How to Sell Bitcoin UK – Cash Out Bitcoin in Under Five Minutes
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
If you’re based in the UK and wish to sell Bitcoin (BTC) back to cash – the process will depend on where your tokens are currently stored. For instance, if your Bitcoin investment is being stored at the same broker that you made the purchase with – you can simply place a sell order. But, if you’re holding the Bitcoin tokens in a private wallet – additional steps are required.
Irrespective of your current storage method – this guide on How to Sell Bitcoin UK will walk you through the process step-by-step.
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Make no mistake about it – the safest and most cost-effective way to sell Bitcoin in the UK is to do it through a regulated broker. eToro wins hands down here – as the broker is regulated by the FCA.
Here’s a quickfire guide on how to sell Bitcoin in the UK at eToro.
And that’s it – you’ve just learned how to sell Bitcoin in the UK with an FCA-regulated broker. If the above steps are somewhat too condensed for your liking – we offer a full and detailed walkthrough further down in this guide.
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
If you want to sell Bitcoin in the UK – you will need to do this through a suitable broker. There are a number of brokers operating in this space – some of which have a great reputation. However, there are also plenty of Bitcoin brokers that operate without a regulatory license or are known to charge very high fees. As such, it’s important to do a bit of research before choosing a platform.
Below we review a selection of the best brokers allowing you to sell Bitcoin in the UK.
Next, you will need to download the eToro wallet – which is available via an Android or iOS app. Then, you will need to copy your eToro Bitcoin address and head over to the location that the tokens are currently being stored. This might be a mobile wallet or an alternative cryptocurrency exchange. Either way, once you transfer the Bitcoin tokens to your eToro wallet, you can then cash them out. Finally, you can then request a withdrawal so that the money is transferred to your UK bank account. It’s really as simple as that.
It is also important to note that eToro offers a low-cost method to sell Bitcoin in the UK. For example, there are no fees to open an account, nor will you need to pay anything to download the eToro wallet. In terms of commissions, eToro operates on a spread-only basis. This means that you will pay in the region of 0.75% to sell Bitcoin – which is very competitive. As we cover shortly, Coinbase charges 1.49% in commissions alone – which is in addition to the spread.
What we also like about eToro is that once you have opened an account – you will have access to a wide range of markets. This includes 30+ cryptocurrencies and thousands of UK and international shares. You can also trade commodities, indices, and forex. eToro also offers a Copy Trading tool – which means that you invest without needing to lift a finger. This is because you will select a trader to copy and then all future positions will be mirrored in your own account.
Pros
Cons
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
Coinbase – a US-based cryptocurrency exchange with over 56 million users, recently entered the UK market. This means that you can use the platform to sell Bitcoin in the UK with ease. Much like eToro, you will first need to register an account and provide a copy of your passport or driver’s license. This is to ensure that Coinbase complies with UK laws of anti-money laundering.
Next, you can then head over to your Coinbase wallet and copy your unique Bitcoin address. Then it’s a case of transferring the Bitcoin from your external wallet and waiting for the tokens to arrive – which usually takes 10-20 minutes at Coinbase. You will then be required to perform a manual exchange – which you can do by searching for BTC/GBP. This means that you are selling Bitcoin for British pounds and pence.
Once you complete the sale, you will see the money in your GBP wallet. Then, it’s just a case of requesting a withdrawal back to your UK bank account. Unfortunately, although it is useful that Coinbase offers a BTC/GBP market, it is one of the most expensive exchanges in this industry. In fact, the platform will charge you a commission of 1.49% to sell Bitcoin in the UK. This is on top of the mark-up it makes on the spread.
Pros
Cons
at eToro, UK’s #1 Broker
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
Binance is a super-popular cryptocurrency exchange with over 100 million clients on its books. Until recently, the exchange allowed UK customers to sell Bitcoin back to pounds and pence – and then withdraw the proceeds to a bank account via the Faster Payments network. However, the FCA has since put a block on this – so fiat currency withdrawals are no longer available in the UK.
However, Binance is still worth considering if you are thinking about selling Bitcoin for another cryptocurrency. If you are, then you will have access to hundreds of alternative crypto assets of all shapes and sizes. Whether you are interested in large-cap tokens like Ethereum, Tether, or BNB – or smaller projects such as AAVE or Decentraland – Binance will offer a market against Bitcoin.
Furthermore, the fees involved when selling Bitcoin for crypto at Binance are super low. In fact, you will only pay a commission of 0.10%. This means that by selling £5,000 worth of Bitcoin for Ethereum – you would pay a commission of just £5. We should note that Binance also offers crypto savings accounts. This means that instead of selling Bitcoin – you can earn regular interest until the market price is more favorable.
Pros
Cons
at eToro, UK’s #1 Broker
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
There are two main ways in which you sell Bitcoin in the UK. The first is perhaps the most preferable – selling Bitcoin back to pounds and pence. This would then allow you to withdraw the money back to your bank account. The other option is to sell Bitcoin for another cryptocurrency – such as Ethereum or XRP.
This would be a good option if you are looking to invest in an alternative cryptocurrency that you think has greater potential than Bitcoin. In the sections below, we explain these two core ways of selling Bitcoin in the UK so that you can select the right one for your requirements.
If you have invested in Bitcoin and wish to cash your profits out – you will need to sell back to fiat money. The only way to do this is to open an account with a broker that has the legal remit to support fiat currency deposits and withdrawals. The best broker that we came across in this respect is eToro – as the platform is authorized and regulated by the FCA.
Irrespective of the broker you decide to go with – the process is typical as follows:
Although the above process might sound a bit cumbersome – it doesn’t have to be. Crucially, if you purchased Bitcoin from an FCA-regulated broker like eToro – you wouldn’t have needed to withdraw the tokens out. This means that when the time comes to sell – you can do this from within your portfolio. As such, you don’t need to worry about transferring funds to and from a Bitcoin wallet.
If you want to sell Bitcoin in the UK for another crypto asset – there is a lot less red tape involved. This is because there are dozens of cryptocurrency exchanges that allow you to swap one digital token into another without needing to go through a KCY process.
If, however, you are looking to sell a significant amount of Bitcoin – you might need to provide a copy of your ID. This will depend on the respective exchange nonetheless.
If you are looking to sell Bitcoin for an alternative digital currency – the steps required are as follows:
Due to a lack of regulatory oversight on crypto-to-crypto conversions in the UK – you can complete the above process in a matter of minutes. On the other hand, if you want to sell Bitcoin in the UK for cash – then the KCY process is unavoidable.
If you’re still not sure about the best way to sell Bitcoin in the UK – it’s important to take a step back and do a little bit of research. After all, not only do you need to figure out whether you want to sell Bitcoin for GBP or crypto – but you also need to explore which broker is best for this purpose.
To help clear the mist, below we discuss the main factors to consider when thinking about the best way to sell Bitcoin in the UK.
There are plenty of other metrics that you might need to consider when thinking about how to sell Bitcoin in the UK – albeit, we would argue that the above are the most important.
Bitcoin is no different from traditional investment products like stocks and shares. That is to say, the overarching objective is to invest a certain amount of money and then at some point in the future – cash out at a profit. However, knowing when to sell Bitcoin in the UK can be challenging – as it’s never easy to know whether the price will continue to rise or subsequently drop.
For example, in early 2020 – Bitcoin price fell rapidly – hitting lows of around $5,000 per token. However, just over 12 months later, the digital currency hit all-time highs of $64,000. This means that had you panicked and sold your Bitcoin tokens at a price of $5,000 – you would have missed out on some significant gains.
If you find it difficult to determine the right time to sell Bitcoin, it might be worth cashing out in small increments. For example, you might decide to sell 10% of your portfolio and see how Bitcoin performs in the coming days or weeks. If things are going well, you might then cash out another 10%. However, if it looks like a prolonged downward spiral is in the making, you might consider selling a larger portion.
To conclude this guide, we are now going to walk you through the process of how to sell Bitcoin in the UK. By following the steps below – you can cash out your Bitcoin investment in under 10 minutes!
There is no way of selling Bitcoin in the UK for cash without first opening an account with a regulated broker. eToro is the best option here – as the platform is simple to use and most importantly – regulated by the FCA.
To open an account with eToro, click on the ‘Join Now’ button and enter some personal information and contact details. You will also need to confirm your email address and mobile number.
Cryptoassets are highly volatile unregulated investment products. 67% of retail investor accounts lose money when trading CFDs with this provider.
You also need to verify your identity before you can sell Bitcoin for cash. This is the case across all brokers serving UK clients. You can confirm your identity by uploading a copy of your passport or driver’s license. For proof of address, you can upload a recently issued bank statement or utility bill.
You will need to download the eToro wallet – so that you can transfer your Bitcoin tokens to the platform. The wallet comes in the form of a mobile app that is compatible with iOS and Android devices.
You can download the wallet directly from the eToro website. All you need to do is click on the ‘Google Play’ or ‘App Store’ button and you will be redirected to the relevant page.
You will now need to locate your unique Bitcoin wallet deposit address from within the eToro app. Then, head over to your private wallet and transfer the Bitcoin tokens over. The funds should arrive in 10-20 minutes.
Now that your eToro account is funded with Bitcoin, you can proceed to cash out. For this, you will need to head over to your portfolio and look for Bitcoin. Next, click on the ‘Sell’ button located next to Bitcoin and confirm the order. Within a couple of seconds, you will see that you now have cash in your eToro balance.
The final step is to withdraw the proceeds from the Bitcoin sale to your bank account. As you have already verified your identity, it’s now just a case of providing eToro will your bank account details and confirming the withdrawal.
By reading this guide in full, you now know how to sell Bitcoin in the UK. To recap, you will need a regulated broker by your side that has the legal remit to support fiat currency withdrawals. eToro is a great option here – as the platform is authorized and licensed by the FCA.
Once you’ve opened an account with eToro and downloaded its native mobile wallet – you can then transfer your Bitcoin tokens across. Finally, it’s then just a case of selling your Bitcoin tokens and withdrawing the cash to your UK bank account.