LocalBitcoins Review 2022

LocalBitcoins Review Summary

LocalBitcoins is a peer to peer bitcoin marketplace. It facilitates the over-the-counter trading of local currency for bitcoins. Users post advertisements on the website in which they state their desired exchange rates and methods of payment. These ads allow other users to bid for and buy items. When a user offers a product or service, the other user can choose the item or service. LocalBitcoins allows buyers and sellers to communicate directly with each other. Buyers and sellers can choose to pay using any method. The process is secure and reliable. The platform offers a variety of payment options, including built-in escrow, which allows for increased buyer security.

LocalBitcoins review
What Do LocalBitcoins Offer?

👑 Cryptocurrencies BTC
📈 Securities tradable 1 cryptocurrencies
💵 Cost per trade None
💬 Customer service Email : Yes, Phone support : No, live chat : No.
💰 Desposit Fees Fees vary
💰 Withdrawal Fees Fees vary
💰 Payment Methods Bank transfer (ACH)
🔋 Mobile app IOS App : Yes, Google Play Android App : Yes

Initially, LocalBitcoins only offered trading via Bitcoin, but gradually started adding more digital currencies that suited its decentralized standards. It has now expanded its list to include more digital currencies like Litecoin, Ethereum, XRP, as well as many others that offer promise and suit its criteria.

LocalBitcoins is a cryptocurrency platform that was founded in 2012 the current Founder is Jeremias Kangas . LocalBitcoins has headquarters in Finland and offers the buying and selling of over 1 cryptocurrencies to customers all over the world. Buying and selling cryptocurrency can be done online. If you are looking to trade crypto using your mobile phone, LocalBitcoins offers native mobile apps to buy and sell cryptocurrencies, directly from your phone.

You can use exchanges to trade one cryptocurrency for another like Bitcoin to Dogecoin. With LocalBitcoins you can also exchange your cryptocurrency with fiat currency, such as the UK Pound or US Dollar.

LocalBitcoins Review

LocalBitcoins Review

Risk warning : Trading cryptocurrencies is high risk. When trading CFDs losses may exceed deposits.

LocalBitcoins review
LocalBitcoins Best For

LocalBitcoins works best particularly for active retail traders seeking to trade as well as store multiple digital currencies, as it offers an element of convenience. The platform also happens to be a viable option for institutions and businesses looking to utilize digital currencies, and it allows traders to convert one digital currency to another.

LocalBitcoins review
LocalBitcoins Advantages

Following are the advantages of using LocalBitcoins:

  • LocalBitcoins has been in business longer than 2 years
  • LocalBitcoins offers a wide range of fiat currencies.
  • LocalBitcoins offers email support.
  • LocalBitcoins offers an Android Google Play Store mobile app.

Easy UI

LocalBitcoins is considered one of the simplest platforms for cryptocurrency investing. You can easily register and deal in digital currencies within minutes. LocalBitcoins also offers a learning platform that rewards users with cryptocurrencies to learn about how they work.

Wide Crypto Selection

LocalBitcoins has an impressively extensive range (over a hundred and growing) of digital currencies that you can trade, not to mention the most popular ones like Bitcoin, Cardano, Solana, and many more. This is in stark contrast to other financial applications or brokers that offer the promise of cryptocurrency trading but provide only a few of the most popular coins.

High Liquidity

High liquidity guards investors from price slippages in a market that is already volatile. LocalBitcoins currently ranks among the highly liquid exchanges.

Opportunities For Earning

LocalBitcoins offers an entire course of tutorials and exams as a means of educating users about digital currency trading as well as some of the digital currencies being offered. Taking classes also earns you certain digital currencies.

Cryptocurrency Custody

Contrary to brokers focused on trading, LocalBitcoins enables traders to take custody of their cryptocurrency assets for themselves. LocalBitcoins provides its cryptocurrency wallet, but traders can bring their wallets. This way, traders can pick the solution that suits them the most.

Staking Rewards

LocalBitcoins also enables traders holding digital currencies with them to take part in staking rewards. Staking is similar to earning interest with a bank account. This, however, comes with different risks. Staking generates revenue from traders’ holdings as they are utilized for validating transactions in a digital currency. LocalBitcoins shares that type of reward with its traders. LocalBitcoins takes care of the technical side, and the extra coins are sent to the trader’s account on an established schedule.

LocalBitcoins review
LocalBitcoins Disadvantages

Following are the disadvantages of LocalBitcoins:

  • LocalBitcoins does not offer PayPal as a payment method
  • LocalBitcoins does not offer Neteller as a payment method
  • LocalBitcoins does not offer Skrill as a payment method
  • LocalBitcoins charges withdrawal fees
  • LocalBitcoins offers less than 10 cryptocurrencies.
  • LocalBitcoins does not offer Livechat support.
  • LocalBitcoins does not offer phone support.

Insufficient Variety Of Altcoins

Although LocalBitcoins has a vast variety of altcoin choices for beginner investors to interest themselves in. Those seriously wanting to trade in altcoins may not find a good selection there.

Higher Fees And Their Lack Of Transparency

LocalBitcoins has higher fees compared to other exchanges. Its fee structure can also be confusing. If you are using LocalBitcoins ‘s basic platform, you will not be able to find a schedule before you proceed to place a trade.

LocalBitcoins review
LocalBitcoins Cryptocurrency Choice

LocalBitcoins allows you to trade around 1 digital currencies including BTC and many more.

LocalBitcoins review
What Cryptocurrencies Are On LocalBitcoins

LocalBitcoins has 1 cryptocurrencies available to registered users. These cryptocurrencies include BTC.

LocalBitcoins review
LocalBitcoins Stablecoins

LocalBitcoins offers its own stablecoin called LocalBitcoins. Stablecoins are meant to mitigate volatility in relation to digital currencies like Bitcoin. Stablecoins are usually pegged to stable reserve assets like the US dollar or gold. Traders can buy stablecoins on LocalBitcoins.

LocalBitcoins review
LocalBitcoins Altcoins

Although LocalBitcoins have a good offering of crypto assets, more experienced cryptocurrency investors may not find enough options for their needs.LocalBitcoins has a decent variety of altcoins for traders to choose from with over .

LocalBitcoins review
Trading Cryptocurrency With LocalBitcoins

Different cryptocurrencies at LocalBitcoins come with different limitations and set withdrawal amounts. You may only be able to trade some with fiat currencies like the US dollar. Some may also be restricted in some countries. Users can buy cryptocurrencies via debit card. They can also purchase crypto with funds in their LocalBitcoins wallet.

LocalBitcoins Crytocurrency To Crytocurrency Trading

LocalBitcoins has upwards of 1 cryptos available in multiple regions of the world.

LocalBitcoins Crytocurrency To Fiat Currency Trading

LocalBitcoins review
LocalBitcoins Cryptocurrency Custody And Ownership

LocalBitcoins allows users to take custody of their cryptocurrency assets themselves. Users can either use LocalBitcoins’s crypto wallet, or their own. LocalBitcoins also has over 134 fiat currencies available including AUD, USD, EUR, GBP, CAD, CNY & 120+ more all accessible to registered users.

LocalBitcoins review
LocalBitcoins Staking Rewards

LocalBitcoins enables customers holding crypto to take part in staking rewards. It is similar to interests in a bank account; however, it comes with its risks. This generates revenue from a user’s holdings because they are used to authorize crypto transactions. That revenue is shared with customers.

LocalBitcoins review
LocalBitcoins Fees

LocalBitcoins Users will have to pay a None trading fee as well as deposit fees of Fees vary when buying and selling cryptocurrency with LocalBitcoins.

LocalBitcoins review
LocalBitcoins Network Fee

Outgoing LocalBitcoins transactions to outside crypto addresses normally require a network fee, also known as a mining fee. This ensures the processing of transactions on crypto networks. This fee is then forwarded to crypto miners, the systems processing the transactions.

LocalBitcoins review
LocalBitcoins Trading Commissions

Trading commissions at LocalBitcoins work similarly to traditional share dealing fees. That means users have to pay a variable commission. The standard trading commission at LocalBitcoins is 1.49 percent, so users will have to pay this percentage when they buy or sell a digital currency.

LocalBitcoins review
Withdrawal Fees

With LocalBitcoins standard cryptocurrency to fiat withdraw fees varies by cryptocurrency, instant cash-out of your LocalBitcoins account. A withdrawal fee of (Fees vary) may also be required for certain 3rd party payment methods instead of using cleared bank funds.

LocalBitcoins Currency Conversion Fees

LocalBitcoins charges a percent flat fee on all currency conversions which you will have to factor into your crypto trading.

LocalBitcoins Payment Methods

The payment methods offered at LocalBitcoins are Bank transfer (ACH). LocalBitcoins also offer wallet, wire transfer, crypto conversion, ACH transfer, and credit transactions.

LocalBitcoins review
LocalBitcoins Withdrawal Methods

If you have cryptocurrency or traditional fiat currency in your LocalBitcoins account and want to withdraw it, you must use the same payment method that you used to deposit it. This is because of anti-money laundering legislation.

LocalBitcoins review
Withdraw Fiat Currency From LocalBitcoins

Users can withdraw their digital currency from LocalBitcoins to fiat at any time through an ACH transfer. Such transfers usually take 1-2 working days to complete. LocalBitcoins also allows instant cash-outs that run twenty-four-seven, to cards or bank accounts in exchange for extra fees (1 percent).

LocalBitcoins review
LocalBitcoins Security

Contrary to holding cash in a traditional bank, cryptocurrency is not secured under federal laws. LocalBitcoins stores 98 percent of its users’ cryptocurrency offline in what is known as cold storage. The remaining 2 percent is meant for facilitating trading volume. The platform also has an insurance policy that protects users’ cryptocurrency holdings.

LocalBitcoins holds its customers crypto in its free wallet service. Users can even choose to hold their cryptocurrencies in separate wallets. LocalBitcoins requires its users to finish a 2-factor authentication process to log in to their accounts. Other than that, LocalBitcoins also has biometric login (fingerprints and Face ID) security as well as AES-256 encryption when it comes to private keys. Aside from all this, it helps to use strong passwords, i.e., ones that should not be used elsewhere.

LocalBitcoins holds your cash in one of three locations: custodial accounts found at US banks, US money market funds, US Treasuries and for European LocalBitcoins clients FCA regulated European banks may be used.

LocalBitcoins review
LocalBitcoins Two Factor Authentication - 2FA

LocalBitcoins does offer two-factor authentication for added security.

LocalBitcoins Specific Device Whitelisting

Specific device whitelisting is a feature that enables cryptocurrency withdrawals to only be sent to devices that are allowed. The two-factor authentication feature is required to enable or disable the feature. This allows LocalBitcoins customers to withdraw to authorized devices.

LocalBitcoins review
LocalBitcoins Wallet

LocalBitcoins review
LocalBitcoins Online Cryptocurrency Wallets

LocalBitcoins review
LocalBitcoins Hardware Cryptocurrency Wallets

LocalBitcoins review
LocalBitcoins Liquidity

LocalBitcoins has a large amount of liquidity. In that case, wide spreads should not be a big concern. Liquidity also allows for significant transactions without any problems.

LocalBitcoins review
How To Open A LocalBitcoins Account

To open an account at LocalBitcoins, the first step to get started is to provide your name, email address, password, and the state you live in. Choose “create an account” and move on to verify your email. Once you log in, you will be asked to provide your number and verify it. The next step is to fill in your personal information and answer any questions about the account creation. After that, you verify your identity (a two-factor authentication setup is recommended). The last step is to link a payment method.

LocalBitcoins review
LocalBitcoins User Interface

LocalBitcoins has a simple, user-friendly interface.

LocalBitcoins review
LocalBitcoins Features And Cryptocurrency Trading Tools

LocalBitcoins offers features like crypto investing, custodial accounts, an advanced platform for trading, and its own designated US dollar stablecoin.

LocalBitcoins review
LocalBitcoins Ease Of Use

LocalBitcoins is fairly easy to use. The sign-up process takes only a few minutes. The overall interface is brilliant and easily navigable, with a search bar that lets you explore the crypto offerings available at LocalBitcoins.

LocalBitcoins review
LocalBitcoins Mobile Apps

The availability of mobile applications for such platforms is highly crucial for investors that are always on the go. This way, they can effortlessly place market offers, and keep tabs on live market data, i.e., shares, currencies, stock indices, commodities, etc. LocalBitcoins has highly rated applications for both iOS and Android.

LocalBitcoins review
LocalBitcoins Apple App

The LocalBitcoins app can be found on Apple’s App Store on all Apple devices, offering the same features as the desktop website.

LocalBitcoins review
LocalBitcoins Android App

The LocalBitcoins app can be found on the Play Store on all Android devices, offering the same features as the desktop website.

LocalBitcoins review
LocalBitcoins Education Resources

LocalBitcoins enables entitled customers to learn about digital currencies through their educational resources offered. Users can even unlock lessons educational content and earn cryptocurrency in the process.

LocalBitcoins review
LocalBitcoins Customer Support

LocalBitcoins registered users can request support through email, phone, live chat when available. Support options are available through the LocalBitcoins website and apps. If you have an issue that needs to be resolved you also speak to a representative by filling out a form on the LocalBitcoins website. LocalBitcoins also has a help page for solving common problems with your LocalBitcoins crypto account.

LocalBitcoins review
LocalBitcoins Phone Support

LocalBitcoins phone support can be accessed by called them on .

LocalBitcoins review
LocalBitcoins Email Support

LocalBitcoins email suport can be reached at [email protected] . Although LocalBitcoins usually respond within 2 days it may take up to 7-14 days for a response to some queries during peak times.

LocalBitcoins review
LocalBitcoins Live Chat

Customers can reach out to LocalBitcoins via live chat at any time if they have issues or difficulties with their LocalBitcoins account that they can't solve. Obtaining assistance via live chat is by far the most common means of customer service compared to other types of support.

LocalBitcoins review
What Countries Is LocalBitcoins Available In?

LocalBitcoins is available in over 100 countries. LocalBitcoins does not operate in the following countries : Afghanistan,Haiti,Iran,Iraq,Jordan,Kazakhstan,Kosovo,Lebanon,Libya,Macau,North Korea,Palestinian Territories,Panama,Sierra Leone,Syria,Yemen.

LocalBitcoins review
LocalBitcoins Account Limits

LocalBitcoins offers remarkably high limits and they depend on the user’s account level. A user’s account level is determined by the amount of information they have verified. Fully verified users can buy up to 50K USD worth crypto every day.

LocalBitcoins review
LocalBitcoins Awards

LocalBitcoins review
Can LocalBitcoins Be Trusted?

LocalBitcoins is a regulated company that is backed by major investors and holds licences for all the districts it operates in.

LocalBitcoins review
Is My Money Safe With LocalBitcoins?

Yes, LocalBitcoins is among the safest web wallets available. It keeps 98 percent of its assets in offline cold storage. Assets cannot be hacked while in cold storage. LocalBitcoins also ensures other ways to safeguard funds, i.e., two-factor authentication and AES-256 encryption. Your wallet is also covered up to 250K, courtesy of FDIC Insurance.

LocalBitcoins review
Is LocalBitcoins Regulated By A Financial Regulator?

Yes, LocalBitcoins is compliant with all applicable regulations in every jurisdiction it operates in.

How Do I Contact LocalBitcoins If There Is A Problem?

LocalBitcoins ‘s customer support can be contacted via email, live chat, and via Twitter. Users can also schedule a call from a representative by filling a form on LocalBitcoins‘s website. LocalBitcoins also has a “Help” section for less complicated issues.

LocalBitcoins Review Verdict

LocalBitcoins makes a solid choice for traders looking to trade crypto as it has a sleek, easy-to-use interface, signing up is straightforward, and most of its processes are simple. It offers a vast collection of cryptocurrencies to trade, and users can also earn staking rewards, among other things.

LocalBitcoins Compared To Other Cryptocurrency Platforms

  1. Visit LocalBitcoins alternative LocalBitcoins

    🤴 Used By: 1,000,000
    ⚡ Crypto Available: BTC and 1 more cryptocurrency.
    📈 Traded Volume: 612,000,000
    💵 Deposit Methods: Bank transfer (ACH)

    💰 Trading Fees: None
    💰 Withdrawal Fees: Fees vary
    💰 Deposit Fees: Fees vary
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  2. Visit LocalBitcoins alternative eToro Cryptocurrency

    🤴 Used By: 23,200,000
    ⚡ Crypto Available: BTC, ETH, BCH, XRP, DASH, LTC, ETC, ADA, MIOTA, XLM and 27 more cryptocurrency.
    📈 Traded Volume: 41,693,321
    💵 Deposit Methods: Credit cards, VISA, MasterCard, Diners Club, Maestro, Debit Cards, Bank Transfer, PayPal, Neteller, Skrill, WebMoney, China UnionPay, Giropay, Electronic wallets (eWallets), Ethereum, Bitcoin, Bitcoin Cash, Dash, EOS, Ripple XRP, Litecoin, Zcash, Payoneer,

    💰 Trading Fees: Fees vary. Overnight and weekend fees apply
    💰 Withdrawal Fees: US$5 (minimum withdrawal of US$50)
    💰 Deposit Fees: Fees vary (conversion fees for non-USD deposits)
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  3. Visit LocalBitcoins alternative eToroX

    🤴 Used By: 13,000,000
    ⚡ Crypto Available: BTC, ETH, BCH, XRP, DASH, LTC, ETC, ADA, MIOTA, XLM and 27 more cryptocurrency.
    📈 Traded Volume: 42,043,394
    💵 Deposit Methods: Credit cards, VISA, MasterCard, Diners Club, Maestro, Debit Cards, Bank Transfer, PayPal, Neteller, Skrill, WebMoney, China UnionPay, Giropay, Electronic wallets (eWallets), Ethereum, Bitcoin, Bitcoin Cash, Dash, EOS, Ripple XRP, Litecoin, Zcash, Payoneer,

    💰 Trading Fees: Fees vary
    💰 Withdrawal Fees: Fees vary
    💰 Deposit Fees: Fees vary
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  4. Visit LocalBitcoins alternative Crypto.com

    🤴 Used By: 10,000,000
    ⚡ Crypto Available: BTC, ETH, USDT, XRP, ATOM, XTZ, XLM, LINK, CRO, BCH and 153 more cryptocurrency.
    📈 Traded Volume: 2,630,000,000
    💵 Deposit Methods: Credit card

    💰 Trading Fees: Maker: 0.04-0.20%
    💰 Withdrawal Fees: Cryptocurrency: Fees vary
    💰 Deposit Fees: None
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  5. Visit LocalBitcoins alternative Coinmama

    🤴 Used By: 2,300,000
    ⚡ Crypto Available: BTC, ETH, ETC, BCH, LTC, ADA, QTUM, XRP, XTZ, EOS and 10 more cryptocurrency.
    📈 Traded Volume: 86,072,667,390
    💵 Deposit Methods: Bank transfer (ACH)

    💰 Trading Fees: 2.9-3.9% (depending on loyalty level)
    💰 Withdrawal Fees: Fees vary
    💰 Deposit Fees: Credit card: 5%
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  6. Visit LocalBitcoins alternative CoinJar

    🤴 Used By: 450,000
    ⚡ Crypto Available: BTC, ETH, XRP, EOS, LTC, XLM, USDT, OMG, ZRX, MKR and 42 more cryptocurrency.
    📈 Traded Volume: 64,141,140
    💵 Deposit Methods: Bank transfer

    💰 Trading Fees: Maker: 0.05-0.15%
    💰 Withdrawal Fees: Fees vary
    💰 Deposit Fees: No Fees
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  7. Visit LocalBitcoins alternative Paybis

    🤴 Used By: 700,000
    ⚡ Crypto Available: BTC,ETH,LTC,XRP,BCH,XLM,BNB,TRX,DOGE,USDT and 32 more cryptocurrency.
    📈 Traded Volume: 62,336,251
    💵 Deposit Methods: Bank transfer

    💰 Trading Fees: Fees vary
    💰 Withdrawal Fees: Fees vary
    💰 Deposit Fees: Fees vary
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  8. Visit LocalBitcoins alternative Gate.io

    🤴 Used By: 4,000,000
    ⚡ Crypto Available: BTC, ETH, ETC, XTZ, CLV, EOS, OMG, BNB, LTC, UNI and 820 more cryptocurrency.
    📈 Traded Volume: 5,945,756,067
    💵 Deposit Methods: Cryptocurrency

    💰 Trading Fees: Maker: 0.20%
    💰 Withdrawal Fees: Fees vary
    💰 Deposit Fees: None
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  9. Visit LocalBitcoins alternative Coinbase Pro

    🤴 Used By: 73,000,000
    ⚡ Crypto Available: BTC, ETH, XRP, BCH, EOS, LTC, XLM, DASH, ETC, ZEC and 80 more cryptocurrency.
    📈 Traded Volume: 7,622,846,254
    💵 Deposit Methods: Bank transfer

    💰 Trading Fees: Maker: 0-0.50%
    💰 Withdrawal Fees: Cryptocurrency: None
    💰 Deposit Fees: Cryptocurrency: None
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  10. Visit LocalBitcoins alternative Coinbase

    🤴 Used By: 73,000,000
    ⚡ Crypto Available: ATOM, BAT, BTC, BCH, XRP, DAI, DASH, EOS, ETH, ETC and 73 more cryptocurrency.
    📈 Traded Volume: 7,622,846,254
    💵 Deposit Methods: Bank transfer (ACH)

    💰 Trading Fees: Fees vary
    💰 Withdrawal Fees: Instant Card Withdrawal: Up to 2% of the transaction plus a minimum of 0.45
    💰 Deposit Fees: Credit/debit card: 3.99%
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

  11. Visit LocalBitcoins alternative Huobi

    🤴 Used By: 10,000,000
    ⚡ Crypto Available: BTC, BCH, ETH, XRP, LTC, BTG, DASH, ETC, EOS, QTUM and 320 more cryptocurrency.
    📈 Traded Volume: 924,266
    💵 Deposit Methods: Cryptocurrency

    💰 Trading Fees: Maker: 0.2%
    💰 Withdrawal Fees: None
    💰 Deposit Fees: None
    Trading cryptocurrencies can be high risk. Losses may exceed deposits when trading CFDs.

LocalBitcoins Frequently Asked Questions

Following are the most commonly asked questions (and their answers) about LocalBitcoins:

Is LocalBitcoins Safe?

Yes, LocalBitcoins is backed by high profile investors and regulated by reputed financial authorities.

How Do I Withdraw From LocalBitcoins?

Users can withdraw their crypto to fiat any time they want through an ACH transfer. Such transfers normally take 1-2 working days. LocalBitcoins also allows instant cash-outs to cards or bank accounts in exchange for extra fees.

Is LocalBitcoins Okay For Beginners?

Yes, because of how easy-to-use its web and application interfaces are, LocalBitcoins is seen as one of the best options for beginner traders.

Do I Have To Pay TAX With LocalBitcoins?

You will need to pay taxes on any cryptocurrency profit you accrue. How cryptocurrency is taxed differs on where your country of residence is and where you are in the world. In the USA federal income tax purposes, cryptocurrency is considered "property," which means the IRS classifies it as a capital asset. This means that the crypto taxes you pay are the same as the taxes you'd pay if you had a profit or loss on a capital asset sale or exchange.

Any earnings made on crypto assets held as a personal investment in the United Kingdom will be taxed. It is stated that you must pay capital gains tax only on gains that exceed the annual exempt level.

Individuals must pay taxes on cryptocurrency received as a result of mining, airdrops, confirmation incentives, and cryptocurrency acquired as a paycheck from an employer. Unless the donation exceeds the acquisition cost, crypto assets donated to charity are not subject to capital gains tax.

Check with a local accountant to check if any tax is due on your cryptocurrency trading.