We get it…
You’ve received Bitcoins for one reason or another, and want to sell them for fiat.
You’re not exactly sure how to sell your Bitcoins.
Luckily for you, this guide will explain how to do so in a beginner-friendly way with the following methods:
The fees associated with this method are around 1.5%-3%, which are in line with many of the other options we list in this guide.
Coinmama is a popular cryptocurrency brokerage that recently set up the ability to sell Bitcoins back using a SEPA bank transfer.
Unfortunately, this means that for Americans and other countries where SEPA banks are unavailable, you are unable to sell Bitcoins on Coinmama. Don’t worry, as Coinbase makes this extremely easy, and is available in several countries (US included).
When selling Bitcoins on Coinmama, expect to pay around 3%-5% fees.
Coinbase is one of the most popular cryptocurrency brokerages around the world. The exchanges user interface is extremely intuitive, making it an attractive option for beginners.
When selling Bitcoins on Coinbase, you have two options.
Coinbase Pro is the exchange for Coinbase. As stated above, Coinbase is a brokerage meaning that users are buying and selling Bitcoins directly with Coinbase.
Coinbase Pro is an exchange, in which users are trading Bitcoin and crypto with each other. Coinbase Pro is much more difficult to use for beginners but will offer lower fees when selling back to a bank account.
Expect around 1%-2% fees depending on which Coinbase service you decide to use.
Bitpanda is a fantastic option although limited to European users. They fairly similar to Coinbase and are extremely competitive in terms of fees and selling limits.
Before you can sell Bitcoins to your bank account on Bitpanda, you’ll need to exchange them for your fiat currency. Bitpandas limits are extremely high, allowing over 500,000 Euros to be withdrawn a day.
For selling fees, expect to pay around 1%.
We discussed Coinbase a bit above in the bank account section, but they also allow for the selling of Bitcoin to a Paypal account. It’s important to note that Coinbase only allows for the selling of Bitcoin to Paypal, and not buying.
Coinbase limits Paypal sells to $10,000 per transaction, up to $25,000 per day. These limits should be plenty for most people.
In order to complete this process, you must sell the Bitcoins for USD balance on Coinbase, and then convert the Coinbase USD balance into Paypal balance.
For fees, expect to pay Paypal transaction fee of 2.9% + $.30 on each transaction. This is rather high compared to some other methods, so it’s not recommended unless you are unable to do the other options.
LocalBitcoins is likely the most popular and highest volume way to buy and sell bitcoins via cash. On the exchange, sellers put up offers for transacting. Due to the nature of transactions on the site, they often incur premiums on the price due to the additional privacy the method offers.
LocalBitcoins acts as an escrow service and takes a 1% fee on transactions going through the exchange.
This method will be higher fees than others we recommend in this guide but offers the highest level of privacy. While LocalBitcoins doesn’t have selling limits, it will depend on each seller and how much they are able to process.
Bitquick is another option for selling Bitcoin into cash. They are another privacy-focused option with moderate fees. They claim to take no fees on sells, but this is just incorporated into a premium on the price of the currency.
Regardless, they are a great and viable option for selling Bitcoin for cash.
Out of all of the methods mentioned in this post, Bitpanda and Coinbase are likely the lowest. But at the end of the day, if you’re payment method isn’t supported by these exchanges, you’ll have to use the next best option.
Selling Bitcoins is easy to do process on some of the most popular exchanges and brokerages. Depending on which payment method you plan to use, expect varying levels of fees, limits, and privacy.