P2P (Peer-to-Peer) simply refers to the sharing of information, data, or assets between equal parties without the involvement of a centralized entity. This is a type of decentralized interaction where parties connect directly to transfer information, currency, or assets.

A peer to peer transfer in our context is where a person sends assets from his/her personal digital wallet to another person's digital wallet on the same blockchain. This requires the sender to know the receiver's digital wallet address in order to initiate the transfer.

In the case of security tokens issued by issuers, the sender already holds the tokens in his/her personal digital wallet and such wallet is already whitelisted (registered under the issuer registrar via smart contract). In order for the receiver to receive the tokens, his/her wallet also needs to be whitelisted by the issuer. This means that the receiver needs to have passed the required KYC and accreditation requirements and the digital wallet address added to the issuer's registrar.

The transfers will consume gas (cost of performing the transfer on the blockchain) and this will come out of the sender's balance. The cost will depend on the gas price at the time of the transfer for the particular blockchain the transfer is performed on.