user can open the application form to earn extra money as a merchant on Binance.
As we said before, he/she must have sms authentication and BUSD wallet activated. If these three requirements are met, each of the items will be marked with a green check mark. Click “Apply” and fill out the application form. It will be reviewed within 10 days and you will receive an email notification.
Benefits of P2P-merchants
Let’s list all the benefits of being a merchant on Binance, so you can appreciate all the advantages of traders with this status.
Advanced ad management
Proven Binance merchant can use trading tools not available to regular exchange clients, for a user with such status a separate portal for p2p-orders management is created. In addition, merchants pay a lower commission fee when placing orders (0% – 0.35% of the transaction amount.
Having a yellow icon next to the nickname increases user trust. Many clients turn on the filter “Only show merchant ads” to insure against all sorts of surprises. Of course, it is very difficult to steal money on such a solid p2p-platform like Binance, but if you contact an irresponsible and impolite counterparty, you will lose a lot of time and effort. Of course, this is not always the case. Working with an ordinary user, it is also possible to conduct a fast and successful transaction, but sometimes it is affected by the lack of experience and poor knowledge of the peculiarities of peer-to-peer trading.
Binance P2P support has a separate channel for merchants. Experienced users contact support only if the situation really requires prompt intervention, so their requests are considered first.
Special promotion actions
Merchants can participate in special promotions, receiving additional discounts for paying commissions. They are invited to special online events organized by the Binance P2P community.
Rules for merchants
In order to maintain the status of a merchant, you must strictly comply with a number of conditions.
- Be honest, courteous, and fair.
- Scrupulously check all ads before publication. Errors in stating the cost, volume, payment method and other details of the ad are unacceptable.
- Pay promptly, transfer digital tokens, and respond to messages.
- Must not offer payment methods that aren’t supported by Binance p2p, arbitrarily cancel orders or appeal without first contacting the counterparty.
- Must not use the name of the exchange or other financial institutions in your nickname, or any confidential words.
Rules of trading
- Accept payments only to his/her own bank requisites or e-wallet accounts. The use of bank cards and wallets of third-parties is not allowed.
- If the counterparty provides a third-party bank account as a payment method, the merchant needs to cancel the transaction and return the money, and it is recommended to report this precedent to the Binance p2p chat.
- When in doubt, the merchant may request additional documents from the counterparty for verification. The client is not obliged to provide them, but in case of refusal the merchant should cancel the order and return the funds.
It is prohibited to participate in transactions related to money laundering and other related to illegal trafficking of funds. In the event of any problems resulting in the blocking of bank accounts of transaction participants, the merchant must actively cooperate with Binance staff and local police.
If a merchant knowingly or negligently deposits illegally obtained crypto or fiat funds into an exchange and causes financial damage and legal risks to Binance, the merchant will be disqualified and his/her account will be permanently removed from the platform. The insurance premium paid on becoming a merchant will be forfeited.
A merchant can be disqualified if he/she:
- Allowed leakage of data on the counterparty.
- Offered to conduct an off-exchange transaction.
- Spread information detrimental to Binance.
- Used his/her status to compete unfairly.
- Received a lot of negative feedback.
For more information on the rights and obligations of Binance merchants, visit https://www.binance.com/en/support/faq/360043895111.
Merchant status on Binance has many advantages, and it cannot be acquired easily. However, if you are a trader and peer-to-peer trading is your thing, you will definitely get it.