Opening Snapshot
Bisq is peer-to-peer software that connects users globally without any central server. Founded in 2014 as Bitsquare, it enables Bitcoin-for-fiat and Bitcoin-for-altcoin trades in a fully decentralized way. There is no login, no central control, and your funds never leave your wallet.
What Makes It Different
Trades are secured via 2-of-2 multisig escrow held in Bitcoin. Users pay a security deposit to start, which is returned when the trade closes successfully. It runs over Tor by default, and profile data stays locally on disk - protecting privacy by design.
Instead of order books, Bisq uses an offer-matching framework. Traders post terms like price, payment method, and deposit, and others can fulfill them manually. There is no AMM or automatic routing - Bisq is built for trade sovereignty and self-custody.
It supports over 50 fiat currencies and 120 altcoins, but every trade must involve Bitcoin. This limits flexibility for altcoin-only trades.
Fees and Protocol Economics
- Maker fee: around 0.0012 BTC; taker fee: 0.0088 BTC (when paid in BTC)
- Paying with BSQ token cuts fees almost in half
- Network and miner fees apply for every transaction
- Security deposit typically 15% of the trade amount
- Fiat payments incur provider fees of 1-3%
Network Usage and Matching Speed
Daily trading volume hovers around 300,000 USD, with about 13 active trading pairs and many fiat options like EUR, USD, and BRL. Major pairs include XMR/BTC and LTC/BTC. Volume is tiny compared to centralized exchanges. Trades can take hours to match, sometimes longer depending on the counterparty. Escrow delays and fee complexity deter casual users.
Security and Community Trust
Bisq is highly secure - no central point to hack, fully open-source, with escrow funds staying under user control. The code is public, DAO decisions are open, but the Java interface feels outdated. Trustpilot scores average 2.7 out of 5. Veteran users value privacy, while newcomers report issues with disputes and unhelpful arbitration. Fraud attempts and slow resolution processes are also noted in community forums.
Pros and Cons
- Strengths: Fully decentralized with no KYC; Non-custodial trades secured by multisig escrow; Supports fiat trades globally; Privacy-focused and censorship-resistant; Governed by DAO.
- Weaknesses: Very low liquidity; Matching is slow; BTC required for all trades; Escrow fees and deposits add friction; Arbitration can be inconsistent.
Who It’s For
Bisq is for privacy-conscious users who value self-custody and decentralized fiat access over speed or convenience. It is ideal for tech-savvy traders or those needing Bitcoin without revealing identity. It is not suitable for users seeking high liquidity or instant trading.
Final Thoughts
Bisq embodies peer-to-peer trading at its core - trustless, private, and decentralized. It does not compete on volume or user experience but offers sovereignty and privacy. For traders prioritizing control, it remains a unique option.