Whether you want to spend or retain bitcoin, you will almost certainly want to sell some at some time. This is a guide on selling bitcoin.
Similar to purchasing bitcoin, there are a variety of ways to sell bitcoin.
Bitcoin may be purchased directly via cryptocurrency exchanges, bitcoin ATMs, peer-to-peer markets, or conventional brokers. Similarly, except certain bitcoin ATMs, you may sell bitcoin using any of these methods.
A comparison of the two primary methods for selling bitcoin
There are two primary methods for exchanging bitcoin for local currency:
- Learn how to sell bitcoin with Coin Culture (Currency Exchange)
Exchange services are a regulated industry that works with the conventional banking system. A cryptocurrency exchange service may take the shape of a basic website with limited exchange capabilities, a digital wallet with banking links, or a full-fledged cryptocurrency exchange complete with an order book, market makers, and so on.
- Peer-to-peer selling
When selling peer-to-peer, you may circumvent the conventional banking system to some degree by accepting payment in cash, using a payment software such as PayPal, or by settling the transaction with products or services. If you know someone interested in selling bitcoin, you may purchase straight from them. Alternatively, several sites function as a matchmaker, assisting vendors in locating buyers and vice versa. Then, on a peer-to-peer basis, buyers and sellers negotiate deals.
By placing a sell order on the same exchange or brokerage where you acquired bitcoin, you may sell it. A sell order, as the name implies, is a request to a broker (crypto exchange) to sell an asset, in this instance bitcoin, at a specified price.
Additionally, bitcoin may be traded or exchanged for other cryptocurrencies or stablecoins, such as ether or tether (respectively). This is advantageous if you intend to earn from your bitcoin investment or avoid your portfolio’s value depreciating.
If you want to remove the fiat (government-issued money) counterpart of your bitcoin, you must first execute a sell order in your chosen fiat currency, such as the United States dollar. After your purchase has been completed, the majority of exchanges enable you to withdraw your cash immediately to your bank account. Nota bene, the majority of exchanges have a minimum withdrawal amount, which means that if you leave tiny balances in your exchange account, you may need to deposit more funds to withdraw the remainder.
In general, Binance, Coinbase, Huobi, FTX, and Coin Culture are some popular high-volume exchanges for buying and selling bitcoin. The term “volume” refers to the quantity of money or digital assets exchanged on an exchange at any one point in time. High volumes increase the likelihood that you will be able to successfully finish your bitcoin sale at any given moment Read the article about detailed Binance review.
Additionally, depending on the size of your purchase and the amount of money you desire to withdraw, you may be asked to undergo some type of identification verification. Many cryptocurrency exchanges are now required to follow “Know Your Customer” (KYC) processes, much as conventional financial institutions are. As a result, you may be needed to supply information such as a valid identity card, utility bills that include your home address, or a Social Security number to purchase and sell bitcoin.
While each site processes payments differently, the method is mostly the same. To begin, you must create an account as a seller on one of these sites and then create your sell order. When someone expresses interest in your offer to sell bitcoin, you will be alerted. Certain systems, like Local bitcoins, have an integrated escrow service to guarantee that transactions go as planned. Payment for your sold bitcoins may be made by Moneygram, Paypal, cash in the mail, gift cards, bank deposits, or even cash in person, depending on your preference. If you want to conduct in-person transactions, ensure that you do so in a public place and are aware of the significant hazards associated.