How To Sell Bitcoin In Australia (8 Easy Ways)

Updated: Jan 11th, 2022
Kevin Groves
Kevin Groves
How To Sell Bitcoin In Australia (8 Easy Ways)

Bitcoin has seen astronomical growth in the last 12 months with a increase global adoption and suitability as a potential hedge against inflation. The spike in demand has seen the price of Bitcoin exceed $50,000 and investors thinking about when is the right time to sell Bitcoin? This is a difficult question to answer as it depends on various factors. However, we will help provide guidance on how to cash out of Bitcoin using the best exchanges in Australia when the time is right.

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How To Sell Bitcoin In Australia

To covert Bitcoin to cash or crypto in Australia, follow these steps:

  1. Create an account with an exchange like Swyftx
  2. Complete ID verification
  3. Enter in bank details
  4. Transfer the Bitcoin (BTC)
  5. Find BTC/AUD or crypto pair
  6. Enter the amount to sell
  7. Click 'Sell' to convert Bitcoin
  8. Withdraw AUD or crypto

Best Places To Sell BTC In Australia

The best place to sell Bitcoin in Australia is using a digital currency platform that is regulated in Australia. The table below provides a comparison of exchanges in Australia to cash out of Bitcoin based on our reviews.

ExchangeCrypto AssetsTrading FeesRatingPromotionWebsiteReview
Swyftx Logo

Swyftx

280+0.6%
Overall 4.8/5StarStarStarStarEmpty Star
$20 Bitcoin for creating a verified accountVisit SwyftxSwyftx Review
Digital Surge Logo

Digital Surge

2700.5%
Overall 4.7/5StarStarStarStarEmpty Star
$10 Bitcoin for creating a verified accountVisit Digital SurgeDigital Surge Review
CoinSpot Logo

CoinSpot

320+1%
Overall 4.6/5StarStarStarStarEmpty Star
None available at this timeVisit CoinSpotCoinSpot Review
Coinjar

Coinjar

491%
Overall 4.3/5StarStarStarStarEmpty Star
None available at this timeVisit CoinjarCoinjar Review
independent reserve logo

Independent Reserve

260.5%
Overall 4.2/5StarStarStarStarEmpty Star
None available at this timeVisit Independen...Independent Reserve Review

Exchange Comparison To Sell Bitcoin

Our review and assessment of the best exchanges in Australia to cash out of Bitcoin is based on important factors such as ease of use, reputation, fees, security and live support.

1. Swyftx

Swyftx is our top-rated exchange to sell Bitcoin into AUD or another cryptocurrencies. The platform offers the most crypto assets in Australia which can be traded for Bitcoin. Individuals can sell Bitcoin to AUD and withdraw directly to a bank. The withdrawal takes between 1 and 3 business working days. Other great features such as a mobile app and a tax calculator to assist with declaring any capital gains.

swyftx australia websiteswyftx australia website

2. Digital Surge

Digital Surge is an Australian crypto exchange provides a fast and easy way to sell digital currency to AUD. The platform has focused on providing a beginner-friendly exchange website for everyday Australians to cash out of crypto assets. The exchange is focused on simplicity which starts from the verification process which is automated. That means, users can sell BTC quickly and easily in a few steps.

3. CoinSpot

CoinSpot was founded in 2013 and has built up a solid reputation and trustworthy image for an Australian cryptocurrency platform. The exchange is focused on helping newcomers to sell Bitcoin and cryptocurrency in Australia into AUD. Coinspot has historically been one the best place to sell Bitcoin over the last few years.

4. CoinJar

CoinJar is a trusted crypto exchange in Australia and also one of the longest-running digital currency exchanges. CoinJar allows users to sell digital assets. With over 400,000 users and counting, CoinJar exchange is one of the best places to sell Bitcoin that will suit both beginners and experience investors.

5. Independent Reserve

Independent Reserve is licensed cryptocurrency exchange in Australia that provides a stable and secure platform for individuals to buy/sell 26 of the most popular digital currencies. The exchange was founded in 2013 and has gained the trust of over 200,000 individuals and 8,000 SMSF accounts.

independent reserve websiteindependent reserve website

Popular Ways To Convert BTC to AUD

There are several ways for Australians to sell Bitcoin which largely depends whether the customer wants to convert BTC to AUD or sell Bitcoin to trade for a different coin. Each method of selling Bitcoin will comprise of different effort levels and fees that must be considered before making any transaction.

1. Sell Bitcoin Using An Exchange

Creating an account with a regulated and trustworthy exchange in Australia is the safest and best way to convert Bitcoin into AUD. The exchange allows users to deposit Bitcoin to a secure wallet which can then be converted into cash and withdrawn to a bank account.

Australian crypto exchanges can also be used to convert Bitcoin into other digital currencies such as EthereumLitecoinXRP or other altcoins. Using a local exchange provides the individual with the flexibility to instantly sell Bitcoin into cash or another crypto when the price is at a desirable value.

To sell Bitcoin to cash using an exchange, follow these steps:

  1. Create an account with an exchange like Swyftx
  2. Complete ID verification
  3. Transfer the Bitcoin (BTC)
  4. Find the BTC/AUD pair
  5. Enter the amount to sell
  6. Click 'Sell' to convert Bitcoin
  7. Transfer AUD to bank account

2. Sell Bitcoin Cash In Hand

Bitcoin can be sold for cash in person with a trusted friend or family member who are willing to pay with Australian dollars. A mobile phone wallet or laptop will be required to send the Bitcoins to the buyers address and to confirm the transaction on the blockchain. The downside with this method is the speed of the overall transaction process.

3. Sell Bitcoin Using A Peer To P2P Platform

Peer to Peer (P2P) exchanges such as Paxful connects willing buyers and sellers on the internet. Sellers can advertise their order on a P2P exchange and the preferred payment method to receive money in AUD. These platforms do not always require the buyer or seller to complete ID verification. However, use an escrow service to ensure the transaction is completed on both sides before the Bitcoin is released.

4. Convert Bitcoin To Gift Cards and Spend

Bitcoin owners that want to cash out and remain anonymous can convert Bitcoin into a gift card using a P2P platform. The payment method is not common so will be limited opportunities for find a buyer. There are websites such as Bitrefill that accept Bitcoin as payment to purchase a gift card which can then be spent like money.

5. Withdraw Cash From Bitcoin ATM

Bitcoin ATM's can be used to convert Bitcoin into AUD by transferring the asset to the machine's Bitcoin wallet address. The conversion rates and fees are generally higher however is an option for individuals that don't want to use a digital currency platform.

6. Pay Bills With Bitcoin

Cryptocurrency platforms like Digital Surge offers its users the ability to pay bills with Bitcoin. This means the owners do not need to liquidate their Bitcoin holdings into cash to spend on daily living expenses. The platform can be used to pay any Australian bill or credit card statement using Bitcoin (BTC).

7. Spend Bitcoin Using A Crypto Debit Card

There are several Bitcoin cards on the market that allow investors to spend BTC (instead of selling it to cash) at any online merchant, store, shop and ATM that accepts debit card. Platforms such as Coinbase, Binance and Crypto.com offer VISA debit cards which can be used to purchase goods and services. The card will automatically sell the stored Bitcoin into the accepted fiat currency (e.g. AUD). 

8. Lend Out Bitcoin To Get A Cash Loan In AUD

This method will be suitable for individuals that need to sell Bitcoin for money to pay for everyday living expenses. Lending and borrowing platforms such as BlockFi and Nexo allow Bitcoin-holders to loan out their BTC in return for a cash loan.

How To Pick The Best Place To Sell Bitcoin

Finding the best way to sell Bitcoin will depend on individual circumstances at the time. There is no single best method, however when deciding on where to sell the investor needs to ask:

  • Should I sell Bitcoin to AUD or another cryptocurrency?
  • Do I want to sell Bitcoin now or wait for a higher price?
  • How do I want to receive the payment?
  • Should I sell Bitcoin instantly and pay higher fees or use a limit order?
  • How much am I willing to pay in exchange fees?

To assist with the decision, the individual should consider the following criteria when deciding to use a crypto exchange to cash out and receive money in an Australian bank.

Check The Prices

Check the prices between the top-rated exchanges in Australia to see which platform offers the best prices and lowest spreads. This can be confirmed by looking at the difference between the bid and ask price. A larger gap means there is a premium called a spread that will reduce the amount of AUD received when selling Bitcoin.

Trading & Withdrawal Fees

Two costs that need to be considered is the conversion and withdrawal fees. The trading fee is the cost to fulfil the transaction and can range between 0.1% and 1% per sell order. It is important to also check the spread (as mentioned above) when determining what the cheapest platform is. For withdrawals to a bank account, there can sometimes be a small fee.

Withdrawal Types & Limits

For individuals that prefer to sell Bitcoin into cash, check the exchange supports withdrawals to an Australia bank account. Not all exchanges support fiat currency withdrawals or to a bank account. For high-net worth investors, the maximum daily withdraw limit is an important aspect of choosing an exchange. The withdraw amount per 24 hour period can usually be increased with additional verification.

Customer Support

Withdrawing funds from an exchange can be a challenging process for beginners. While most exchanges will provide a customer support section with FAQ's and How-To guides, check if there is a live chat feature or direct email address.

Reviews & Social Media

Feedback from other investors can be a a powerful tool to provide insight into their experience using the exchange. Check social media platforms such as Facebook and Twitter as well as credible forums such as Bitcointalk.org.

Frequently Asked Questions

Bitcoin can be cashed out into fiat currency such as USD, AUD, EUR and GBP using an exchange to spend as real money. The best method to sell Bitcoin is using a cryptocurrency exchange that supports the local currency with zero fees to withdraw to a bank account. There are also options such as Elbaite which have 0% trading fees to cash out of Bitcoin and Ethereum to Australian Dollars.

Knowing when to sell Bitcoin is one of the hardest things to know as there is no right or wrong answer to this question. It depends on your financial circumstance, risk appetite and what price you paid for it. To maximize your fiat profits you need to buy low and sell high. So, don't be afraid to take profits if you were fortunate to buy on the dip. Remember, Bitcoin is a highly volatile asset so we caution all investors to never risk more than you can afford to lose and avoid buying or selling based on FOMO or FUD.

The quickest way to liquidate Bitcoin into cash or another cryptocurrency is on a trading platform. Crypto trading platforms offer high liquidity to convert Bitcoin into fiat currency or altcoins. Once an account is create and the user's ID is verified, Bitcoin can be deposited and sold almost instantly.

It is important to check the exchange allows the selling of Bitcoin to fiat currency as not all global trading platforms are supported in each country due to regulations. Furthermore, there are each exchange can offer various withdrawal methods, daily limits and fees.

Coinbase allows residents in Australia to purchase Bitcoin using a debit card, however does not provide the option to sell Bitcoin back to AUD. Bitcoin owners in Australia that used Coinbase will need to transfer the asset to a local exchange that supports withdrawals to an Australian bank account.

Conclusion

We hope this guide was useful to explain how to sell Bitcoin into cash or crypto. Just remember any gains that you make as a result of selling Bitcoin need to be recorded under the capital gains tax (CGT) rules. So it's a good idea to consider using Swyftx and Independent Reserve to withdraw cash to your account as they both have a very helpful tax calculator.

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Kevin GrovesKevin GrovesKevin Groves

Kevin is the founder and chief editor at HedgewithCrypto that he started in 2019 which has reached over 1.5 million visitors worldwide. He is passionate about cryptocurrency as an emerging technology and is heavily involved in the fast-growing fintech space. An experienced trader growing his portfolio since 2016, he has a strong understanding of investing in the crypto market using exchanges, brokers and derivatives platforms.

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