How Egyptians Trade Crypto Underground with P2P Methods

Over 11 million Egyptians are trading cryptocurrency - not through banks, not through official exchanges, but in the shadows. They’re using peer-to-peer (P2P) platforms to buy Bitcoin, Ethereum, and dozens of other coins with Egyptian pounds, bypassing banking restrictions that make it nearly impossible to move money legally. This isn’t a fringe activity. It’s the main way ordinary people in Egypt access crypto today.

Why Banks Won’t Touch Crypto

The Central Bank of Egypt (CBE) made it clear in 2020 with Law No. 194: no one can trade, promote, or issue digital currencies without a license. And no licenses have been given to local exchanges. So while it’s not technically illegal to own crypto, any bank that processes a crypto-related payment risks fines or shutdown. That’s why major banks like CIB, National Bank of Egypt, and QNB Al Ahli block transfers linked to Binance, Bybit, or any other crypto platform. If you try to deposit EGP to a crypto exchange through your bank app, it gets rejected. No warning. No explanation. Just frozen.

So people adapted. They stopped asking banks for help and started asking friends, neighbors, and strangers online.

P2P Is the Only Way In

Peer-to-peer trading is the backbone of Egypt’s underground crypto market. Instead of buying crypto from a centralized exchange that takes your money and holds it, you buy directly from another person. You send them EGP via mobile wallet, bank transfer, or even cash. They send you Bitcoin or USDT. No middleman. No bank approval needed.

Bybit P2P is the most popular platform for this. It’s free to use, supports EGP deposits, and has an Arabic interface. Traders on Bybit can find hundreds of offers every hour - some selling Bitcoin for cash in Cairo cafes, others taking mobile money from Alexandria. Binance P2P is close behind, with thousands of active sellers offering USDT for EGP. Even smaller platforms like Rain and Bitget have built Egyptian user bases by offering fast, low-fee trades.

The system works because it’s flexible. If your bank account is blocked, you can use a friend’s account. If you don’t have a debit card, you can pay via Fawry or Vodafone Cash. Some traders even meet in person - one person hands over a stack of EGP notes in a mall parking lot, the other sends crypto instantly. It’s risky, but it’s the only option for millions.

Who’s Buying and Why

It’s not just speculators. Many Egyptians use crypto as a lifeline. Inflation hit 37% in early 2024. The Egyptian pound lost over 50% of its value against the dollar since 2022. People who earn in pounds but need to pay for medicine, software, or university fees abroad are turning to stablecoins like USDT to protect their savings.

Students use crypto to pay for online courses from Coursera or Udemy. Freelancers receive payments from clients in the U.S. or Europe in USDT, then cash out via P2P to cover rent. Small business owners use crypto to import goods from Turkey or China, avoiding the months-long delays and high fees of traditional international transfers.

Bitcoin is still the most traded asset, but USDT dominates because it’s stable. One USDT = one U.S. dollar - no volatility. That’s why over 70% of all P2P trades in Egypt are for USDT, according to data from crypto analytics firm CryptoCompare.

Security Risks in the Gray Zone

Trading without regulation means no safety net. If someone scams you on P2P - takes your EGP and doesn’t send crypto - there’s no customer service line to call. No bank to reverse the transaction. No government agency to file a complaint with. You’re on your own.

That’s why experienced traders follow strict rules:

• Always use escrow - never send money before the crypto is locked in the platform’s holding system.
• Only trade with users who have 50+ completed trades and a 98%+ positive rating.
• Never share personal info like your ID, phone number, or home address.
• Use two-factor authentication on every platform. Even if your account gets hacked, this stops thieves from draining it.
• Withdraw crypto to a personal wallet (like Trust Wallet or MetaMask) as soon as possible. Leaving it on an exchange is like leaving cash in a public park.

Platforms like Bybit and Gate.io offer cold storage and multi-signature security, but users still get hacked. In 2024, a group of scammers in Alexandria ran a fake Bybit P2P ad that tricked over 200 people into sending over $50,000 in EGP. No arrests were made. No refunds given.

The Legal Tightrope

The Egyptian government hasn’t arrested anyone just for owning crypto. But it has cracked down on businesses that facilitate it. In 2023, police raided a Cairo office that claimed to be a “crypto consulting firm.” They found servers, trading logs, and hundreds of client records. The owner was detained for three weeks before being released without charge. The message was clear: don’t make it easy for them to find you.

Even religious leaders are split. Dar al-Ifta, Egypt’s top Islamic authority, once declared Bitcoin haram. But in 2024, they revised their stance, saying crypto isn’t inherently forbidden - if it’s used responsibly and doesn’t involve gambling or fraud, it could be halal. That shift gave millions of religious Egyptians permission to trade without guilt.

What’s Next for Egypt’s Crypto Scene

The government isn’t ignoring crypto. It’s testing blockchain for land registry, digital IDs, and tax collection. The Central Bank is exploring a central bank digital currency (CBDC), possibly launching by 2027. But that doesn’t mean they’ll open the door to private crypto. More likely, they’ll create a tightly controlled digital pound - and keep Bitcoin and Ethereum locked out.

For now, the underground market thrives. Revenue from crypto trading in Egypt is expected to hit $690 million in 2025. That’s more than the entire GDP of some small African nations. And it’s all happening without a single legal exchange.

The future? More people. More platforms. More risk. But also more innovation. Traders are already experimenting with encrypted messaging apps like Signal to coordinate trades. Some use Telegram bots to auto-match buyers and sellers. Others are building local P2P networks that don’t rely on international platforms at all.

One thing is certain: as long as banks refuse to serve them and inflation keeps eating away at their savings, Egyptians will keep trading crypto - quietly, carefully, and without permission.

How to Start Trading Crypto in Egypt (Safely)

If you’re new and want to try it:

1. Download Bybit or Binance from their official websites - never from third-party app stores.
2. Enable two-factor authentication (2FA) using an authenticator app like Google Authenticator.
3. Buy USDT on P2P. Search for sellers with high ratings and low fees. Start with a small amount - say 500 EGP.
4. Wait for the platform to lock the crypto in escrow before sending money.
5. Once you receive USDT, move it to a personal wallet. Don’t leave it on the exchange.
6. Never share your private keys. Ever.

It’s not glamorous. It’s not easy. But for millions in Egypt, it’s the only way to take control of their money in a system that doesn’t work for them.