It is possible to sell Bitcoins on an exchange, through a broker, directly, or using peer-to-peer transfers. Alternatively, you can withdraw fiat currency (legal tender from the government) at a Bitcoin ATM.
You can sell Bitcoin via a primary all-in-one wallet and exchange provider, such as Coinbase or Blockchain.com if you purchased it and held it with them. This process can be quite fast.
Various methods of charging fees exist. Some charge the exact transaction cost, while others do not. In the United Kingdom, Coinbase charges a fee of 1.49 percent, including any transaction fees. You pay a network fee and a fee to the service provider for blockchain.
Unlike many providers that only provide crypto-to-crypto trading, some platforms, such as Coinbase, Kraken and Bitfinex, allow you to exchange Bitcoins for fiat currencies such as GBP.
Depending on the service, your transaction may be processed faster or slower. Coinbase, for instance, works with an “Instant Exchange” feature that allows you to convert Bitcoin into cash in a matter of minutes.
In many cases, the purchaser must first show identification to prove their identity.
Stay away from scam sites and stick with well-known, popular cryptocurrency exchanges. Generally, those in the United Kingdom need to sign up with FCA, the Financial Conduct Authority. And for firms in the U.S., it’s CFTC — the Commodity Futures Trading Commission.
All Bitcoin transactions must be recorded on the blockchain, the recognized public ledger for all transactions. Miners do this to make a profit. Fees are based on how many traders are trading at a particular time and how big your transaction is.
Miners bundle transactions together into blocks, and Bitcoin users manually set their transaction fees depending on how fast they want to process the transaction. If you want to wait longer, you can do so until the network is less congested and miners resume picking up transactions at a lower fee.
Currently, https://the-newsspy.io/ shows an average transaction fee of $0.48 (£0.37).
Selling Bitcoins in more significant amounts
It may not be best to sell a large amount of Bitcoin, like £10,000 or even more, through an ordinary crypto exchange. Try shopping around for a better price.
If you have a Bitcoin wallet, you can go to any exchange, set up an account and wallet, and then transfer your Bitcoin from your existing wallet (note that this might incur an additional fee).
Individuals might also opt to negotiate trades through forums and websites such as #bitcoin-otc and LocalBitcoins. A seller determines his or her price and accepts whatever payment he or she wishes, including PayPal, bank transfers, credit cards as well as hard cash. But when you sell directly to an unknown person, take caution.
You can pay for Bitcoin via a debit card or by cash using a Bitcoin ATM. Some allow bi-directional functionality, which enables you to purchase and even sell for cash.
At times, providers of Bitcoin ATMs may require traders to have an already existing account. Keep in mind that these mostly attract higher fees for transactions and make services pretty costly.
Selling to a friend
With QR codes, you can easily make payments from your BTC wallet app. All that’s required is you turn on your smartphone, scan the code and wait for it to pre-fill the BTC address of your recipient as well as the payment amount requested.
If you’re trading or making sales to friends or family, then you must ensure they’re also set up with a BTC wallet.
Generally speaking, receiving bitcoins does not incur a fee, but there is the standard transaction fee, which can definitely be set.