Paxful - why people buy Bitcoin for 18.400 USD? Fraud?

[Comanch]

Hi, I would like to know, why some people on Paxful.com purchase Bitcoin much expensive than its real value is. I mean this: https://paxful.com/cs/sell-bitcoin/with-any-payment-method/USD?group=bank-transfers

Thank you for your reply.

[mocacinno]

The offers that are overpaying the most state that the payment can be done by "any nigerian bank". Smells really fishy to me.
If something looks like it's to good to be true, it allmost always is.

I'd advise you to stay away.

[BlackHatCoiner]

I think they do this because they accept a way of payment which most of the sellers don't. Like paypal with friends & family. I would increase my bitcoins' price if I had to deal with this kind of payment. It's a little risky to exchange with a person that has paypal without bank account connected.

[Jawhead999]

People aren't that stupid for overpaying, that's must be a trick there!

Don't trade with those people that are using paypal because it's easily to reversible, unless you trade with trustworthy person (but as I said you still have the risk involved). Even those account have good trust (in paxful) it doesn't mean they're trusted, they can abuse the trust feedback by trading with his other account.

[Bitcoin_Arena]

I have never used paxful but I thought it's an escrow P2p service like Localbitcoins?
In other words if you are selling Bitcoins, You don't authorized the Bitcoin transaction unless you have received full fiat payment in your account. So how else will they be able to scam you if they service you are using to receive you payment is non-reversible?

Otherwise Key your eyes wide Open, there could be something more to the ridiculously generous prices.

[malevolent]

Stolen bank account/fraud (Paxful accounts get traded over on bitcoitalk, too), capital controls evasion, money laundering, etc.

In other words if you are selling Bitcoins, You don't authorized the Bitcoin transaction unless you have received full fiat payment in your account. So how else will they be able to scam you if they service you are using to receive you payment is non-reversible?

If someone uses stolen credentials or social engineering to make that bank transfer, and the victim may makes a report to the bank, your bank may also learn of it. If it keeps happening to you multiple times you could get in trouble yourself or at least face having your bank account closed.