Trading volumes on the LocalBitcoins p2p platform fell by more than 30% after the introduction of new verification rules due to tougher anti-money laundering measures, including AML/KYC procedures. In mid-October, the weekly amount of transactions on the site amounted to $38.5 million, the last time this indicator was so low 13 months ago - in September 2019.
In weekly terms, 4,595 BTCs were exchanged on LocalBitcoins last week, a level that had not been reached since June 2013. Most of all, trading volume declined in Africa and Eastern Europe - by 35-40%. Relatively high indicators for the amount of transactions remain in Russia, Nigeria, Venezuela, and Colombia.
New verification rules began in early September. Customers whose accounts do not meet certain requirements will not be able to enter into transactions.
Notably, last June LocalBitcoins scraped the option of buying and selling bitcoins in person. Allegedly, this decision also contributed to a decrease in activity on the platform. Also, the company made a statement that users who use the Tor browser are at risk of cryptocurrency theft. However, the announcement had no explanation.