LocalBitcoins is a bitcoin startup company based in Helsinki, Finland. Its service facilitates over-the-counter trading of local currency for bitcoins. Users post advertisements on the website, where they state exchange rates and payment methods for buying or selling bitcoins.
Uhmmm I don’t want bore you with stories so let’s get down to business, log on to www.localbitcoins.com and sign-up, set up 2FA following the same process we deployed when setting it up for Luno and Paxful.
At this moment you already have your Localbitcoins account in place so login to your account and it should look like this.
- First thing to d o when you login to your Localbitcoin account is click on “BUY BITCOIN” on the top left corner, and a form will be displayed on your screen.
- Assuming you want to redeem Amazon card of $100 then you fill the first column with 100.
- Set your currency choice to USD because the currency of our card sample is USD.
- So far our card currency is USD then definitely the country to choose is United States, so you choose that then you choose your payment option to “Amazon Gift Card Code” you will get list containing sellers you can buy from, they are arranged according to the order of ascending value with the first person on the list selling bitcoin in the cheapest rate, don’t confuse cheap for best, don’t do that mistake.
The first person on our list here is Begood01, he/she has completed over 100 sales and has 98% positive feedback, that’s good but we need the best not the good so we will skip to the number 3 on our list whose name is paybis he/she has completed over 3000 sales and has 99% feedback so that’s the best to go with, let’s open trade with him, from his offer , we can see he/she does not take cards of lower value than $25, we are redeeming $100 card so we don’t have issues with that.
Another thing we need to put into consideration is his/her rate, bitcoin worth at the moment is $3,311 but he/she is selling it for $4,405 meaning we won’t get $100 from the $100 Amazon card, to know how much we will get after a successful trade we need to divide the initial worth of bitcoin by the offering rate of our seller, by doing that we have $3,311/$4,405 =0.7516458569807037, so multiplying our result with the value of our $100 Amazon card we have 0.7516458569807037 x $100 = 75.16458569807037 that is approximately $75, so we get $75 worth of bitcoin from our $100 Amazon card. Let’s convert our $75 to Naira (NGN) to see what we have #1,187,119/$3,311 = #358 x $75 = #26,850.
By clicking on “buy”
button , it will load to a page where can interact with the seller, it is very
important that you read the seller’s terms and condition before you go ahead
and send him/her your gift card picture or code, for example the seller we want
to trade with here has it written in his/her trade instructions as follows “Amount restrictions:
– 25$-100$ – releasing BTC up to 5 min
– 101$-300$ – processing and release might take up to 48 hours
– NO e-codes are accepted
– card should be purchased for real cash
– we will ask you to provide receipt
IMPORTANT: We do not accept cards purchased in:
1. New York (NY)
2. Georgia (GA)
3. Connecticut (CT)
4. New Mexico (NM)
5. Washington (WA)
6. Hawaii (HI) ”
He/she does not accept cards lower than $25 and bigger than $100 or cards from those states listed above, so be careful to read the trade’s terms and condtions to avoid losing your card.
After your are sure you are good with the T&C then you enter the card value, it will show you the amount over bitcoin you will get after a successful trade, here we will get 0.00567438 bitcoin, converting that to $dollar we have 0.0226517668378133x $3,311 = $75.
Chat the seller and when/she replies and say you can type your card code or you upload your card then you can go ahead and upload it, most sellers need your card receipt so be sure to make the receipt available before opening the trade.
After the seller release your coin then you send it to your Luno wallet and sell it, if you don’t know how to sell bitcion on Luno then you have the read the article, I have wrote an article on it in this ebook.
You can as well sell your bitcoin on localbitcoin bye clicking on “Sell bitcoins” fill the form as follow and click on search.
Select the best buyer using the criteria we used in selecting the best seller for our $100 Amazon card, be sure the buyer can make transfer to all national bank.
Open the trade and chat the buyer, make sure he/she transferred the money to your account and you get an alert from your bank. Be sure it is not a fake alert before you release the coin for the buyer.
Most at times the rate is always favorable at Luno compared to Localbitcoin.