Buying and selling bitcoin service is offered by many wallets and online exchanges, but not all are reliable and not all the reliable ones work in Pakistan. Many people want to invest in cryptocurrency but don’t know the procedure. In this article we will explain in a few simple steps how to buy and sell bitcoins in Pakistan.
Local Bitcoins is an international exchange that allows you to buy and sell bitcoins in Pakistan or internationally, in exchange of a local or international fiat currency. You also get a web wallet where you can keep, send and receive your bitcoins.
Making an Account
- Sign up at www.localbitcoins.com
- Verify your identity by providing a scanned copy of your ID Card or Passport. Also verify your phone number. You can still carry out transactions without verification but some traders may not accept your offer without verification, especially in case of large-scale transactions.
- To keep your account secure, it is advisable to enable Two-Factor Authentication. To do this, go to Account Security and Enable Two-Factor Authentication. This will give you a secret key and a QR code. Save the given key in another place to help you restore your account if the need arises.Install Google Authenticator App in your mobile phone and scan the given QR code displayed on the website. This will synchronize Local Bitcoins with your Google Authenticator and enable your Two-Factor Authentication. The next time you sign in, Local Bitcoins will ask for your Authenticator code along with your password. Your Authenticator code is displayed on your Google Authenticator app and changes from time to time.
How to Buy Bitcoins
- Go to “Buy Bitcoins”. Choose the country and mode of payment e.g. Easy Paisa, Bank Transfer, Transfer with a Specific Bank, or Credit Card. If you are paying through a credit card or any other online platform such as Payoneer, you can also look for options in other countries, and not necessarily look for sellers in Pakistan.
- You will see a list of traders willing to sell bitcoins at different rates. Here, you need to choose a seller who is offering you the best rate (preferably the lowest), but has an overall trustworthy reputation on the site. Click on the seller’s name to view their profile. An ideal seller would be the one with more than 100 confirmed trades, a 100% feedback score, and lowest bid offer.
- Click “Buy” and enter your transaction details.
- Once you make the Buy request, the bitcoins are held in escrow protection and localbitcoins releases the bitcoins to your account only when the seller confirms receiving the payment.
How to Sell Bitcoins
- Go to “Sell Bitcoins”. Choose a country and mode of payment e.g. Easy Paisa, Bank Transfer, Transfer with a Specific Bank, etc.
- Based upon your search options, you will get a list of traders willing to buy the bitcoins. Here again, you have to keep in mind the reputation of the buyer. Your prospective buyer should be the one with at least more than 100 confirmed trades, a 100% feedback score, and highest bid.
- Click “Sell” and enter your transaction details.
- When you make the request, your bitcoins will be held in Escrow by localbitcoins.
- Once you receive the payment, go to the Transactions tab, open the particular transaction and click “Release Bitcoins”. The buyer will then get the bitcoins transferred to their wallet.
With bitcoins in your web wallet, you can send them to other online exchanges and invest in different cryptocurrencies . Some exchanges e.g. Bittrex, only allow transactions in exchange of Bitcoin; whereas some e.g. Bitstamp, allow fiat-to-crypto currency transactions. In the next article, we will explain how to buy Litecoin, Ethereum, and other altcoins in Pakistan.