Get setup to sell crypto in minutes
1. Download the multi-chain Bitcoin.com Wallet app.
2. Connect your bank account.
3. Tap the sell button and follow the instructions.
This article focuses on selling crypto into local currency. For options on selling crypto into other cryptoassets, please see our article How does crypto exchange work?
Your two main options for selling crypto into local currency are:
Using an exchange service
An exchange service is a regulated business that interacts with the traditional banking system. An exchange service may take the form of a simple website with limited exchange functionality, a digital wallet with banking connections, or a full-service cryptocurrency exchange with order book, market makers, etc.
Selling peer-to-peer
When you sell peer-to-peer, you can bypass the traditional banking system to a certain extent by, for example, taking payment in cash, using a payment app like PayPal, or settling the transaction with goods or services. If you know someone who wants to sell bitcoin, you can buy directly from that person. Alternatively, there are a number of platforms that act as a matchmaking service, helping sellers find buyers and vice versa. Buyers and sellers then negotiate trades on a peer-to-peer basis.
Here's a rundown of the pros and cons for each option:
Exchange services can be divided into two groups: 1) simple exchange, and 2) full-service exchange.
(eg. the multi-chain Bitcoin.com Wallet, the Bitcoin.com Sell website).
Advantages
Disadvantages
Advantages
Disadvantages
(eg. your friend or a match-making service like Hodlhodl)
Advantages
Disadvantages
When you sell cryptoassets through an exchange service, you're interacting with a regulated business. Such businesses must comply with Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations. These regulations require the collection and storage of customer information, including identity documents and sometimes proof of address.
Fees for selling cryptoassets depend on the payment method and platform/venue used. For example, if you're selling directly to a friend and settling in cash, you'll only need to consider the 'network fee' for sending the crypto from your digital wallet to your friend's digital wallet.
Read more: Learn about sending crypto, including information of network fees and more.
If you're receiving cash via bank transfer, you'll of course need to factor in the associated fees.
Exchange services also charge fees for facilitating trades. These fees cover the exchanges' operating costs plus a small margin.
Read more: How crypto exchange works.
Bitcoin.com's recommended options for selling crypto using an exchange service are:
Selling crypto with the multi-chain Bitcoin.com Wallet
Selling crypto on at Sell.bitcoin.com
Selling crypto on a full-service crypto exchange
With this method, you can sell any amount of crypto in your digital wallet directly to cash, which will then be deposited in your bank account. Here's how it works:
Note: it typically takes between 1-3 working days to receive the funds in your bank account.
With this method, you'll need to create an account, verify your identity and connect your bank account, then send the cryptoasset you'd like to sell to an appropriate address of that cryptoasset.
For example, a Bitcoin address looks something like this:
3J57t1XpEZ73CZmQvfksriyiWrnqLhGTLy
An Ethereum address looks like this:
0xb794f5ea0ba39494ce839613fffba74279579268
After the sale is processed, you'll receive cash in your bank account. Here's how it works:
Note: it typically takes between 1-3 working days to receive the funds in your bank account.
With this method, you'll need to create an account, verify your identity, and connect your bank account. Once you've sold your crypto into local currency, you can withdraw that currency to your bank account. The typical flow is as follows:
A variety of platforms facilitate the trading of cryptoassets by offering 1) a venue for buyers and sellers to post their buy and sell orders, and 2) an escrow and dispute resolution service.
Since these platforms principally help people find each other, in many jurisdictions they aren't technically classified as exchanges or 'money transmitters,' so in some cases they don't require you to reveal your identity in order to use them. For privacy-conscious buyers, therefore, P2P platforms can be an attractive method for obtaining crypto. This means that such platforms typically have no shortage of buyers.
When selling cryptoassets peer-to-peer, it's important to consider the laws in your region. In many regions, if you sell above a defined daily and/or yearly limit, you may find yourself on the wrong side of the law.
The process for selling cryptoassets using a P2P platform is typically as follows:
Sending crypto is as easy as choosing the amount to send and deciding where it goes.
Receiving crypto is as easy as simply providing the sender with your appropriate crypto address, which you can find in your cryptocurrency wallet.
Learn how to quickly and easily create a crypto wallet. Understand the different wallet types and their respective pros & cons.
Make sure your cryptoassets are safe with these simple tips.
Learn how to get your first crypto in minutes.
Sending crypto is as easy as choosing the amount to send and deciding where it goes.
Receiving crypto is as easy as simply providing the sender with your appropriate crypto address, which you can find in your cryptocurrency wallet.
Learn how to quickly and easily create a crypto wallet. Understand the different wallet types and their respective pros & cons.
Make sure your cryptoassets are safe with these simple tips.
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