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Search for Offers After you complete the required verification, the next thing is to search for available offers. To buy bitcoin, you'll need to search for offers unless you proceed to create ads as a merchant. Immediately after you log in, you'll be taken to the Search Offers page by default.

Enter the specs of your trade, including the currency and the payment method you wish to use, and then click Search For Offers. All available offers that suit your search will be displayed. You can then go through the available offers, select a seller whose terms you are comfortable with, and click on the Buy button to the far right of the ad. Usually, those with the best offers in terms of price are on top, so the first offer you see is the cheapest, and you may take it if you accept the seller's terms.

This is based on the seller's price, which is usually slightly higher than the official market price. Send Your Funds in Exchange for Bitcoin Now, If you're comfortable with the offer, the next thing is to make a payment for the bitcoin.

Next, write the information the seller requires, then click on the button to accept the terms and send a trade request. If the seller is comfortable with you based on several factors, including reputation , they will accept your trade, and you can finalize the payment. The bitcoin may take a while before it is deposited in your wallet. You can then use it to buy things with bitcoin or hold it as an investment. Remember to transfer to a more secure personal wallet as soon as you receive the bitcoin, because the LocalBitcoins wallet is not completely safe.

Cold wallets are preferable as they are generally more secure than hot wallets. How much bitcoin you can buy may be limited at first, but it will continue to increase gradually as your reputation improves. However, there may be a misunderstanding concerning the deal in some cases. This may be due to delays from the seller to release the bitcoin you paid for, mainly because they have not received payment—or are trying to be fraudulent.

Luckily, LocalBitcoins has a system for preventing and addressing such issues. First, the bitcoin you paid for is saved in an escrow account, and the seller has no control over it when you mark the trade as paid. Therefore, you can "Start a Dispute," and LocalBitcoins will look into it.

If it is credible, the locked bitcoin will be released to you. Go to the trade you have an issue with, and click on Report this advertisement to the right of the page. Enter the email address you want to use for contact. Your registered email address is added by default.

In the message box, write clearly the issues you have with the trade. Include screenshots of conversations and other details you think will help your case, and click the Report ad button at the bottom. The support team will review the report and get back to you with a resolution or request for more information. LocalBitcoins remains one of the most popular P2P bitcoin trading methods. Started in Helsinki in , the marketplace aims to connect those willing to sell and buy Bitcoins in a peer-to-peer way — that is, via direct user interaction without third party intermediation.

The website allows users to create listings advertisements , communicate with prospective sellers and buyers and obtain confirmation of the transaction details before finalizing a trade. Unlike centralized bitcoin trading sites and stock-like exchanges, Localbitcoins enables direct trading with individuals from all over the world. Thus, the process is lean, fast and customizable, with escrow protection ensuring safety of both traders and buyers at every stage.

The website has acquired a good reputation, with the site currently listing exchangers in cities across countries. The procedure to do that is pretty straightforward and only takes a couple of minutes. Similarly, one can click on Log in to access the user account. Buying Bitcoins Registered users can proceed to search for Bitcoin sellers right away.

Go to the main page and fill in the search form with the amount you want to buy, your location, and the preferred payment method. If you are not sure about the latter, just choose the option All online offers. Following your search, a number of potential offers from different vendors will show up. You can check the reputation, trading history, and typical response time of each vendor indicated by the color of the circle.

You can also directly communicate with them to discuss the details of the deal. Naturally, it is recommended to opt for a vendor with a better reputation and a large trading history. Once the seller has been selected, you can start the actual trade by clicking the Buy button. Here, you will see more information about the trade. Make sure you read through the terms of the trade and agree with them; if not, just go back and choose another advertisement. To start the trade, you have to specify the amount of Bitcoins you wish to buy, optionally type in the message for the vendor and click the Send trade request button.

After submitting the payment, click the I have paid button. Once the trader has received and verified your payment, your Bitcoin will be released from escrow and will be made available in your LocalBitcoins wallet. Overall, the process is quite straightforward. Besides, in case of doubt, the page features several hints on how to begin and contact the trader, how to pay online, and how to cancel the trade.

Selling Bitcoins Similarly, it is possible to sell your Bitcoins through the platform. Fill in the amount you want to sell and choose the preferred payment platform. If unsure, choose the All online offers option. NOTE: some payment methods are considered high-risk. Since Bitcoin transactions are irreversible, it is recommended to opt for low-risk payment methods. You can read more about the risk levels in the Localbitcoins guide.

Choose a trader with a large and positive trading history and click Sell. Again, you will see more information about the trade. Once you click the button, the bitcoins will be moved from your wallet to the escrow. The buyer will ask for your payment details e. After that, the buyer will pay for the bitcoins and confirm it to you.

Bitcoin payments are irreversible, so there is no way to get them back even if the money from the buyer does not show up. Once you have received the money, you can scroll down and click the green Release Bitcoins button. This will complete the trade. Security features of Localbitcoins An Escrow Service.