As regulatory pressures and the rise of third-party custodial services continue to limit the share of peer-to-peer (P2P) cryptocurrency trading, a new contender named Tandem is challenging established platforms. The mobile app allows users to determine the level of privacy they wish to maintain and supports multiple payment methods, including cash.
P2P Trading on the Go
Tandem, a crypto startup, recognizes that long-term success of cryptocurrencies depends on mass adoption. In a blog post on Medium, the team noted that while bitcoin awareness has grown since 2009, "it is still only known, trusted, and accessible to less than 1% of the global population." The platform aims to support decentralized money by combining the best principles of crypto and traditional finance. It recently launched an application that enables users to buy and sell coins on a peer-to-peer basis from their mobile devices.
Unlike leading desktop-based P2P platforms such as Localbitcoins, Paxful, and Hodlhodl, Tandem focuses on mobile. The app, available in beta on the Apple App Store and Google Play, supports traders in over 50 countries at launch, with plans to expand to more than 100 regions. Users can publish ads to buy or sell crypto, with zero advertising fees. Trades are conducted directly between users, with Tandem acting solely as an escrow provider, not a custodian.
In-Person Cash Trades Supported
When two parties agree on a trade, they can complete it entirely online or meet in person to exchange digital coins for paper cash—a feature that has become harder to find on established P2P platforms. Helsinki-based Localbitcoins removed in-person cash trades in summer 2019, driving users to alternatives such as local.Bitcoin.com, which supports local trades of bitcoin cash (BCH) with cash or various online payment methods. Tandem now offers a mobile alternative that fills this gap.
According to a survey conducted by the startup, at least 60% of polled P2P traders wanted to switch to a mobile app, and nearly 70% reported trading digital assets daily. The Tandem app initially supports 28 fiat currencies for buying and selling bitcoin core (BTC), with plans to add more cryptocurrencies soon. CEO Prashanth Swaminathan remarked: "Cryptocurrency is primarily known today as an investment vehicle for the rich. Over time, we at Tandem would like to change this narrative to benefit other sections of society within multiple nations."
Customizable Privacy via Tiered KYC
A distinctive feature of the new P2P platform is the ability to set the level of privacy. Its KYC Level 1 requires only email verification, but comes with a daily transaction limit of 1 BTC, a maker fee of 0.3% and a taker fee of 0.6%. Users who prefer unlimited access and lower fees can switch to Level 2 after passing photo ID verification, enjoying maker fees of 0% and taker fees of 0.2%. The mobile P2P exchange allows trades as low as $10, accommodating both privacy-conscious casual users and serious traders.