Want to start selling Bitcoin and earn big money? You’re in the right place.
As of November 2022, Bitcoin’s total value exceeds $400 billion, making it one of the world’s most valuable and expensive cryptocurrencies.
With such impressive value, it’s only natural to want to be a part of the market. Luckily, selling Bitcoin isn’t as difficult as you may initially think.
In this article, I’ll show you how to sell Bitcoin and offer some insights on why you should invest in Bitcoin as well as the problems associated with it.
- Why You Should Consider Selling Bitcoin
- Problems With Selling Bitcoin
- What You’ll Need to Sell Bitcoin
- Where to Sell Bitcoin
- How To Sell Bitcoin: Step-By-Step Instructions
- Things to Consider When Selling Bitcoin
- Frequently Asked Questions
- Similar Tutorials to Check Out
- Wrapping Up
Why You Should Consider Selling Bitcoin
Though values have declined over the past several months, Bitcoin still reigns supreme in the crypto market.
Here are some reasons why you should consider buying and later selling Bitcoin:
- Universal cryptocurrency: Bitcoin is a digital form of gold. It’s a universally-accepted cryptocurrency that can be used safely for years. It isn’t controlled by the government, either, meaning that it isn’t subject to inflation.
- Potential high return on investment: The crypto market is one of the most volatile in the industry, with values increasing and decreasing by the second. Even so, Bitcoin has long since been considered the best crypto investment due to its high demand. Bitcoin’s value rarely fluctuates below the $25,000 per Bitcoin mark.
- Great for diversification: Adding Bitcoin to your portfolio is a fantastic way to mitigate risks and maximize returns if one of your other investments fails.
- Scarcity: With only 21 million Bitcoins available worldwide, there’s a strong argument to be had that Bitcoin’s value will more than likely increase due to its scarcity. By investing some money in Bitcoin, you can capitalize on its scarcity and potentially earn more than double your investment if you sell in a few months’ time.
Problems With Selling Bitcoin
As with all types of investments, Bitcoin has its fair share of disadvantages. Some of the most notable are as follows:
Bitcoin Transfers Aren’t Regulated
In its current form, Bitcoin transfers cannot be regulated. This is both a good thing and a bad thing.
Good because your Bitcoin investment can’t be manipulated by governments, companies, and banks.
Bad because it gives hackers the freedom to scam you out of your Bitcoin.
Even with today’s advancements, Bitcoin is fraught with weaknesses that hackers can exploit.
There’s always a possibility of getting hacked while selling your Bitcoin, losing the entirety of your investments along the way.
Lack of Stability
The volatility of Bitcoin has reached new highs, dropping nearly 30% at the beginning of 2022. The crash caused panicked investors to sell the majority of their assets in fear that the value will drop even further.
Panic selling isn’t the solution to cryptocurrency crashes. You might sell your Bitcoin today for a slightly higher value than your initial purchase, but it might triple or even quadruple in value in the upcoming months or years.
It might be a smart idea to wait until the market stabilizes before selling your Bitcoin.
Competition With National Currencies
Bitcoin supporters believe that Bitcoin will soon replace fiat money (government-issued currency).
If this is true, this means that Bitcoin is competing with national currencies. The problem with this is that the government will never allow Bitcoin to be the “superior” currency.
To counteract the possibility of Bitcoin overtaking fiat money, the government will likely ban Bitcoin mining and trading. This has already happened in China and various other countries.
If you live in one of these countries, you might have some trouble selling your Bitcoin. Countries that ban Bitcoin (and other cryptocurrencies) include:
Threat of Future Cryptocurrencies
While true that Bitcoin is one of the biggest and most valuable cryptocurrencies, there’s always a possibility that it may be replaced by some other more future-proof currency – one that addresses the disadvantages of Bitcoin while retaining a superior secure network.
If one such cryptocurrency emerges, there’s potential that you’ll sell at a loss.
What You’ll Need to Sell Bitcoin
Ready to earn big profits by selling Bitcoin? Here’s what you need to get started:
- Digital wallet: Digital crypto wallets are essential for buying, trading, and selling cryptocurrency like Bitcoin. You need it to safely store your Bitcoin for future trading and validate transaction information when you’re ready to sell. Some of the best crypto wallets include Coinbase, Exodus, and Crypto.com.
- Minimum transaction amount: To start selling Bitcoin, you need a minimum transaction amount of 0.001 BTC (worth approximately $30) and 0.08 BCH (Bitcoin Cash).
- Selling strategy: There are four different ways to sell Bitcoin: peer-to-peer (P2P) trading, crypto exchanges, in-person trades, and Bitcoin ATMs. Select the most convenient strategy to get started.
- Account to store your money: Once you’ve sold your Bitcoin, you need an account to store the money you earned. You could transfer the funds through your bank account or a third-party payment service like PayPal.
Where to Sell Bitcoin
There are hundreds of marketplaces that let you sell and exchange Bitcoin. Some of the most notable include:
Bitcoin.com’s multi-coin crypto wallet not only lets you buy Bitcoin but also sells and exchanges various other cryptocurrencies.
It’s been around since 2015 and was run by well-known crypto enthusiast Roger Ver, who many refer to as the “Bitcoin Jesus.”
Ver stepped down from his position as the CEO back in 2019 but continues to use the site for his crypto transactions.
What Makes This Option Great
Bitcoin.com is a user-friendly wallet. It’s easy to set up and use, making it a fantastic option for beginner Bitcoin sellers/traders.
It’s software-based, too, meaning that it features an extra layer of security and is thus much harder to hack into.
- Fees/Commission: 0.2% fee for takers and 0.15% fee for makers. Bitcoin.com doesn’t charge fees for receiving and sending crypto assets on public chain networks.
- Payment Methods: Debit card, credit card, bank transfer, and e-services like Paypal.
Coinbase is one of the most well-known crypto wallets in the world, boasting over 103 million verified users and 9 million active monthly users.
Founded in 2012 by Fred Ehrsam and Brian Armstrong, Coinbase holds nearly $40 billion worth of Bitcoin—and that’s without the 250 other cryptocurrencies the company handles.
It’s without a doubt one of the biggest and most advanced crypto investment services in the industry.
What Makes This Option Great
Apart from Bitcoin, Coinbase supports over 250 cryptocurrencies for selling and trading, giving you the flexibility to invest in multiple cryptocurrencies in one app. It’s also surprisingly easy to use thanks to its relatively simple interface.
- Fees/Commission: 1% transaction fee for crypto transactions.
- Payment Methods: Bank account, debit card, bank wire (for large businesses), Apple Pay, Google Pay, Paypal
Exodus is a non-custodial wallet built with mainstream cryptocurrency enthusiasts in mind. It supports over 260 cryptocurrencies and an ever-growing number of features to diversify the wallet’s functionality.
Some of these features include crypto staking, live charts, NFT storage, and crypto deposits.
The platform uses payment verification and doesn’t require you to download complete blockchains to speed up transactions.
What Makes This Option Great
Exodus can carry out most cryptocurrency transactions, including buying, selling, and trading. It can be accessed through desktop, mobile, and browser-based applications, allowing you to access your account anywhere, anyplace.
- Fees/Commission: Fees are issued by the blockchain, so they vary from transaction to transaction.
- Payment Methods: Debit card, credit card, visa, bank transfer, Apple Pay
How To Sell Bitcoin: Step-By-Step Instructions
Selling Bitcoin isn’t as complicated as you may initially think. Follow these step-by-step instructions to get started:
Step 1: Create a Bitcoin Wallet
To sell Bitcoin, you need to have a dedicated wallet to store your Bitcoin in. Depending on your preferred method of storage, you can either use a cold wallet (offline wallet) or a hot wallet (online wallet).
Cold wallets minimize the risk of third-party attacks, but you won’t be able to use them in a public place or on the go.
Hot wallets, while less secure, offer ease of use and a well-designed interface, making them a more convenient option for regular traders.
Regardless of the wallet you choose, make sure it allows Bitcoin purchases, exchanges, and sales.
Step 2: Choose a Selling Strategy
There are multiple ways to sell Bitcoin. Four of the most popular methods include exchanges, P2P trading, Bitcoin ATM, and in-person. Choose the strategy that most appeal to you.
Bitcoin exchanges are the easiest way to sell Bitcoin, as trades are almost instantaneous. Crypto-to-crypto exchanges allow you to trade between different cryptocurrencies, whereas fiat-to-crypto allows you to trade government-issued money for crypto and vice-versa.
The only downside of crypto exchanges is that it charges a relatively costly service fee, whether by the blockchain or the crypto wallet.
Peer-to-peer (P2P) trading is much like exchanges, but it uses P2P platforms to search for buyers. It also allows you to sell Bitcoin without the monetary limits of an exchange. You can receive money through wire transfers, gift cards, expensive art, property, or cash in the real world.
Bitcoin ATMs do exactly what they say on the tin. Like standard ATMs, Bitcoin ATMs allow you to sell or cash out your Bitcoin with fiat currency. The value you’ll receive depends on the current trade offer.
There are more than 34,000 crypto ATMs in the US and nearly 40,000 across 77 countries.
In-person trading lets you sell Bitcoin in the real world rather than online. The buyer hands you cash and you give them access to a pre-prepared Bitcoin wallet or send Bitcoin online. Only do this option if you fully trust the buyer as in-person transactions can be extremely risky.
Step 3: Withdraw Your Money
Once you’ve completed the transaction, you can safely withdraw your money. Move your funds to your bank account or third-party payment service and withdraw through the bank or ATM.
There will be a withdrawal fee, so make sure you take that into account before proceeding with this step.
Things to Consider When Selling Bitcoin
Before you sell your Bitcoin, consider these factors:
How Much You’ll Sell
It’s always wise to hold on to investment opportunities, especially when it comes to cryptocurrencies.
Sell only a portion of your holdings to rebalance your portfolio and hang onto the rest just in case they shoot up in value in the future.
If you hold your Bitcoin for more than 365 days, you’ll be taxed with long-term capital gains.
Long-term capital gains are lower than short-term capital gains, so if you’re close to the one-year mark, you may want to hold off a little longer so you won’t have to pay exuberant taxes—especially if you’re planning to sell the majority of your Bitcoin.
Frequently Asked Questions
What is the Easiest Way to Sell Bitcoin?
The easiest way to sell Bitcoin is through a cryptocurrency exchange like Coinbase, Bitcoin.com, and Exodus. The platform will do all the heavy lifting for you, including setting a price and finding an interested buyer.
Is Bitcoin Hard to Sell?
As one of the most in-demand cryptocurrencies in the world, Bitcoin isn’t hard to sell. Depending on the platform and payment method, your Bitcoin can sell anywhere from a few seconds to a couple of short days.
The hardest part of selling Bitcoin is knowing when to sell, as you want to make the most out of your investment. That alone takes days if not months of research.
Similar Tutorials to Check Out
You might find these other articles useful:
- How to Sell on StockX: Learn how to buy and sell clothing and sneakers on StockX.
- How to Sell NFTs: Find out how to sell NFTs, from choosing a platform to pricing your NFT.
- How to Sell on Crypto.com: Crypto.com is one of the biggest cryptocurrency exchange platforms in the world, with over 50 million customers. This article gives you a step-by-step guide on how to buy, trade, and sell on the platform.
There you have it, folks; a comprehensive guide on how to sell Bitcoin! Selling Bitcoin isn’t as difficult as you may initially think.
As long as you have a wallet and a chosen selling method, whether it’s through direct exchange, ATM, or P2P, you’ll be able to start selling in no time.
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