The new wave of peer to peer platforms built onto of the blockchain will be fueled by peer to peer bitcoin marketplaces.
Open Bazaar is only one of the many peer to peer marketplaces that will be built upon the blockchain. Prediction markets like Augur and even more innovative services will follow They are the veritable mansion on the hill, services unconstrained by government oversight and centralized authority. The more that appear and the more merchants and power users will flock to them. The demand be for the currency that powers them will also rise.
Bitcoin will be the life blood of these peer to peer services much as it is currently the life blood of the dark web markets that have taken over after silk road. The demand for bitcoin is at a record high as anyone in the peer to peer scene will attest to. While conventional brokerage and exchange volume is down, peer to peer volume has skyrocketed. While a big chunk of it does indeed come from scams, the market trends are clear, people want bitcoin and they want it from other people, their peers.
Bitcoin and Open Bazaar are both peer to peer technologies. Yet for the vast majority of the population the only way to get bitcoin now is from centralized conventional bitcoin exchanges and brokerages. These centralized exchanges do work at the cost of being very slow, up to five days for first time buyers and with a bit of hassle up front. Why should two essentially peer to peer technologies be constrained by a centralized system?
These systems do work of course but they are the weak link in the eco system. These exchanges run centralized order books that function much like stock exchanges. oYou place a buy, sell offer and when their is a matching offer the trade executes. The brokerages often by through the exchanges and extend better customer service and accessibility to the consumer yet are often just as slow as the exchange in releasing bitcoins as they are hampered by the same conventional methods of collecting payment in fiat currency. Peer to peer exchanges delegate the payment collection to the people and thus can offer a variety of payment methods with different speeds and fulfillment terms.
A peer to peer exchange can get someone in the USA their bitcoin in under an hour and give someone in Thailand a way to buy bitcoins without a bank account. It also allows for the rise of a new class of super trader that can make their living selling bitcoin to the people. Thee super traders could teach banks a thing or two about fraud detection as they have seen every scam in the book. They often take great risky selling bitcoin as bitcoin is irreversible unlike credit, debit and all other SWIFT based financial instruments.
Peer to peer marketplaces like Paxful allow sellers and buyers to define their own custom payment methods in real time. Everything from exotic Gift Cards to Bitcoin Mining Gear to Bank Cash deposit or even trades of stocks. The value is the escrow service that backends the entire process and the instant, irreversible store of value that is the medium of value transfer, namely bitcoin. These marketplaces provide immense value in features that protect buyers and sellers.
The future is bright as we enter a new era in financial history, an era where the common people are creating their own financial networks built on the reputations of a community, a leveraged knowledge abs of fraud detection and the bitcoin blockchain itself. Peer to peer money marketplaces will close the circle in this new economy. Investors that embrace this now will reap the greatest wealth transfer in human history within five years.