At first glance, it feels like the US market would naturally push everything toward centralized, compliant exchanges. But P2P models still survive because they operate differently at a structural level.Instead of holding user funds, a P2P exchange typically relies on escrow systems and direct trade matching between users. That reduces custodial responsibility, which is one of the biggest regulatory pressure points in crypto.For startups, this creates breathing room. They can launch without immediately building full institutional-grade compliance layers, while still offering a working trading platform.The tradeoff is clear though. You gain flexibility but lose some control over liquidity and speed of execution. That’s why P2P is often not the end goal, but an early product strategy.If you want a deeper technical and business breakdown, this explains P2P exchange development advantages explained in a practical way, especially from a startup perspective.
