Crypto Academy is indeed a wonderful initiative by the steemit team and all crypto professors are doing amazing work to make the community learn more about crypto and blockchain.
Task- 1 How do you set up an Exchange niche(non-custodial) in Localcryptos? (Complete process & Screenshots needed)
Answer-
I never used this website but after going through the lesson I found it quite easy and sharing steps below-
:- Open web URL- https://localcryptos.com/signup
:- As suggested by the professor, opted for email sign-up.
:- Clicked on Continue button
:- Filled information- user name, email, and password
:- Selected create an account button.
After email confirmation, my account is created and now I am ready to perform on the platform.
Task 2- Indicate your non-custodial wallets (BTC, ETH. LTC, DASH) in Localcryptos? How do you secure the keys? Can you re-import the wallet of Localcryptos in other wallets(of different services) For example, Can you re-import your Locaclcryptos wallet in Trustwallet?
:- Localcryptos supports 4 cryptos as of now including- Bitcoin, Dash, Ethereum, Litecoin.
:- I created wallet for LTC.
Now wallet is ready for LTC and here in this window we get option to get QR, copy wallet addressa and export private key. I have created wallet for LTC and in the way we can create for other 3 coins as well if needed.
How do you secure the keys-
:- There was an option to export the private key after wallet creation. After I click on this then it shows the option to dispklay the key. I have kept the key safey because its very important.
:- Another way is to backup the wallet and keep the file safe. This file will be exposted in the format known as JASON and we can open the file using word format.
I have taken the backup of my wallet and now my wallet is protected.
Can you re-import the wallet of Localcryptos in other wallets ?
We can important localcryptos wallet to another wallet using private key or JASON file. I dont have trust wallet but I use metamask so I am sharing the steps that I followed to important the wallet.
Steps-
1- Open Metamask wallet
2- Select Import Wallet
3- Enter private key
4- import is done and you can see the wallet adress. Now my LTC wallet adress ending with D924 is hwoijng on metamask.
3- How many different fiat options available in Localcryptos?
I have gone through the website and I can see quite a lot payment options. They have 3 types of payment option.
Popular domestic payment methods-
International payment methods-
Local payment methods-
Local payment options are varying in various countries and I have checked for India. Here we have indian payment options like Paytm, UPI and IMPS and all these methods settle the payment instantly.
Task 4- How secure is Localcryptos as a non-custodial P2P Market? How does escrow protection safeguard both buyers and sellers?
How secure is Localcryptos as a non-custodial P2P Market -
:- Localcryptos is very secure platform and its built with more focus on security and fatest transaction processing. Its fully automated with escrow system.
:- Its decentralised p2p platform and this platform does not store any asset of buyer/seller.
:- Escrow is built on smart contract that triggers automatically and no human intervesntion required that makes it more secure.
:- Safe chat option is provided and its fully encrypted so no need to worry about the conversation.
:- Seller's holding kept on escrow unless payment is received by seller and gets released only when its successfully received.
Protection for Buyers-
:- It provides protection to the buyers and they have option to trade with existing offer or they can also create their own
:- Once trade is started and payment is made then asets are put in escrow and seller can get it back. if something goes wrong then it will go on dispute.
:- Dispute is managed by arbitrator with thorough check and fair practise.
:- Chat window is provided with encryption so no need to worry about the security.
Protection for sellers-
:- Seller protection is also considered and once payment is received then onnly assets will be released to buyer.
:- Seller have the control if he wants assets to get released from escrow once payment is received.
:- chating window makes it easier to transact and safely.
Although Localcryptos has ensured that transaction execute easily and does not create any issue but still if dispute happens then it will be handled by the platform to make it fair.
Task 5- Create an offer as Market Maker or Perform a real trade as Market Taker to demonstrate your real experience of non-custodial P2P trade(Crypto-Fiat)? (Hint- Trading DASH or LTC is cost-effective in terms of transaction and escrow fees)? How much fee in total did you incur in the entire process, if any? (Screenshots Needed)
I have created a sell offer for ETH and mentioned all the details. Here we can mention the details as per our convenience and whenever some one wants to trade then I will get the update. I can have chat with the buer and if all goes wel then I will put my assets in escrow and he will make the payment as agreed.
Once payment is made then buyer will mark it as paid and then I will verify it. Once I verify the payment then assets will be released to buyer.
So this proces is not just easy but also secure to keep the transaction safe and hasslefree. I can see my offer under my offer and have hte option to edit or pause and even I can clone it if I want to have the similar offer. I never had the experience of p2p platforms but I did not come across any issue while using it.
Summary
It was wonderful learning to know more about the decentralised p2p platform . Its completely new thing for me as I never even checked out anything likem this before . I used only centralised exchnage to buy or sell crypto but it seems like this is much better than that however there are some pros and cons with everything.
I am very happy that with this weekly session I can enhance my knowledge and thanks to Prof @sapwood for sharing this great lesson.
Thank you so much.
(Images are taken from Localcryptos website for post purpose only)