How to sell Bitcoin for {fiat} in {your country}

How to sell Bitcoin: 5 ways to ‘cash out' your BTC holdings.

“How do you sell Bitcoin?” is one of the first questions that arise when people become interested in buying cryptocurrencies, since getting your money out is just as important as investing.

Selling Bitcoin can be similar to buying Bitcoin, except in a somewhat reversed process. To sell BTC, you must first have BTC on hand in your wallet.

Buying Bitcoin is possible via a number of routes. When you are ready to sell some or all of your Bitcoin, you can do so through a variety of avenues, including an online cryptocurrency exchange, direct peer-to-peer (P2P) transactions online or on-site, and through a Bitcoin ATM. 

Cryptocurrency exchanges

Despite having several disadvantages, exchanges are a one-stop solution when it comes to trading Bitcoin. In the case of selling the cryptocurrency, exchanges act as an intermediary, holding sellers’ and buyers’ funds.

To use a crypto exchange, you must set up an account with the platform of your choice. Many reputable exchanges require identity verification. Connecting a bank account is necessary for withdrawing cash. Be mindful of exchange restrictions based on your country, however. Some exchanges ban participation from certain regions.  

Once you have an account on an exchange and have transferred your Bitcoin to that exchange (or if you already have an account with Bitcoin held in it), simply place a sell order, stating the type of currency you wish to trade, its amount, and your asking price per unit. The exchange will automatically complete the transaction once someone matches your offer. Trading crypto, however, can be much more complicated than this brief description, with multiple order types and more.

After the funds are credited to your account, you will need to withdraw them to your connected bank account. This can sometimes take an excessive amount of time, especially if the exchange is experiencing issues with its banks or facing liquidity problems. Several months before its bankruptcy, the Mt. Gox exchange experienced this exact problem. Moreover, some banks just outright refuse to process transactions with funds obtained via cryptocurrency trading.

It is also important to be mindful of any withdrawal fees that may come into play on your platform of choice. In addition, exchanges may have a limit on the amount of money you’re allowed to withdraw within a certain period. The limit may increase over time if you stay loyal to a particular platform or if you upload additional documentation to complete Know Your Customer (KYC) and Anti-Money Laundering (AML) verification requirements.

Finally, it is important to remember that despite offering wallet services, exchanges are by no means a secure, reliable place to store your funds. They can be targeted by hackers, and there have also been instances where exchanges have shut down amid their owners either mismanaging users’ funds or running away with users’ money. 

Another potential option for selling BTC involves selling into a stablecoin on an exchange and then withdrawing those holdings to a personal wallet off of the exchange. You can also simply keep those funds on the exchange, although doing so comes with its own pros and cons. It is advisable to take full responsibility for your own funds and store in a secure offline wallet any amount that is not immediately needed. Furthermore, withdrawing to a personal wallet off the platform gives you more control over your funds.

A stablecoin is a digital asset pegged to the value of an underlying asset — typically a fiat currency, such as the U.S. dollar. A number of stablecoins exist for which you can exchange your BTC. 

Another roundabout method of selling your BTC using the services provided by a cryptocurrency exchange is by spending it via one of the many crypto-focused payment cards on the market. 

There are several methods to how such cards operate. Generally speaking, users’ assets are exchanged into cash at the point of the sale, making the cards usable at locations that accept traditional payment cards. Alternatively, some cards allow users to load stablecoins onto a crypto-friendly card and not be subject to the volatility associated with cryptocurrencies. 

Direct trades (person-to-person)

Another way of selling your Bitcoin is via a direct trade with another entity, either online or in person. There are several ways to achieve this, either by setting up a direct meeting to sell Bitcoin in person or by performing the transaction online through a specialized platform.

Online P2P selling

With online P2P Bitcoin sales, several specialized platforms — and even products from reputable cryptocurrency exchanges — exist to facilitate such transactions. In one way or another, these platforms essentially make it possible to trade Bitcoin for cash, or vice versa, with another party online.

In general, Bitcoin buyers post listings on these platforms, noting their desired price, their preferred payment option, etc. Interested parties then find listings they like and complete the sale by following the instructions provided by the platform.

These platforms typically involve escrow functions to provide a level of security for both parties and to help ensure asset transfer. Depending on the payment option, the seller of the Bitcoin may receive a transfer directly to their bank account or card, a wire transfer, or an agreement to receive funds to some of the popular traditional payments platforms.

Face-to-face transactions

Selling Bitcoin P2P at an in-person location is also a possible method. Some online platforms facilitate selling BTC in person for cash, while parties may also simply choose to meet up with friends or family on their own and sell Bitcoin for cash. Selling Bitcoin in person requires you to understand how to send Bitcoin and work with a crypto wallet, or the platform on which you hold your funds (such as if you hold your funds on an exchange, for example). 

Bitcoin’s value constantly fluctuates, so it’s important to know its price at the time of an in-person sale. Most traders use rates from prominent exchanges. Alternatively, services such as Cointelegraph’s can be used to identify the latest price of the crypto asset. 

In some parts of the world, physical locations or shops also exist at which participants can go to exchange Bitcoin for physical currency, or exchange physical currency for Bitcoin. 

It is important to take into account, however, that Bitcoin can trade at different prices across exchanges, and at differing prices in various regions globally. This discrepancy is called a “premium.” Essentially, a Bitcoin price premium is the amount at which an asset trades above or below the rest of the market or an underlying asset’s price (when referring to other types of trading, such as futures).

Bitcoin commonly trades at comparatively higher prices in South Korea — a market state that has been labeled the “Kimchi premium.” The Coinbase Pro crypto exchange has also been known to have a Bitcoin price premium.

If you organize an in-person Bitcoin sale with a stranger, whether via a platform or otherwise, it is important to exercise caution. Potential dangers exist when trading Bitcoin in person with strangers, similar to the risks that come with other in-person financial transactions.

Bitcoin ATMs

Despite looking like traditional cash machines, Bitcoin ATMs are not ATMs in the traditional sense. Instead of connecting to the user’s bank account, they are connected to the internet to facilitate Bitcoin transactions.

At their simplest, Bitcoin ATMs let you scan a wallet QR code and then sell BTC for cash.  Bitcoin ATMs are located all over the world, and their locations can be easily found on the internet. However, they usually charge high transaction fees when compared with other methods. In addition, not every Bitcoin ATM offers both buy and sell functionality, which is important to keep in mind when looking for a Bitcoin ATM at which to sell BTC.

Sometimes, Bitcoin ATM providers require users to have an existing account to conduct selling operations, and the registration process often involves a lot of time, energy and effort. For example, new users may need to provide a telephone number for activation and notifications, a government-issued ID, a palm scan and a current photo taken by the ATM’s camera. The identification process varies depending on the machine and the operator running it, but some sort of identity verification will always be required if you want to sell Bitcoin.

Moreover, BTC ATM operators must adjust the settings on their machines in accordance with AML and KYC requirements applicable in the jurisdiction where their ATMs are placed. In some countries, this requires a money transmitter license, while current regulations in other countries prevent any Bitcoin ATMs from being installed.

After your identity is verified, you are given a QR code with a wallet address to which you need to send your Bitcoin. Depending on the machine you’re using, you will either get cash out of the machine immediately or you will receive a redemption code and will need to wait for the transaction to be confirmed on the Bitcoin blockchain. Usually, one confirmation is enough, but sometimes up to six confirmations are required before you can withdraw cash.

Withdrawing funds

A common way to move Bitcoin into cash is through withdrawing the cash to a bank account via a wire transfer or automated clearing house (ACH) transfer after selling your BTC on a crypto exchange. 

Alternatively, money can be transferred via the Single Euro Payments Area, or SEPA, which services the transfers in the euro. It is a system designed to make international transfers between members of the European Union more efficient. Some European cryptocurrency exchanges accept this way of transferring.

Both of these systems are far from perfect, however. Transfers can take a long time, depending on the country and the amount of money being transferred, and processing can take days. Moreover, these systems can incur additional charges. 

For example, some banks may charge a fixed fee for a SEPA payment, which could rise depending on how quickly you want the transfer to take place. It is also worth noting that some banks may look unfavorably upon facilitating transfers to and from accounts associated with cryptocurrency companies.

So, if you’re opening a bank account specifically for withdrawing money made from Bitcoin sales, you need to do your research and choose the bank that best suits your needs.

 How to add a new payment method on P2P

P2P on Bybit supports more than 80 payment methods, including debit cards, credit cards, in-person cash payments and more. As a trader, you can now buy and sell USDT with your fiat currency.

Currently, we support nine fiat currencies: INR, VND, AUD, HKD, MYR, PHP, RUB, TWD and UAH.

Here’s how you can easily add a payment method.

 

On Desktop

Step 1: Please click on Buy Crypto --> P2P Trading on the left side of the navigation bar to enter the P2P trading page. 

Step 2: Click on P2P User Center in the upper right corner to enter your profile.

Step 3: Click on Add Now under Payment Method.

Step 4: Select your payment method in the pop-up window and enter the required information.

Note:

— P2P on Bybit only accepts a payment account with the same name as your identity verification.

Step 5: Make sure the information you’ve provided is correct and click Confirm.

You’re all set!

 

Note:

— Currently if only one payment method is added, removal is not supported.

— Up to three payment methods will be shown to the counterparty. Users can enable the preferred payment method to be displayed under Payment Method in P2P User Center. 

 How to sell Bitcoin on Binance P2P with {payment method}

Step by Step

Step 1: Select (1) “Buy Crypto” then click (2) “P2P Trading” on the top navigation.

Step 2: Click (1) "Sell" and select the currency you want to buy (USDT is shown as an example). Filter the price and the (2) “Payment” in the drop-down, select an ad, then click (3) "Sell".

Step 3:
Enter the amount (in your fiat currency) or quantity (in crypto) you want to buy and click (2) "Sell".

Step 4: The transaction will now display “Payment to be made by buyer”.

Step 5: After the buyer makes payment, the transaction will now display “To be released”. Please make sure that you’ve actually received payment from the buyer, to the payment app/method you used. After you confirm the receipt of money from the buyer, tap “Confirm release” and “Confirm” to release the crypto to the buyer’s account. Again, If you have not received any money, please DO NOT release crypto to avoid any financial losses.


Step 6: Now the order is completed, the buyer will receive the crypto. You can click [Check my account] to check your Fiat balance.

Note: You can use Chat on the right side to communicate with the buyer in the whole process.

Note:
If you have any issues in the transaction process, you can contact the buyer using the chat window on the top right of the page or you can click "Appeal" and our customer service team will assist you in processing the order.

Tips:
1. Please make sure to log in to your account to confirm the payment is received, this can avoid financial losses caused by wrongly clicking on the release button.

2. The digital assets you are selling have been frozen by the platform. Please confirm the receipt of the payment from the buyer and click “Release” to release the crypto.

3. Please do not agree to any request to release the crypto before confirming the receipt of the payment to avoid financial losses.

4. After receiving the SMS notification, please be sure to log in to your bank account to confirm whether the payment is credited, this will avoid the release of crypto due to Fraud SMS.

 How to find the best offer (explain available, limits, orders and completion rate. As well as the user profile, reviews)  

If you're a newbie to peer-to-peer trading, you've probably asked yourself, which offer do I choose? Don't worry. In this blog, we'll talk about how to select the best offer, as well as what to consider when trading on the P2P platform.

• Advertiser details

• Choose the price that suits you best 

• The minimum and maximum trade amount 

• Payment methods and transactions 

• Terms and conditions 

• Extra tips for buying crypto on Binance P2P

Before start trading on the platform, you need to create a Binance account and verify your identity. It is easy! It only takes a couple of minutes. The identity verification will help us to protect your account.  Then, you can instantly transfer cryptocurrencies from any Binance wallet (spot, futures, and margin) to Binance P2P, without paying any transaction fees. 

Advertiser details

On Binance P2P, you can see the activity of the users by clicking on the nickname. The user profile contains information such as:

• Security deposit, essentially an escrow fund, ensuring no cheating or wash trading. With this deposit, users don’t need to worry about suffering fiat or crypto assets loss.

• Total orders, the full number of transactions made 

• 30d orders, number of transactions completed in the last 30 days

• 30d completion rate, percentage of transactions that he has started and completed successfully in the last 30 days

• Avg release time, how long does it usually take for the seller to release the crypto

• Online ads, the offers to buy and sell that the user has online

Users marked with a yellow tick are merchants Binance P2P. These are traders who have passed additional verification, confirmed their advanced trading experience on other platforms.

Choose the price that suits you best 

The price of bitcoin and other cryptocurrencies on P2P at Binance is not always equal to the official market rate. The seller who publishes the ad is free to choose the selling price. This flexibility is one of the significant advantages of peer-to-peer trading.  

On the Binance P2P platform, you can find incredible offers, where the selling price of bitcoin and other cryptocurrencies is lower than the official rate. As we see in the image above, the purchase prices are different, as well as the limits and payment methods.

The minimum and maximum trade amount

The maximum and minimum amount that you can buy and sell bitcoin and other cryptocurrencies on  Binance P2P depends on the advertiser. When you are going to make a purchase, keep in mind the limits set by the seller. 

Let's say that you want to buy $250 of BTC. You have to look for an offer with a minimum limit of $250 or less. For example, as shown in the image below, the seller "Criptala" has set a minimum limit of $150 and a maximum of $351.63. 

 

 However, if you want to buy $700, you have two options. You can make two purchases of $350 from "Criptala.” On the other hand, if you want to save time and place only one order, you would have to look for another offer because it has a maximum limit of $351.39. A compatible ad to buy $700 would be "SerBN,” which has a minimum limit of $400 and a maximum of $900.

At the top, we see "0.02018545 BTC," which refers to the total amount the seller wants to trade with his ad and has available in his portfolio. 

Payment methods and transactions 

Another important factor when choosing an offer or a seller is the payment method. On Binance P2P, we have more than 60 payment methods. You can filter ads by bank transfer, wallet, etc., through the menu on the top. 

Please note that when choosing an offer with payment through a specific bank, you must also have this payment method added to the “P2P Payment Method” section. Don't miss this video tutorial on how to add a new payment method.  

According to the platform’s rules, it is forbidden to use third-party accounts for payment. The payment information should match the Binance account information.

Never ask a seller to release a cryptocurrency before you completed the payment. The platform uses an escrow system to keep your assets safe. These funds are held until your payment is completed. 

Never release the cryptocurrency before you receive the payment. If the buyer asks to release the crypto before payment, this may be regarded as a fraud and will lead to the blocking of the Binance account. Check out our guide to secure trading on Binance P2P.

Read the requirements, start the trade and chat with the counterpart.

If you are a newbie, use secure payment methods such as bank transfer and avoid those payment methods that may be reversible.  

Terms and conditions 

When you create an ad, it is important that you fill in the "description" section with all the information you think is essential for the transaction. This will be displayed as your terms and conditions for other users to trade with you. If this information is clear, you will avoid canceling orders due to a lack of information.  

When choosing an offer, carefully review the trading requirements of the advertiser. Each user has the right to specify the preferred trading requirements for the transaction, and the counterparty, by default, agrees to the terms by placing an order. If the conditions do not suit you, please choose another offer.

The trading terms and conditions may indicate a specific bank for the transfer, or a request for special comments when making a payment, the need for additional verification, etc.

Keep in mind that all prices in ads are final, and the advertiser is not allowed to demand to pay any additional commissions. The payment must be made using the payment method specified in the ad and the amount should correspond to the amount of the order.

Before placing an order, pay attention to the time indicated in the “Payment window”. If you buy cryptocurrency, then this is the time during which you must make a payment. If you sell cryptocurrency, then this is the time during which the buyer will have to complete the payment. 

If after placing an order, you decide to abandon the trade and are no longer interested in the offer, please cancel the order. This is considered a sign of respect for other users. As long as you keep the order pending, this prevents the seller from continuing to trade on the platform, as his assets are frozen.

Use the chat to communicate with the counterpart

Binance P2P allows users to communicate directly with each other through a built-in chat. The chat is available immediately after placing an order. As soon as you open an order, greet the user, make sure he is online and available for the trade.