How to sell bitcoin for profit, earn passive revenue with our affiliate program and get paid as a merchant.
Selling bitcoins on Paxful is easy and safe.
This tutorial is going to explain an overall step-by-step guide on how to sell bitcoins through Paxful. The guide was made to help you better understand the process and make you aware of some risks that you may face when selling your Bitcoin on the site. The current guide will help to find existing offers. If you want to create your own offer, please check this guide.
Hover over the “Buy Bitcoin” button and click “Sell Bitcoin”.
Set your preferred offer requirements:
- Choose your preferred payment method from a list of over 300 payment methods.
- Select the amount you’ll be spending.
- Choose the currency you wish to deal in.
- Select a country.
Сlick “Search For Offers” and you will see a list of offers to choose from. Remember to look at every detail of each offer as all of them are important in finding the right offer: rate per Bitcoin, buyer’s reputation/activity etc.
Choose an offer and click “Sell”. This will not start a trade but will guide you to the offer details.
Please note: You can click on a user to open his profile for more details on your potential trade partner. Note the user’s reputation, activity, verification level, BTC volume, amount of trusted by or blocked by, when the user joined Paxful.
Read the offer terms and decide if the offer conditions fit you.
Once you read through the buyer’s offer terms and are happy with them, enter the amount you are willing to trade for and click “Sell Now”.
Now trade is open with the instructions and the chatbox. Your bitcoins are in the secured escrow connected to the trade.
Follow all instructions of the offer owner: send the required files and documents, provide necessary information for the payment.
Make sure you receive funds from the buyer. The buyer must confirm within the trade that he has paid you.
Click “Release bitcoins”. Bitcoins will go from trade escrow to the buyer’s Paxful wallet.
- Once a trade has started the amount of BTC in escrow is fixed. It will not change according to fluctuations!
- Do not click “Release bitcoins” button unless you are 100% sure about receiving the payment! Please check our tips on how to protect yourself from scammers.
- The BTC amount transferred to trade escrow includes a Paxful fee.
- You cannot cancel the trade before the time limit runs out.
- You cannot cancel the trade if the buyer confirmed making the payment.
- If you see that your trade partner is acting against our Terms of Service, you can start a dispute and wait for our Moderators to step in the argument.
- You can also register a report, which will be filed on the buyer’s profile and will be viewed and investigated later by our dedicated department.
Now bitcoins are released to the buyer’s wallet and you have received funds with your preferred payment method.
- After a trade, you can always download a public receipt.
- Public receipt:
- Do not forget to leave feedback to your trade partner. Feedback on our platform creates your reputation and is extremely valuable for each user.
Here are some of the more popular payment methods for buying and selling bitcoins:
- Want $1-$30? Gift cards might be a good option for you. There is a wide variety of gift cards available on Paxful such as iTunes, Target, Amazon, Walmart, BestBuy, or Gamestop. You can also use OneVanilla prepaid gift cards as well. Just buy one at a drug store and search for a good deal.
- Want to buy with a debit, credit, or prepaid gift card? Some vendors may ask for ID and the price might be a little bit higher than other payment methods, but you will get your bitcoins instantly.
- Want the BEST PRICE? Buy with bank cash deposit. Start talking to a vendor and get his bank account number and deposit the cash to the teller. You won’t even need a bank account as you’re paying with cash anyway.
- Want to buy bitcoins with PayPal, Netspend, Skrill, or other online wallets?
Rules for selling bitcoins
Being a Paxful vendor can be very profitable if a few basic rules can be followed.
To get you started, we’ve compiled a few tips to make selling bitcoin not only easy but safe and secure as well:
- You, as a Vendor, should accept ALL risks and liabilities that come with trading. It is up to you to protect yourself.
- No brokering is allowed. This applies to gift cards. Brokering is when you buy a gift card code from someone, thinking you can sell it later to someone else. This goes against the Paxful Terms of Service and is strictly prohibited.
- You must be responsive to buyers. If you are not at your computer, then please take down all your offers. When a customer shows up, say “Hi” and let them know you are ready to trade and help them.
For example “Hi, I am ready to help you, please follow the instructions and you can have your bitcoins in no time!“. Hardly sounds like something you need to mention to any sane merchant, but you’d be surprised how many vendors leave their offers up and take a nap or don’t think that responding to buyers is necessary; that they should just read the instructions or wait for them for a half hour. 50% of cancelled trades are due to an unresponsive vendor.
- You must maintain a civil tone with your customers at all times. No foul language or abusive tone is allowed. It’s bad for business.
- You must have full offer terms and trade instructions in simple short bullet points.
- If the release of bitcoins happens NOT instantly and you have a specific time frame for the payment confirmation. This must be clearly stated in your offer terms and trade instructions. You as a vendor must make sure that the buyer understands that the release of bitcoins may be reasonably delayed. Release time may not exceed the time stated in your terms. (Remember that Paxful advertises p2p service as instant.)
- Clear and short offer TERMS. This is what you, as a vendor, expect from the customer to complete the purchase. The buyers see this BEFORE the trade begins. It may contain important information about the trade (Ex. things like uploading an ID, uploading a cash receipt, telling them they need to have a physical gift card etc..) There are already many offer tags for the most common terms but CUSTOM terms must be clear and concise. You should use bullet points, be as straightforward as possible, and cut out any and all unnecessary text. Remember! Buyer's don't like complicated terms. Clear offer terms also help cut down disputes and give you a much better standing with Paxful moderators during a dispute. Never ever leave this blank, a buyer will just skip you and find someone else otherwise. Learn how to write optimal offer terms here.
- You must have full simple trade instructions of exactly what you want them to do. Use bullet points to keep it short and sweet. Click here for some tips on how to write good trade instructions.
- Provide your customers with helpful aids and examples if necessary. For example, if you require them to upload a selfie with photo ID, then put an example picture (one with face and details blurred out).
- You may not use multiple accounts to get an advantage in the number of listed offers or its position in the list. This is an unreasonable advantage in the natural market competition which is considered as system abuse.
- It’s important that you know what the minimum trade amount is on Paxful. Currently, the minimum trade amount is 10 USD to buy bitcoins. If you are selling bitcoins, the minimum is 0.001 BTC.
- No using 3rd parties for payments. You as a vendor are the person responsible for accepting and processing payments. If you have no control over the payment and you transfer responsibility to others this can be considered as fraud.
- No off-escrow trades allowed, no sharing contacts or off-site communications. It’s important that you DO NOT give other users your contact info for external trading. Paxful escrow must be used at all times or else you will be banned. No exceptions. This helps to prevent you from being reported for off-escrow trading and unnecessary provocation.
- No negotiation. The buyer of bitcoins must pay the exact price that is set for this trade. If the seller needs to make an adjustment, trade must be re-opened for the correct amount.
Stick to the rules above and you should be able to make a very profitable living on Paxful.
- To avoid gift card de-activation, ask for a receipt and make sure the gift card is bought with cash.
- Watch out for card re-sellers. If the card was obtained from 3rd parties there is a risk that card becomes invalid during or after the trade. Ask everyone to provide a picture with your username and trade ID.
- Be careful when accepting e-codes or gift cards bought with debit/credit cards as any debit/credit card purchase can be charged back.
- This is the payment method with the least risk but the smallest profit margin but purchase amounts are higher compared to gift cards.
- Make sure the buyer deposits cash to your name and asks for the receipt.
- Make sure that you are trading with is the actual person making a deposit. Avoid 3rd parties involved in doing deposits.
- First, make sure that the buyer’s account is verified on that wallet (i.e verified PayPal account)
- Ask for the ID of the buyer. Make sure the full name matches on both the ID and the online wallet account.
- Note that it could be easily charged back since every payment is tied to a debit/credit card. If you want less risk, make sure that the buyer is sending the payment from their PayPal balance instead of a debit/credit card.
- Make sure that you are trading with the owner of the account and no 3rd parties involved.
- For extra precaution, you can ask the buyer to write, on a piece of paper, the confirmation of the purchase of bitcoins along with the trade ID, amount, and that the payment as final. You can then tell the user to take a picture of that. In case of a chargeback, you can show it as evidence.
- This method is just as risky as online wallets as you could easily be charged back. The tips for avoiding the risks for this are the same as online wallets except that the name of the debit/credit card has to match with the one on ID.