Paxful is a peer-to-peer finance platform for people to make payments, transactions, and send money by buying and selling Bitcoin as a means of exchange.
The company’s Global Community and Education Lead, Paxful, Renata Rodrigues, said Nigeria must act fast to seize opportunities presented by bitcoin to empower the vulnerable population and deepen financial inclusion. She also said education and quality regulation were critical for the operation of crypto assets. In this exclusive chat with James Emejo, she said the digital payment platform could compensate for payment difficulties in conventional banking systems, enhance diaspora remittances as well as shield people from the impacts of currency devaluation. Among other things, she argued that a growing number of people are using bitcoin as a means of wealth and employment creation, adding that bitcoin could help address social inequality in the country.
Renata Rodrigues said, “Bitcoin helps in different ways, and that is partly why I travel a lot to have an insight on how people take advantage of it. In our case, in the peer-to-peer platform people do it in different ways. Sometimes, people go to another country and they do not have access to banks or they have very expensive means to send money back home and sometimes they have limitations back home. So you have people helping people here. For instance, because we have about 450 methods of payments…Paxful is like Alibaba but instead of you selling a bike, you sell bitcoin. For example, If I want to pay my teachers for my Portuguese classes in Brazil, what I do is that I use bitcoin as a means to settle them and so bitcoin becomes like an Uber of finance; someone in Brazil lends his access to finance to me and I sell bitcoins to them and instead of paying me they pay the teacher for me. The difference here is basically that when I do this; I am making money as well because I can charge the person my margin.
The other use case is people making money and creating business around the platform. For example, we have gift cards we discounted on the platform pretty nice so you can sell your bitcoin. Like in exchange of gift cards that have the face value of $100, you are going to pay $60 for that gift card.”
You also have arbitrage, that is when you buy bitcoin at a small cost and send it to markets that need bitcoin, you sell more expensive and we have a lot of people who do that globally and it is a big opportunity for them.