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Peer-To-Peer Payments

Meaning

Peer-to-Peer (P2P) Payments in crypto involve the direct transfer of digital assets between two individuals without requiring a central intermediary, such as a bank or payment processor. This system leverages blockchain technology to facilitate censorship-resistant and often lower-cost transactions. Its purpose is to enable direct value exchange, promote financial inclusion globally, and reduce reliance on traditional financial institutions. This forms a fundamental component of the broader crypto technology ecosystem and decentralized finance.