Getting Started, Part 3: Selling Your Coins

Introduction

Now that you know about getting a wallet and keeping it safe, eventually you are going to want to sell your coins. In this guide, we part we will go over how you can get actual money for your coins.

Pricing

The price of cryptocurrencies can be very volatile. Bitcoins and Litecoins tend to be a bit less extreme, but this is not always the case. In the past Bitcoins went from $75 to $1000 and then back to $800 all in one day! Different trading sites offer different prices for their coins. Be sure to hunt around before you decide what trading site to use.

Selling Your Coins on a Trading Site

Selling your coins can be a lot like selling stocks. You add funds to your account and sell them when you think the price is right. There are a few main trading sites. MtGox, BTC-E, and coinbase are usually considered the main ones. Each has different advantages and disadvantages. For example, MtGox has the highest prices, but requires a lot of verification. EDIT: MtGox has been shut down, and has yet to refund any balances of either USD or BTC. Your best bet right now is probably Coinbase. BTC-E trades a lot of different types of currencies, but is a pain to withdraw money from (7% fee if you use paypal!). Coinbase (my personal favorite) has prices that are a bit lower (but still very good), but makes withdrawing money quick and painless.

Regardless of the ones you choose, always make sure your account is secure and has a long password.

Selling Your Coins Via Private Merchant

There also many people willing to buy coins directly from you. If you use this method you can sometimes get a better price than what major trading sites are offering. Be wary though, there are always people that are out to scam you. Always use an escrow service.

A good place to find private merchants is on the Bitcoin forum.

Trading Your Coins for Actual Items

If you want to skip a few steps and trade your coins for items directly, there are many retail sites that accept coins directly! The largest of which is overstock.com

Conclusion

There are many different places where you can sell/trade your coins. Obviously, the most widely adopted is the Bitcoin. As always though, whatever you do, be careful that you are not getting scammed. Hopefully if you went through this guide, you have now gotten started with cryptocurrencies!

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