5 Common P2P Scams in Pakistan and How to Avoid Them

Peer to Peer (P2P) crypto trading has quickly become one of the most popular methods for buying and selling digital assets in Pakistan. Platforms like Binance P2P and other global exchanges allow traders to connect directly avoiding traditional bank-to-exchange transfers. This accessibility has fueled the growth of crypto adoption in Pakistan especially among younger traders who seek fast flexible, and low cost transactions.

However with opportunity comes risk. The anonymous nature of P2P trading makes it a breeding ground for scammers. Thousands of new traders fall victim to fraud each year simply because they don’t know the red flags to watch out for.

At pakrepublic.com we have researched the most common P2P scams happening in Pakistan. This guide not only highlights the top 5 scams but also provides practical strategies to protect yourself and your hard earned crypto.

Let’s dive deep into the world of P2P crypto trading and uncover the scams you must avoid.

1. Fake Payment Receipts 📸

How the scam works

This is one of the oldest and most widespread tricks in P2P trading. The scammer uploads a photoshopped bank transfer receipt or a fake screenshot to prove that payment has been made. Many new traders eager to close deals quickly release crypto without verifying the actual transfer in their bank account.

In reality no money ever arrived and once you release your crypto it’s gone forever.

Why traders fall for it

• Pressure tactics Scammers often rush you insisting they have already paid.

• Inexperience New traders don’t double check their account balance.

• Trusting screenshots Many believe receipts are proof of payment.

How to avoid it

• Always check your own account balance before releasing crypto.

• Never trust a screenshot they can be forged in minutes.

• Release crypto only after full confirmation of funds.

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2. Third Party Bank Transfers 

How the scam works

In this case scammers send payment from a bank account that does not belong to them usually a stolen or borrowed account. At first you may think you have been paid successfully. But later the real account owner notices the unauthorized transaction and files a fraud report. The bank then reverses the payment leaving you with no money and no crypto that is called Bank dispute.

Risks involved

• Banks may freeze your account for receiving suspicious transfers.

• You might face legal consequences even though you are the victim.

• Scammers vanish once crypto is released making recovery impossible.

How to avoid it

• Match names carefully The buyer’s name on the platform must be identical to the bank account name.

• Reject third party payments immediately.

• Report suspicious activity to the P2P platform.

3. The Overpayment Trap 

How the scam works

This scam begins when the buyer accidentally sends you more money than agreed. They then request that you refund the extra amount. Many sellers thinking it’s a genuine mistake send the extra funds back. Later the bank reverses the original payment (for being fraudulent) and you end up losing both your crypto and the refund.

Example scenario

You sell $100 worth of USDT. The scammer sends 100000 PKR and asks for a 70000 PKR refund. You send it back. A week later the 100000 PKR gets reversed, leaving you at a total loss of 100000 + USDT.

How to avoid it

• Never refund overpayments in P2P trades.

• Cancel the trade and notify the platform instead.

• Only deal with verified traders with a solid history and reputation.

4. Chargeback Scams

How the scam works

Some scammers use reversible payment methods such as certain mobile wallets or online banking apps. After sending you money and receiving crypto they contact their bank or wallet provider to file a chargeback or dispute. The payment is reversed and you lose both the crypto and the fiat money.

Why this is dangerous

• Crypto transfers are irreversible but fiat payments often are not.

• Disputes can take weeks freezing your account and delaying other trades.

• Some scammers exploit loopholes in mobile wallets widely used in Pakistan.

How to avoid it

• Trade only on platforms with escrow protection like Binance P2P.

• Avoid off-platform deals no matter how tempting they seem.

• Stick to reliable payment methods (bank transfer Easypaisa JazzCash with strong KYC).

5. Fake Identity & Impersonation

How the scam works

Social media scams are on the rise in Pakistan. Scammers create fake profiles on Facebook WhatsApp or Telegram impersonating trusted traders. They lure you with attractive rates promising fast trades outside of official P2P platforms. Once you transfer crypto or fiat they disappear blocking you instantly.

Signs of impersonation scams

• New social media accounts with no real trading history.

• Too good to be true prices compared to market rates.

• Pressure to deal off platform for “lower fees.”

How to avoid it

• Always verify trader profiles on official P2P exchanges.

• Never finalize deals on social media or messaging apps.

• If something feels suspicious walk away.

Final Safety Tips

Staying safe in P2P trading requires awareness patience and discipline Here are quick takeaways every Pakistani trader should remember.

• Always double check names payments and receipts.
• Never release crypto until funds are 100% in your account.
• Avoid off platform trades they carry zero protection.
• Trade with verified high rating users only.
• When in doubt cancel the deal and protect your crypto.

Also Read

How to Protect Your Online Banking from Fraud in Pakistan

FAQs

Q1. Is P2P trading safe in Pakistan?
Yes, P2P trading can be safe if you use trusted platforms like Binance P2P follow escrow rules and avoid off platform trades.

Q2. What’s the biggest risk in P2P trading?
The biggest risk is releasing crypto without confirming payment scammers exploit impatience.

Q3. Can banks block my account if I trade crypto?
Yes, in some cases. Always ensure that transactions are clean and from verified sources to avoid flags.

Q4. How do I know if a P2P buyer is legit?
Check their reputation reviews and completion rate on the platform. Avoid traders with poor histories.

Q5. What should I do if I get scammed?
Report the case immediately to the P2P platform and your bank. File a cybercrime complaint with FIA in Pakistan if needed.

Conclusion

P2P crypto trading offers freedom and flexibility but it also attracts fraudsters looking to exploit new traders. The most common scams from fake receipts to chargebacks can wipe out your funds in minutes if you are not careful.

By following the safety strategies outlined in this article you can avoid becoming a victim. Always trade inside trusted platforms verify every payment and stay updated with resources from pakrepublic.com.

Remember if something feels off it’s better to cancel the trade than risk losing your crypto. Stay alert, trade smart and protect your financial future.