( Check this twitter thread : https://twitter.com/P2PX_finance/status/1724788963138002959 )

At P2PX, addressing the critical issue of bank account freezing is a top priority for us. We understand the concerns surrounding fraudulent funds and the risks they pose to users' bank accounts. To tackle this, we've implemented a robust on-chain reputation system. This system ensures that all participants in our network are highly vetted and trustworthy, drastically reducing the chances of fraudulent transactions that could trigger bank freezes.

By limiting transactions within a community of verified and trusted individuals, we significantly minimize the risk of suspicious activities that often lead to account freezing. Through these measures, we aim to provide a safe and reliable platform for P2P transactions, ensuring that our users' bank accounts remain secure and unfrozen.

It's highly unlikely for your bank account to be freezed by cyber-cell from using P2PX. After extensive research into account freeze scams, we've determined that 90% of these scams occur due to the following reasons:

Impersonation Fraud: Scammers deceive peer-to-peer (P2P) sellers by creating fake accounts and placing orders to buy cryptocurrency. Once they obtain a seller's bank details, they already have another unsuspecting victim lined up, ready to transfer money. The scammer convinces this victim to send money to the cryptocurrency seller's bank account. Believing they've received legitimate funds, the seller then transfers cryptocurrency to the scammer. Eventually, the victim realizes they've been duped and reports the incident to cybercrime authorities. As a result, the authorities freeze the seller's bank account and issue them a notice, even though the seller was not at fault.

How is P2PX Addressing Impersonation Fraud?

On P2PX, it's only possible to buy $50 per transaction, and we limit users to a maximum of three transactions per day. This limitation makes it operationally difficult for fraudsters to deceive victims into making multiple transactions. As a result, fraudsters tend to gravitate towards other platforms, like Binance P2P, where no such limits exist.

Chargeback Fraud: After a crypto buyer receives their cryptocurrency, having sent INR to the seller's bank account, they might falsely report the seller to the cybercell, claiming they were deceived into sending money. This prompts the cybercell to freeze the seller's bank account.

How does P2PX Mitigate Chargeback Fraud?

On P2PX, all merchants buying cryptocurrency by receiving INR into their account undergo face-to-face verification. Their KYCs and bank accounts are verified, and they're incentivised to maintain trustworthiness. If they commit any fraud, they permanently lose their "merchant status" on the network. This effectively eliminates the possibility of chargeback fraud.