Abstract: Lack of trust has been repeatedly identified as a major barrier to the adoption of online shopping. However, there has been little investigation of the estblishment of interpersonal trust from seller’s and buyer’s perspective and how interpersonal trust affects sellers-buyer’s transaction intention. This research aims to determine the impact of perception and interaction in establishing interpersonal trust from seller’s and buyer’s perspective. Furthermore, this research investigates the effect of interpersonal trust on selling and purchasing intention in C2C e-Commerce sites. A quantitative approach are employed by utilizing Partial Least Square (PLS). A total of 776 responds from buyers and 106 responds from sellers are collected. The results of this study indicate that trust in sellers is influenced by seller’s expertise and opportunism while trust in buyers is influenced by buyer’s opportunism and buyer-seller interactions. Additionally our findings imply that trust in sellers influence buyer’s purchasing intention while trust in buyers influence seller’s selling intention.