Hodl Hodl Review 2024

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HODL HODL is a P2P Bitcoin exchange enabling anonymous users to buy, sell and trade the token directly without relying on intermediaries or verification. This review will uncover how HODL HODL works, alongside its fee structure, payment methods, and regulation status. Our experts also explain whether it is safe to trade Bitcoin on the exchange.

Our Take

• HODL HODL offers low fees and transactions through a non-custodial escrow service
• The exchange offers a good range of fiat currencies, including GBP, and UK-friendly payment methods
• The platform is limited to Fiat-to-Bitcoin transactions, so traders have no opportunity to diversify portfolios with other popular cryptocurrencies
• The lack of additional products and services such as crypto mining, staking or NFTs is a major drawback compared to alternatives like OKX and Kraken
• Crypto exchanges come with inherent safety concerns vs more established crypto brokers

How Does HODL HODL Work?

Unlike traditional crypto exchanges, HODL HODL is a peer-to-peer trading and lending platform for Bitcoin only. It connects buyers and sellers directly, allowing them to trade the token anonymously, without relying on a centralised exchange or intermediary.

Typical exchanges, on the other hand, tend to offer a proprietary crypto wallet solution and other tokens via derivatives, staking or mining. Some exchanges like OKX also offer other products such as NFTs and trading competitions.

In addition, the fee structure is slightly different when compared to other exchanges. Instead of differing maker and taker fees, HODL HODL charges an equal 0.3% for each party in the transaction.

This makes the exchange attractive for those looking for a straightforward and affordable Bitcoin exchange process without tedious verification protocols.

How To Use HODL HODL

When testing the platform, I found the BTC trading process simple:

1. Go to the HODL HODL website and create an account using the ‘Sign Up’ button
2. Search for available Bitcoin trades on the HODL HODL platform that match your desired price, payment method, and location. You can also create an offer using the button on the top right side of the window. Here you can customise your own offer and contract.
3. When you have chosen or created a suitable offer, enter how much BTC you would like to trade. Make sure to read the terms and conditions of the trade carefully.
4. Once you have entered your terms of the trade, you will be engaging in the contract. HODL HODL provides a contract template that outlines the terms and conditions, including the amount of Bitcoin, the price, and any specific instructions.
5. Follow the agreed-upon payment method and send the payment to the seller, as per the contract terms. HODL HODL uses a multi-signature escrow system to hold the Bitcoin securely until the trade is completed.
6. The seller will confirm the receipt of your payment. Once the payment is verified, HODL HODL releases the Bitcoin from the escrow to your HODL HODL wallet.

Limit Levels

Our experts found that each account with HODL HODL has a limit level. This determines the number of simultaneous active offers, the number of contracts a person can have, and the maximum number of Bitcoins that can be traded in each contract. There are 3 limit levels, though you can contact customer services if you wish to go beyond Level 3.

• To go from level 1 to 2, users must complete more than 10 separate transactions AND complete transactions with 5 different users.
• To go from level 2 to 3, users must complete more than 50 separate transactions AND reach 0.5 BTC in total traded volume.

Crypto Tokens

HODL HODL only supports the buying and selling of Bitcoin, using 100+ fiat currencies, including GBP, USD, EUR, AUD, CAD and CNY.

We were disappointed that there are no other assets or cryptocurrencies available. Instead, the broker only provides non-custodial BTC trading solutions without operating any of their own wallets.

Fees

Instead of typical maker and taker fees, traders pay a transaction fee each time they buy or sell Bitcoin at HODL HODL.

• For newly registered users, the full transaction fee is 0.6% of the transaction amount, split equally between each party (maximum 0.3% per trade).
• If you refer someone to the HODL HODL platform or if you have been referred by someone, the fee is 0.55% (0.275% per party).

We like the transparency of the fee structure, which encourages growth by referrals. I was also reassured that the firm does not charge deposit or withdrawal fees.

Overall, if you take into account the zero deposit fees, HODL HODL is a good value exchange when compared to some of the bigger brands like Coinbase.

Security

Since HODL HODL requires you to enter a contract directly with another trader, it is your responsibility to conduct due diligence. Whilst we were initially hesitant of this concept, we were somewhat reassured with the various security procedures in place.

• Escrow: HODL HODL uses an escrow system to hold Bitcoin during a trade. This ensures that both the buyer and seller fulfil their obligations before the funds are released.
• Reviews: HODL HODL allows customers to leave reviews on their trading experience with other users once their transaction has been verified. By checking a user’s trading history and feedback from others, you can avoid those with sketchy ratings. Users can also connect their LocalBitcoins, Paxful, Localmonero, and Agoradesk accounts if they have more of a reputation on these P2P trading platforms.
• Two-Factor Authentication (2FA): HODL HODL supports 2FA, adding an extra layer of security to user accounts. You must have a device with a 2FA app downloaded, such as Google Authenticator, where you will get a unique 6-digit code to enter upon each login attempt.
• Passwords: You will have an account password to log in to your HODL HODL account, but also a unique payment password which you will need to use each time you make payment.
• Blocking Users: HODL HODL provides the ability to block other accounts for safety purposes. Anyone you block won’t be notified that they are blocked and they won’t be able to interact with any of your contracts or trades.

Funding Methods

I was pleased to find more than 100 supported payment methods at HODL HODL, 39 of which are available to UK users.

This includes e-wallets and online payment methods (such as Skrill, PayPal, and Xoom), cryptocurrencies (like Tether, Bitcoin, and Litecoin), and bank wire (SEPA, Transferwise and more).

Interestingly, you are also able to pay in person in cash. The user will add a description which includes how to contact them and their preferred meeting location, for example, a public place. We recommend only doing this with reputable users with a high rating.

The minimum trade amount is 0.00025 BTC (approximately £6 at the time of writing) which is reasonable.

HODL HODL Lending Service

If you are interested in borrowing or lending, HODL HODL also acts as a P2P borrowing platform.

This is a platform where people can borrow and lend different cryptocurrencies using Bitcoin as collateral. Lending rates vary from 1% to 1.5% of the loan amount depending on the contract period (from 1 month to 12 months).

Available cryptos to lend include L-BTC Liquid, DAI, USDP (PAX), USDT Omni, USDC TRON (TRC-20), USDC Ethereum (ERC-20), USDT Tron, USDT Eth, USDT Liquid, and WBTC.

Note that interest rates are set by the trader who creates the offer and is applied for the whole term of the loan. This service does not affect your credit score, since HODL HODL does not perform any KYC or credit checks.

Demo Account

We were pleased to see that you can practise using the platform using the TESTNET version of HODL HODL which is available right at the bottom of the homepage.

Once you press ‘TESTNET’, you will be taken to an identical-looking front page, with the URL: htestnet. Here, you can create an account, verify it via the link in your email, and create demo buy and sell contracts without getting involved in real trades.

Is HODL HODL Regulated?

As expected from most crypto exchanges, HODL HODL is not regulated.

The regulator in the UK is the Financial Conduct Authority (FCA), which requires financial companies to engage in anti-money laundering and counter-terrorism legislation. It is worth noting that it takes a dim view of crypto exchanges.

HODL HODL values the anonymity aspect of the decentralisation meaning it has chosen to forgo these rules. And despite the firm’s various security protocols, cryptocurrency exchanges are notoriously risky.

Bonus Deals

When we used HODL HODL, we were not offered any bonuses or promotions.

However, users can provide friends and family with a referral code which can reward both parties with lower transaction fees. This code is requested when you are signing up for an account.

Customer Service

HODL HODL customer support is mainly available via email, which we were disappointed with. It would be nice to see some more direct support options such as a telephone or live chat.

• support@hodlhodl.com
• dispute@hodlhodl.com

Nonetheless, we were pleased to see that HODL HODL is available on several social media platforms including Twitter, Reddit, Facebook, Medium, YouTube, and Nostr.

There is also a very detailed FAQ section which we found thorough and provided answers to all our initial queries.

If your preferred language is Russian or Spanish, you can also contact support and follow community news via Telegram.

Company Details & History

There is limited information available online about HODL HODL, which is disappointing. Our experts consider this a major red flag and raises legitimacy concerns.

The firm was initially founded in 2016 and has since expanded from the UK to users across the world including the US, Venezuela, and Argentina.

Should You Invest In Crypto With HODL HODL?

Although limited compared to its competitors, HODL HODL does offer a solid platform for those only looking to buy and sell Bitcoin with straightforward, transparent fees. The secure escrow services are also reassuring, though traders should be careful when choosing traders to open contracts with.

On the negative side, the lack of additional products on offer is not appealing against alternatives, such as OKX and Kraken. The lack of regulatory oversight and wider safety concerns in the crypto industry are also worth taking into account. As such, we recommend traders consider reputable crypto brokers.

FAQ

Article Sources

HODL HODL Website

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