With the growth of the cryptocurrency sector all over the world, many people have already bought digital coins, which are also considered as digital assets. Bitcoins are the most common crypto that many people have bought at the moment because it has been doing very well. The main goal is to keep them until they gain more value and then sell them later at a profit. But the big concern at the moment is – is it legal to sell bitcoins for cash?
The answer to this question differs depending on the region where a person comes from. The country regulates the laws of trading cryptocurrency on their soil, although they do not regulate any cryptocurrency.
If you are wondering, “Is it legal to sell bitcoins for cash?” Then you need to understand the legal aspect of the country you live in or those that you intend to visit.
Selling Bitcoins for Cash in the USA
Officially, you cannot just sell Bitcoins in the USA, you have to use regulated crypto exchange platforms. The authorities have been monitoring the trading and taxing of these activities. As such, they give licenses to third-party exchange service providers. When you visit the USA, then be careful about the exchange platform that you use.
So, is it legal to sell bitcoins for cash in the USA? The answer to this question is yes and no. It all depends on the exchange you use. Coin Desk has already reported that someone has been charged by conducting an exchange using an unlicensed platform after having sold Bitcoins worth thousands.
Selling Bitcoins for Cash in Europe
Europe constitutes of many countries with different laws. So, check the laws of the country you are in. It is legal to exchange Bitcoin for cash using many exchange platforms that are regulated. But if you are doing it with an individual, then there is no problem.
- UK – Selling Bitcoins to UK citizens and those from the USA directly is not considered illegal. But if the person you are selling to is in a country where Bitcoin trading is illegal, then you might end up in trouble. Those who wish to do it through a third-party platform should only use platforms with a license.
- Turkey – Notably, this country has a lot of freedom of exchanging cryptocurrency. But is it legal to sell bitcoins for cash? Currently, there is speculation that the Turkish authorities will be going after the crypto exchanges. But as of now, people are free to trade, which is why the growth of the cryptocurrency sector in the country has grown. You can get more on this site on how to exchange Bitcoin for cash in Turkey. There is also more about trading that you can learn from such reliable websites.
- France – This country, like many others in the world, has already regulated crypto exchange platforms. You need to have a license to run the platform. This level of organization protects investors from fraudsters while getting more tax to the government. If you want to sell your Bitcoins for cash while you are in France, it would be best to use a platform with a license. Hence, the answer to the question of if it is legal to sell bitcoins for cash in France is yes. You can only do this through a licensed exchange.
- Germany – This country has interesting legislation that allows investors to buy, sell, and store digital coins. Hence, it is legal to sell bitcoins for cash in Germany. The country is among those leading in the growth of Bitcoins and other digital coins. Those who are interested in trading heavily can try Germany since there are no restrictions. However, this might change in the future as laws keep on getting amended with time.
- Russia – Since its emergence in 2009, Bitcoin has received mixed reactions in different countries. Some countries feel intimidated by the blockchain operations and the fact that they cannot operate them. But Russia has cooperated and shown interest in embracing the change brought by cryptocurrency. So, the country works together with crypto companies by giving them licenses to trade. In exchange, they get tax and business ideas on how to run a large financial institution. Is it legal to sell bitcoins for cash in Russia? The answer is yes if you use an exchange that has a license to operate.
Selling Bitcoin for Cash in Asia
Asian countries have strict rules for dealing with crypto businesses. Though this is where the trade is active, the activities are either banned or highly regulated. China, Japan, and other countries from the far east are thought to be the creators of these cryptocurrencies. So, is it legal to sell bitcoins for cash in these countries?
- China – It is illegal to buy and sell Bitcoins in China. Investors cannot openly operate a crypto exchange here. If you want to sell your Bitcoins for cash, you will have a hard time in China because banks and individuals are not allowed to trade.
- Japan – Here, things are very different. Under the Payment Service Act, digital currencies are legal property. However, those willing to operate exchange platforms should seek a license, which goes a long way to protect the buyers and sellers. If you want to sell your Bitcoins or any other digital coins for cash in Japan, look for authorized websites or institutions.
Selling Bitcoin for Cash in Africa
The continent is having a great awakening and you can still get a lot of opportunities to sell your Bitcoins or even buy them. There aren’t many legal regulations and many international exchange platforms have penetrated developing countries like South Africa, Kenya, and Nigeria to facilitate crypto trading.
Is it legal to sell bitcoins for cash here? You need to check what regulations the specific countries have on this.
As you can see, the answer to this question varies from one region to another. When you get to a country where it is legal and free to sell bitcoins for cash or any other crypto, you will have an easy time. All in all, you can trade successfully if you follow the law, except in countries where it is totally illegal.