What is LocalBitcoins?
LocalBitcoins is a Finland based Bitcoin startup company. It is a platform that allows people to buy and sell Bitcoins for local currency. Users who want to exchange their Bitcoins for local currencies can post advertisements on the LocalBitcoins website, where they mention the exchange rates and the mode of payment for buying or selling Bitcoins. This website was created in 2012 and now operates in almost all countries in the world. So, irrespective of the geography you are in, you will be able to find buyers to sell your Bitcoin to, and sellers to sell, if you want to buy Bitcoins. The best part about this platform is that you can decide the mode of payment for sending or receiving.
Below is the list of various payment methods available on LocalBitcoins website:
• Cash Deposit
• Chase Quickpay
• Credit Card
• Google Wallet
• Swift (International Wire)
• Perfect Money
• RIA Money Transfer
• Specific Bank Transfers
• Square Cash
• Walmart 2 Walmart
• Western Union
You also get to exchange your Bitcoins for other major altcoins like Ripple, Litecoin and Ethereum.
Sellers can choose the price they want to sell their Bitcoin for. If you want to sell your Bitcoins through the LocalBitcoins website, you can create an ad, and you will be charged a fee of 1% of the total transaction. But if you sell to a buyer that has already listed the price they would want to pay, you don’t have to pay any fee.
The best part about this platform is the rating system they have. Just like Amazon, buyers and sellers can rate each other and give feedback. This helps you in choosing credible and reliable buyers and sellers. We recommend you to transact with the ones who have 100% good feedback, at least for the first few transactions you make on this website. You can choose to stay anonymous on this platform. However, you can request to provide an ID if you want to transact with a stranger with no feedback at all.
Below is the step-by-step procedure of selling Bitcoins through LocalBitcoins.com
Visit https://localbitcoins.com/ website
You will need to create your account by clicking on ‘Sign Up.’
Choose a username and a strong password. You will then have to confirm your email address.
Once logged in, click on ‘Sell Bitcoins’ at the top of the page.
Enter the amount of money (1000) you want to receive along with the corresponding currency (USD). You will then need to choose the country where you are located and where you want your buyers to be. In this example, we have chosen the U.S. You also get to select the mode of payment here. If you are not concerned about the payment method, we recommend you to select ‘All Online Offers’ to see the best price at which you can sell. Once done, click on ‘Search.’
As you see below, there are many interested Bitcoin buyers in your country.
In the above snapshot, we can see the buyer has a 100% good feedback rating and has traded more than 1000 times using this platform. This means that the buyer is serious and credible.
Double check the number of Bitcoins you want to sell. Since the mode of payment, in this case, is cash deposit, provide your Bank Account number and the respective details for the same. Then click on ‘Send Trade Request.’
The buyer will get a notification that says you are interested in selling your Bitcoins to them. Once they accept the sell request, you will have to send your Bitcoins to the LocalBitcoins escrow. This is the most important service this platform provides. By doing this, the buyer will not receive your Bitcoins until they have completed the payment. The buyer will contact you to let you know that the payment has been completed. Check if the funds are reflected in your bank account, if yes, click on ‘Payment Received.’ The Bitcoins will then get transferred to the buyer’s Bitcoin address. This is how you can exchange Bitcoins for cash using the LocalBitcoins platform.
If you are meeting in-person to exchange your Bitcoins for cash, be very careful. Make sure you are meeting in a public place. Ensure you have received the right amount of cash before sending Bitcoins. You also can do this at Satoshi Squares. It is a place where interested buyers and sellers meet in order to transact Bitcoins safely. They are already present in most of the countries like Toronto, San Francisco, New York, Vancouver, Boston, etc.
For the first few transactions you make using this platform, it is better to play safe by using your most preferred mode of payment. But once you gain more experience, you can experiment selling with different payment methods because you can sell your Bitcoins at a very higher price by choosing some mode of payments. Hence it is worth exploring. You also can set up an advertisement on this website in order to choose your own price and payment methods. Even if it will cost you 1% in fees, it is worth it for the convenience you get. It is essential to use LocalBitcoins escrow service, and don’t ever send your Bitcoin to the buyer before you receive the payment.