Terms of Service

1. Acceptance of Terms

By accessing, registering, or using LocalBitcoins Africa ("Platform," "Service," "we," "us," or "our"), you agree to be bound by these Terms of Service ("Terms"). If you do not agree to these Terms, you must not access or use the Platform.

These Terms constitute a legally binding agreement between you ("User," "you," or "your") and LocalBitcoins Africa. Your continued use of the Platform after any modifications to these Terms constitutes acceptance of such changes.

2. Definitions

• Platform: The LocalBitcoins Africa website, services, and infrastructure for peer-to-peer Bitcoin trading.
• User: Any individual or entity that creates an account and uses the Platform.
• Trader: A User who creates advertisements or initiates trades.
• Advertisement: A public offer to buy or sell Bitcoin posted by a Trader.
• Trade: A transaction between two Users facilitated by the Platform's escrow system.
• Escrow: The secure holding of Bitcoin by the Platform during an active trade until release conditions are met.
• Wallet: The non-custodial Bitcoin wallet provided to each User, controlled via BIP84 standards.
• 2FA: Two-Factor Authentication using Google Authenticator (TOTP) for enhanced security.

3. Eligibility & Account Registration

3.1 Age Requirement

You must be at least 18 years old (or the age of majority in your jurisdiction) to use this Platform. By registering, you represent and warrant that you meet this age requirement.

3.2 Jurisdiction Compliance

You must not use the Platform if cryptocurrency trading, peer-to-peer exchanges, or Bitcoin transactions are prohibited in your country, state, or jurisdiction. You are responsible for ensuring compliance with all applicable local laws.

3.3 Account Security

You are responsible for:

• Maintaining the confidentiality of your account credentials
• Enabling and maintaining 2FA protection
• All activities that occur under your account
• Immediately notifying us of any unauthorized access
• Securing your wallet seed phrase and private keys

3.4 One Account Per User

Each User may maintain only one active account. Creating multiple accounts ("multi-accounting") to manipulate reputation, evade restrictions, or commit fraud is strictly prohibited and will result in immediate account termination.

4. Platform Services

LocalBitcoins Africa provides a peer-to-peer marketplace platform that enables Users to:

• Create and publish advertisements to buy or sell Bitcoin
• Browse and respond to advertisements from other Users
• Execute trades with escrow protection
• Use an integrated non-custodial Bitcoin wallet
• Communicate securely through the in-platform messaging system
• Rate and review trading partners

5. Trading Rules & Escrow

5.1 Trade Process

All trades must follow this process:

1. Initiation: Buyer responds to a Seller's advertisement or vice versa
2. Escrow Lock: Bitcoin is automatically locked in escrow from the Seller's wallet
3. Payment: Buyer transfers fiat payment to Seller via agreed payment method
4. Confirmation: Buyer marks payment as sent; Seller verifies receipt
5. Release: Seller releases Bitcoin from escrow to Buyer's wallet, requiring TOTP verification

5.2 Escrow Protection

All Bitcoin involved in active trades is held in secure escrow. The Platform automatically:

• Locks Bitcoin when a trade begins
• Prevents double-spending by the Seller
• Requires seller confirmation with 2FA to release funds
• Protects both parties until trade completion

5.3 Payment Methods

Users may agree on any legal payment method for fiat transfers, including but not limited to:

• Bank transfers
• Mobile money (M-Pesa, Airtel Money, MTN Mobile Money, etc.)
• Cash deposit
• Online payment platforms

The Platform does not process, hold, or verify fiat payments. Users are solely responsible for executing and verifying fiat payments outside the Platform.

5.4 Trade Finalization

Once the Seller releases Bitcoin from escrow, the trade is considered final and irreversible. Users should only release Bitcoin after confirming receipt of payment.

6. Fees & Payments

6.1 Platform Fees

LocalBitcoins Africa charges a platform fee on completed trades. The current fee structure is:

• Trading Fee: 1% of the Bitcoin transaction amount
• Charged To: The Seller (deducted from escrow release)

6.2 Network Fees

Bitcoin network transaction fees (mining fees) are separate from platform fees and are required for all on-chain transactions, including:

• Deposits to your wallet
• Withdrawals from your wallet
• Escrow releases

Network fees vary based on Bitcoin blockchain congestion and are paid to Bitcoin miners, not LocalBitcoins Africa.

6.3 Fee Changes

We reserve the right to modify our fee structure with 30 days' advance notice. Updated fees will be posted on our Fee Schedule page.

7. Wallet & Custody

7.1 Non-Custodial Nature

Your wallet is non-custodial, meaning:

• You control your private keys
• We cannot access your funds without your authorization
• You are solely responsible for securing your wallet
• We cannot recover lost funds if you lose your credentials

7.2 Wallet Security

You must:

• Securely store your wallet seed phrase offline
• Never share your seed phrase or private keys
• Enable 2FA for all sensitive operations
• Use strong, unique passwords

7.3 No Recovery Guarantee

WARNING: If you lose access to your account, forget your password, or lose your 2FA device without backup codes, we may not be able to recover your funds. You assume all risk associated with wallet security.

8. Prohibited Activities

You agree NOT to:

• Use the Platform for money laundering, terrorist financing, or any illegal activity
• Engage in fraudulent trades or payment reversals
• Create fake advertisements or misrepresent terms
• Manipulate prices or engage in market manipulation
• Use stolen credit cards, bank accounts, or payment methods
• Harass, threaten, or abuse other Users
• Attempt to circumvent escrow or conduct off-platform settlements to avoid fees
• Use automated bots or scrapers without written permission
• Reverse engineer, decompile, or hack the Platform
• Create multiple accounts or use identity theft
• Trade on behalf of sanctioned individuals or entities

9. Compliance & AML/KYC

9.1 Anti-Money Laundering (AML)

We are committed to preventing money laundering and comply with applicable AML regulations. We monitor transactions for suspicious activity and reserve the right to:

• Request additional identity verification at any time
• Freeze accounts pending investigation
• Report suspicious transactions to authorities
• Terminate accounts for AML violations

9.2 Know Your Customer (KYC)

We may require identity verification (KYC) for:

• High-value transactions exceeding certain thresholds
• Users flagged by our risk monitoring systems
• Compliance with local regulatory requirements
• Dispute resolution processes

9.3 Sanctions Compliance

You represent that you are not located in, under the control of, or a national or resident of any country subject to international sanctions or embargoes.

10. Dispute Resolution

10.1 Trade Disputes

If a dispute arises during a trade:

1. Parties should attempt to resolve the issue through in-platform chat
2. Either party may open a formal dispute ticket
3. Platform moderators will review evidence from both parties
4. Evidence may include payment receipts, screenshots, transaction IDs, etc.
5. Moderators will make a final binding decision on escrow release

10.2 Moderator Authority

Our moderators have full authority to:

• Release escrowed Bitcoin to either party
• Issue warnings or account suspensions
• Request additional evidence
• Reverse fraudulent trades (in exceptional circumstances)

10.3 Binding Arbitration

For disputes not resolved through our internal process, you agree to binding arbitration under the laws of [Jurisdiction]. Court litigation is waived except where prohibited by law.

11. Limitation of Liability

11.1 Service "As Is"

The Platform is provided "as is" without warranties of any kind, express or implied, including but not limited to merchantability, fitness for a particular purpose, or non-infringement.

11.2 No Liability for User Actions

We are NOT liable for:

• Losses resulting from fraud by other Users
• Failed fiat payments between Users
• Bitcoin price volatility
• Hacking or unauthorized access to your account due to your negligence
• Loss of private keys or wallet access
• Network fees or blockchain delays
• Third-party payment processor failures
• Acts of God, government action, or force majeure events

11.3 Maximum Liability

In no event shall our total liability exceed the amount of fees you paid to the Platform in the 12 months preceding the claim, or $100 USD, whichever is greater.

11.4 Consequential Damages

We are not liable for any indirect, incidental, special, consequential, or punitive damages, including lost profits, lost data, or business interruption.

12. Intellectual Property

All Platform content, including logos, trademarks, code, design, text, and graphics, are the intellectual property of LocalBitcoins Africa and are protected by copyright, trademark, and other intellectual property laws.

You may not:

• Copy, reproduce, or redistribute Platform content without written permission
• Use our trademarks or branding for commercial purposes
• Create derivative works based on the Platform

13. Account Termination

13.1 Voluntary Termination

You may close your account at any time. You must first:

• Complete or cancel all active trades
• Withdraw all Bitcoin from your wallet
• Resolve any pending disputes

13.2 Involuntary Termination

We reserve the right to suspend or terminate your account immediately for:

• Violation of these Terms
• Suspected fraud or illegal activity
• Repeated disputes or poor user ratings
• Non-compliance with KYC/AML requirements
• Creating multiple accounts

13.3 Effect of Termination

Upon termination:

• Your access to the Platform will be revoked
• Active trades will be resolved per our dispute policy
• You must withdraw remaining funds within 30 days
• After 30 days, unclaimed funds may be forfeited

14. Modifications to Terms

We reserve the right to modify these Terms at any time. Changes will be:

• Posted on this page with an updated "Last Modified" date
• Notified via email to registered Users (for material changes)
• Effective 30 days after posting (unless otherwise specified)

Continued use of the Platform after changes constitute acceptance of modified Terms.

15. Contact Information

For questions, concerns, or support regarding these Terms of Service:

• Email: [email protected]
• Support: [email protected]
• Compliance: [email protected]
• Address: [Your Business Address]

By using LocalBitcoins Africa, you acknowledge that you have read, understood, and agree to be bound by these Terms of Service.