This guide shows you all the best ways to sell Bitcoin quickly, cheaply, and easily.
If you don’t want to pay an arm and a leg in fees, but want to cash out of Bitcoin, this is the guide for you!
We will cover:
- General steps to selling Bitcoin
- Best methods and platforms to sell on
- How best to sell in each country
Read on to find all our top methods and platforms for 2021!
Quick Info: Best Exchanges to Sell On
- Popular Exchanges
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Coinbase Pro- Some of the lowest fees available for US and EU customers
- Possible to buy bitcoins for 0% fees
- Run by Coinbase
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Chapter 1
Step-By-Step: How to Sell Bitcoin
Selling Bitcoin is pretty easy these days.
Before we hop into the specific methods and platforms we like to use to sell Bitcoin, let’s walk through the normal steps.
1. Figure out which currency you want to cash out in
If you are in the US, you probably aren’t looking to sell your Bitcoin for Euros.
That’s important, because some services don’t support US dollars.
Heck, some exchanges don’t support fiat currency at all.
That means the first thing you need to do is decide which form of money you will accept for your Bitcoin.
2. Make an account on selling platform
Now that you know which currency you want in exchange for your Bitcoin, its time to make an account on a platform that lets you sell your BTC.
This is obvious, but you should check to make sure that platform cashes out in the currency you determined in step 1.
There are tons of platforms to sell Bitcoin on, and the easiest, by far, are exchanges and brokers like Coinbase or Coinmama.
If you are looking to sell for cash in person, then localbitcoins is pretty standard.
Some methods, like selling to a Bitcoin ATM or to a friend at a Bitcoin meetup won’t require an account at all.
If you choose one of those, you may skip this step.
QUICK TIP
If you do choose an exchange or broker, the process of creating an account is slightly different on each platform, but for the most part it will consist of:
- Creating a Username and Password
- Protecting it with Two-Factor Authentication
- Going through a "Know Your Customer" process where your identity is confirmed
- Occasionally a waiting period before you can buy
You may already have an account verified if you originally bought your Bitcoin on the exchange you are selling it on.
3. Transfer your coins to the platform
Now that your account is created, you’ll need to deposit your coins on the exchange.
Hit the “deposit” or “send/request” button.
You’ll be presented with an address and/or a QR code.
Scan that into your wallet and send the amount of coins you want to sell.
QUICK TIP
This step only applies to actual selling platforms.
If you are selling to someone you know in person, you'll just send the coins to them directly and they will handle cash - then you are done.
4. Create a sell order
Now it’s time to make a sell offer on the platform you are selling on.
That means picking a price you are willing to part with your Bitcoin for.
The process for doing this always looks a little different on every platform, but for the most part, it works the same way.
Look for the “sell” or “trade” tab, and either sell at the price offered by the broker or create a custom sell order on an exchange order book.
The only difference is, with a broker, you are selling at whatever the spot price is (minus some fees).
With an exchange, you can set whatever price you want. Just don’t expect for the sell to be accepted by any takers if your price is too high.
The nice thing about the exchanges are that the fees tend to be lower than the brokerages.
And that’s really all there is too it!
Now, let’s look at the best platforms and methods to sell in each country!
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Chapter 2
Best Way to Sell Bitcoin in Each Country
Sell Bitcoins in the United States
Coinbase is a prominent and feature-rich exchanges which allow you to sell Bitcoins for USD.
Coinbase Pro also caters to Americans. It has high volume and advanced trading features. Ensure that you read the respective documentation for all these exchanges for further information on trading limits and terms.
All major decentralized services are available in the US, although LocalBitcoins and BitQuick don’t operate in the state of New York due to the BitLicense legislation.
Sell Bitcoins in Canada
The big American exchanges, Coinbase and Coinbase Pro, are also available in Canada for purposes of selling Bitcoin for Canadian dollars. Coinberry is also a great choice to sell your Bitcoins in Canada.
All major decentralized services are available in Canada.
- Quick Info: Best Exchanges to Sell On
- 1. Figure out which currency you want to cash out in
- 2. Make an account on selling platform
- 3. Transfer your coins to the platform
- 4. Create a sell order
- Sell Bitcoins in the United States
- Sell Bitcoins in Canada
Sell Bitcoins in Europe
Coinbase and Coinmama are some of the biggest exchanges servicing Europe.
Sell Bitcoin in the UK
UK-based Bitcoin sellers have extensive options when it comes to exchanges. Coinbase and Coinmama are all represented in the UK.
The major decentralised exchanges are available in the United Kingdom, as well as the UK-only, peer-to-peer marketplace, BitBargain.co.uk/.
Sell Bitcoins in Australia
The major global exchanges are absent from Australia. CoinCorner, which also services Europe, is a recommended option.
Sell Bitcoins Around the World
To view all the available sale venues in your location, obviously excluding the private sale method, consult the Buy Bitcoin Worldwide “Find a Bitcoin Exchange” page.
In person exchanges such as LocalBitcoins is available (almost) globally.
And while you are looking at LocalBitcoins, you should also check out LocalCryptos.com. Its pretty much the same as localbitcoins, but they also allow you to sell altcoins. However, Bitcoin sellers are the most common, so make sure to check it and see if you get any better offers there.
You can also use Decentralized exchanges like Bisq and HodlHodl make it easy to trade without giving custody of your coins to anyone else.
Larger exchanges, such as Coinbase, span several countries or entire regions. Smaller, local exchanges exist in most nations with a significant Bitcoin user-base.
Now that we’ve got locations covered, let’s focus on methods for selling Bitcoins if we want cash!
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Chapter 3
Sell Bitcoins for Cash
Services like LocalBitcoins allow you to arrange in-person trades for cash. A secure location, such as a bank or police station lobby, is recommended.
If you intend to do many such cash trades, you might want to invest in an ultra-violet counterfeit bill detector or a counterfeit detection pen.
Also, if your buyer indicates any intention of using purchased bitcoins for illegal activities, cancel the trade immediately.
LocalBitcoins
Perhaps the most well-known “decentralised” exchange, LocalBitcoins facilitates both online and in-person trades.
However, LocalBitcoins was finally forced to submit to KYC and AML regs and verify the identity of its users the moment they transacted more than €1,000 worth of crypto. Therefore, LocalBitcoins cannot technically be called a “decentralized exchange” any longer.
Here is a view of their different verification tiers
For selling Bitcoin online, up to 70 different payment methods may be requested (depending on your location), including traditional options such as bank transfer, PayPal, Western Union and so on.
Bisq
You can also use a decentralized online exchange like bisq.
Because it is decentralized, using Bisq is a little bit different than a traditional exchange. It is similar to using Napster or Limewire - There is no website to go and log in to. Instead, you must download the Bisq client.
This creates your own node on the peer-to-peer Bisq network. Once you have the software downloaded, no one - not even Bisq - can prevent you from trading on the network because you are running the exchange locally on your machine.
Once you node is up an running, you will be given a recovery phrase to recover your node if your machine dies. This is because any coins you have “on deposit” are actually just stored in a hot wallet on your local machine.
Don't worry: you don't need to keep all the funds you want to trade in the local hot wallet. Bisq just asks you to lockup a small percentage of your desired trade as a way to prevent spammers and fraudsters from using the network.
Here is what the bisq exchange user interface looks like:
As you can see, it is a very clean and simple interface.
If you want to learn more about Bisq and how it works, as well as some of the new functionality recently added to the platform, Unhashed Podcast did an interview with one of their lead developers if you want to understand better how a truly decentralized exchange can work.
HodlHodl
HodlHodl is another decentralized exchange option. They work a little bit differently than Bisq, though. With HodlHodl, you do create an online account with the exchange. However, the exchange is not custodial. HodlHodl never takes possession of your funds, protecting you from exchange hacks and exempting HodlHodl from having to collect information about you that limits your privacy.
We think (collecting this data) does more harm (than good) by exposing law-abiding users to fraudsters and criminals. The information and documents users upload to exchanges has been stolen many times in the past. It also does very little to prevent actual money laundering and criminals from using those services. They always find ways.
Roman Snitko CTO, HodlHodlHodlHodl also recently open-sourced their exchange source code so anyone who wants to can copy it and start their own version. It is currently permissioned, however, meaning you have to ask HodlHodl to give you the source code.
BitQuick
BitQuick is also considered to be fairly decentralised; this service escrows the seller’s bitcoins until the buyer’s in-bank deposit (to the seller’s account) is confirmed by the bank.
Private Sale
For individuals who know and trust each other, such as family, friends and business colleagues, there’s no compelling reason to use any go-between service.
The private sale method has several advantages; no fees, convenience and, depending on the level of trust and familiarity, the highest security.
A good way to meet potential buyers for private sale purposes is to attend Bitcoin meetings or conferences in your area.
Bitcoin ATMs
Certain Bitcoin ATMs around the world enable you to sell as well as buy bitcoins. Check out our Bitcoin ATM Map for locations. To list only ATMs which buy Bitcoin, ensure that the checkbox marked “crypto -> fiat” is ticked and disable the “fiat -> crypto” box.
Clicking the location markers provides detail on specific ATMs, including basic information such as address, operating hours, fees, limits and the type of ATM. The “read more ->” link should provide contact details for the ATM’s owner should you require any further information. It’s best to enquire in advance as to what form of identification is required to use a Bitcoin ATM; some have rather invasive information requirements, such as fingerprint or ID book scans.
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Chapter 4
Conclusion
We’ve shown you the best methods and platforms to sell Bitcoin in 2021.
We chose these methods because They are:
- Easy to do
- Don’t cost a lot in fees
- Can be done quickly
So you really can’t go wrong with any of them.
But what do you think? Think you know an even better way to sell Bitcoin?
We want to know!
Hit that contact button to share your favorite method.
Or share this post on social media and let’s start a discussion!
