How to Sell Bitcoin (BTC): Exchanges, ATMs & P2P Explained

There are different ways you can sell Bitcoin, and each has its advantages and demerits. This article looks at how to sell Bitcoin to fiat. 

Getting Started: Before You Sell Bitcoin

Before you can sell Bitcoin, you need to have some. Acquiring some Bitcoin can be done in various ways. The most common is to purchase them from an exchange, though you can also earn Bitcoin in exchange for goods or services or receive them as a gift. Once you have your Bitcoin, you’ll need to choose a method of selling it. The most common way to do this is via an exchange, where you can trade your Bitcoin for fiat currency (like dollars or euros). However, there are also peer-to-peer sellers who sell directly to buyers. 

Set Up a Bitcoin Wallet 

In order to use Bitcoin, you need a place to store your Bitcoins – this is called a wallet. There are different types of wallets, and each has its own set of features and benefits. For example, some wallets allow you to transact anonymously, while others offer more security features. There are even wallets that are specifically designed for mobile use. The most important thing is to find a wallet that meets your needs and is easy to use.  

How To Sell Bitcoin (BTC) on Crypto Exchanges?

Set up an exchange account

Setting up an account on a cryptocurrency exchange is relatively simple. For centralized exchanges like Redot, you only require an email and a few KYC details, while decentralized exchanges do not require any information from you. Once you have set up your account, you will need to deposit Bitcoin (BTC) into your account. To do this, you will need to generate a BTC deposit address and send BTC to that address.  

Transfer your Bitcoin to your exchange wallet

While many exchanges have inbuilt wallets, some don’t. You might need to send your bought Bitcoin to your wallet to keep it. 

Place a sell order

From your wallet, you can place a sell order and indicate how much BTC you want to sell. Your order will be filled at the market price, and you’ll be able to withdraw the proceeds from the sale into your bank account. 

Pros and cons of selling Bitcoin using an exchange service

Advantages

If you’re thinking about selling your Bitcoin, you may be wondering if using an exchange service is the best option. There are a few things to consider when making this decision, but overall, using an exchange service can have several advantages. First of all, using an exchange service can help to ensure that you get the best possible price for your Bitcoin. Exchange services typically have a large network of buyers and sellers, so there’s no liquidity issue. 

Disadvantages

When you sell Bitcoin, you’re essentially cashing out your investment. You’ll need to find a reputable exchange service that will buy your Bitcoin at a fair price – and this can be tricky. Not all exchange services are created equal, and some may not be trustworthy.  

Online P2P Trading

Bitcoin Online P2P Trading is one way to buy and sell Bitcoin. P2P means peer-to-peer, and it showcases the decentralized nature of the Bitcoin network. There is no central authority that controls or regulates the network; instead, transactions are processed by a global network of computers. They also offer a variety of features, such as escrow services and dispute resolution that can help to protect both buyers and sellers.  

Bitcoin ATM

Bitcoin ATMs are popping up all over the world, allowing people to transact Bitcoin without having to use a traditional exchange. Bitcoin ATMs provide a convenient way to buy Bitcoin, but they come with some risks. For one, the fees associated with using a Bitcoin ATM can be quite high.  

Methods of Withdrawing Your Bitcoin From ATM

Bank Account

There are a few different options available when it comes to withdrawing your Bitcoin. One popular method is to transfer the funds to your bank account. This can be done via a traditional wire transfer. The advantage of this method is that it is relatively quick and easy.  

PayPal & Other Payment Services

You can simply link your PayPal account to your Bitcoin wallet and transfer the funds. 

Another option is to use a service like LocalBitcoins. With LocalBitcoins, you can find people in your area who are willing to trade cash for Bitcoin. 

Cash

You can withdraw your Bitcoin through P2P systems. Several P2P marketplaces link buyers to sellers and act as agents for dispute resolution in case one of the parties wants to act suspiciously. 

Final thoughts

You can sell your Bitcoins for various reasons, but why not use a Bitcoin loan if you plan to buy them back? This way, you don’t lose out on a potential upward run.