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Bisq Review: Things You Missed Out On The Cryptocurrency Exchange

Bisq is not your traditional brokerage account if you might think so. It is instead a decentralised exchange that bears its own kind of advantages and disadvantages. The platform is more secure as compared to most of the other similar crypto trading platforms, and at the same time, trading on this platform is somewhat challenging. Here is a complete Bisq review that aims to help you decide whether or not to go for it.

Bisq crypto exchange is a better-known decentralised exchange, as already stated above. However, before we proceed to know all the aspects of the trading platform, it becomes crucial for the readers to see the difference between decentralised and centralised exchanges. The decentralised exchanges make use of the peer-to-peer or P2P networks for facilitating trade. It is just similar to Craigslist, which connects the buyers with the sellers. Suppose you have been using cryptocurrencies to diversify your stock portfolio. In that case, you must be aware of the modus operandi of brokerage acting as a bridge between you and your trades. As opposed to this concept is the decentralised exchange that directly connects you to your trades. This being said, there remain no middlemen.

Advantages of Bisq Crypto Exchange

The Bisq crypto exchange has a lot of advantages to offer to its users. This could be the sole reason to draw maximum people into their business. This segment is all about the benefits or pros of the Bisq digital currency exchange and has contributed to forming the Bisq review correctly. Below are the pros of the Bisq crypto exchange:

Decentralised Exchange

Bisq digital currency exchange is a decentralised platform that eradicates the concept of a middleman between the users and their trades. There is no central governing body. This might seem to be an advantage or a disadvantage depending on your outlook. The people who are fond of this platform and readily use it are attracted to the ideology of decentralised governance. This is, however, key to cryptocurrency in general. The benefits of being a decentralised  exchange are:

  • Increased anonymity and privacy
  • Open to the unbanked users
  • Levies lower fees
  • Users have control over their digital coins and assets.

The trading platform has a slight similarity to the Credit Union on the point that the platform is owned and run by its contributors and traders. The founding principles of the crypto exchange lie in user security, user privacy, user anonymity and censorship resistance. The idea of censorship forms the core part of decentralisation.

Several Payment Methods

While you are purchasing cryptocurrency, you need to take into consideration a couple of things. This includes how quickly you want to buy them, what type of currency (fiat or crypto) you are using, and the most important thing is how much of your personal information you want to disclose.

The Bisq crypto trading platform permits you to purchase cryptocurrencies using USD or US dollars in various ways. You can either make a cash deposit for the same if your bank lets you do that. This generally consumes up to four days. Apart from this, you can also use the Zelle payment mode or an electronic transfer mode. Either of the methods can consume up to three days. Take a note in this regard that you cannot use a credit card to pay for a cryptocurrency. Additionally, you would require some crypto coins, especially Bitcoin, to use as a security deposit.

No Geo-Restrictions & Instant Approval

As opposed to the centralised crypto exchanges, Bisq never asks for any of your private information. As a result, you do not have to wait for the platform to validate your photo identity, and you would not find any glitches when you attempt to fund your account. All you have to do is pay the seller directly, assuring that the money does not get stuck in the process. In this regard, it is necessary to state that there are restrictions on the trading amount that you may want to carry out in the first two months in order to minimise fraud.

Bisq’s system offers another benefit for its users: all users can trade from any location. Most of the similar exchanges often limit trading to certain countries or U.S. states. However, anyone having a stable internet connection and a computer can trade with Bisq.

Control

A centralised exchange reserves all rights to freeze your funds for a couple of reasons, and you have no control to stop it. It is somewhat like depositing money to your bank account where the bank or exchange has your cash. On the contrary, you will never require to deposit funds into a decentralised exchange such as Bisq.

You hold the keys and make sure you do not lose them at any cost. If you forget your passwords and lose the seed, you will permanently lose your wallet. That said, it is your duty to back up your data regularly.

Security

Similar to all the best cryptocurrency exchanges, Bisq is seriously dedicated to security. As a result, it bears a massive advantage over the other centralised exchanges. All your personal and baking details are stored on your computer. Thus, it does not go into a central point that is prone to get hacked.

Disadvantages of Bisq Crypto Exchange

Some of the advantages that the Bisq platform offers can be looked down upon as disadvantages. This is based on your viewpoint. Here are a couple of disadvantages or cons of the Bisq crypto trading platform.

Decentralisation Might Hurt

There is a reason that the majority of the cryptocurrency transaction passes via the centralised exchanges. These bodies make it easier to trade in either the options – crypto and fiat currencies. The massive centralised exchanges are usually more liquid, making it easier to buy or sell the coin you wish. They are often faster and offer better customer support.

As the countries introduce cryptocurrency regulation, the decentralised can keep those rules aside. But, unfortunately, simultaneously, they also sideline the protection that the law has to offer. This makes you less able to tell if you are receiving laundered currency or cash through criminal activities.

A Little Critical

Bisq might not be for you if you are expecting something straightforward. Similarly, if you are all new to trading and would like to receive education on this, you will have to look elsewhere. Bisq is an open-source application for desktops that you need to install and maintain. Often the users complain about the bugs in the user interface and time lags. However, they also mention that the platform improves with each update.

Bisq is not an “on the go” trading platform. It has no app for mobiles. Thus, your computer needs to be online to grab an active offer. The platform does not match the orders automatically. Not similar to most of the brokers or centralised exchanges, you will manually have to search for the trades that you are interested in. lastly, you cannot stake the cryptocurrencies for earning interest as you do on the other exchanges.

Potential For Fraud

The Bisq platform will better protect you against identity thefts and hacking but fails to keep you from potential fraud. CipherTrace, a crypto crime expert firm, highlighted a rise in the DeFi hacks and scams in the past year. The concern was that since the users do not need to prove their identity, the criminals are more likely to exploit the system.

Bisq’s support page however mentions that the traders of the platform have not experienced such issues with money laundering. It points towards the in-built mechanisms like the account age protection that is meant to deter fraud activities. The trading platform limits the trading amount that you are allowed to do in the initial two months based on the fact that a stolen account is likely to be discovered in that period.

How To Use The Bisq Crypto Trading Exchange

As already stated earlier, Bisq is entirely a desktop application and has no mobile application for the easy on the go experience. You will need to download a different mobile application for monitoring the trade notifications. This would not help in the trade on the go. Additionally, your computer needs to be online for your offer to go live.

It needs to be noted that Bisq is just a piece of software and not any company. Unlike the centralised exchanges, you will not be required to deposit any funds. But, you will have to use a wallet for all your transactions. Furthermore, you do not have to provide any personal information. The centralised exchanges might want to have your proof of residence or photo ID and force you to wait for the approval. As opposed to this, the Bisq lets you start trading in less than just 10 minutes.

Here is the complete process on how to use Bisq for trading cryptocurrency:

  • Download The App –  As you download the application to your desktop, it sets up a peer-to-peer network allowing the users to exchange cryptocurrencies directly.
  • Set Up Security – Your Bisq account can be used by you only. There is no “forgot password” recovery method in this platform. You will have to encrypt your wallet and then set up your backup location. The platform will provide you with seed words that are unique to every user. On a piece of paper, just write it down or store it anywhere safely along with the date. This is the only thing that would help you in restoring your system if anything goes wrong.
  • Set Up Payment Method – You will not require to fund your account, but you will have to set up a payment mode with which you will pay.
  • Conduct A Trade – You can conduct trade in either of the two ways. You can make an offer and wait for the other party to accept it, or you can accept an existing offer that another trader might have placed. Both parties are required to deposit a small amount in case anything falls out of place. The trading platform requires you to use Bitcoin (BTC). Head to the help page where it is mentioned how you can get some.
  • Transfer Money – All the steps are tracked and supported on the Bisq trading platform. When the seller receives payment from you, they usually transfer the coins. Both the parties then receive their security deposits.

Since everything happens anonymously, the idea of transferring your coins to a stranger might be scary, and you have reasons to be cautious. However, there are protections like the deposits and the dispute resolution process of Bisq. Adding to the money from the sellers and buyers, the system levies an additional arbitrator deposit. There are not many consumer complaints that suggest that the platform works.

Fees Levied On The Platform

When you trade on the Bisq platform, you will have to go through four fee structures:

  • Mining Fee
  • Trading Fee
  • Security Deposit (Reimbursed)
  • Your bank transfer charges (if applicable).

You are eligible to pay the fees in Bitcoin (BTC) or BSQ, the native coin of Bisq. If you choose to pay with BSQ, you will receive approximately a 50% discount. However, it is to be noted that since the price of these digital currencies fluctuates quite often, the fees will periodically change.

Trading Fees Per 1 BTC

Fees

BTC

BSQ

Maker

0.001

8.66

Taker

0.007

60.59

Mining Fees Per 1 BTC

Mining fees also fluctuate per transaction.

Fees

BSQ

FEE AS % OF 1 BTC TRADE SIZE

Maker fee

8.74

0.05%

Taker fee

61.21

0.35%

Selection Of Cryptocurrencies

Bisq does not provide a specific setlist of the crypto coins that you can trade on their platform. It solely depends on what cryptocurrencies people have put on the market. However, you can mark the words that you will be able to find the significant and reputed cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH). Additionally, you can also trade the fiat currencies that you want to trade, such as the U.S dollars, to any fiat currency, say, Hungarian forints.

The recent trades in the platform include:

  • Bitcoin (BTC)
  • BSQ (BSQ)
  • Monero (XMR)
  • Ethereum (ETH)
  • Dash (DASH)
  • Litecoin (LTC)
  • Zcash (ZEC)
  • Galilel (GALI)

Conclusion

Analysing the complete Bisq crypto trading platform, it can be said that the platform could prove ideal for you if you wish to join the Bisq community. Here you will be able to find several like-minded people and be able to take part in the decentralised exchange. If you are looking for any cryptocurrency exchange that preserves your identity and you do not have to share your personal details, Bisq is the one crypto platform for you. Bisq can also be your choice if you are an experienced investor who is mainly concerned about the security of the centralised exchanges.

Stephanie Walker

Stephanie Walker has been a great journalist and continues to do so. Her knowledge of journalism helps her passion grow and survive in the field of the Dark Web. She has been continuously making efforts in scouring the darknet and deep web to find out gems for the users. Her dedication towards offering proper yet knowledgeable information is rightly reflected in her reviews.

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