Rules for Selling Cryptocurrency

Modified on Thu, 20 Jul 2023 at 05:25 PM

If you are a Paxful seller, make sure to follow our basic rules when selling cryptocurrency to keep the marketplace safe and secure.

Accept your responsibility for possible risks

We at Paxful do as much as possible to increase the level of security on our platform. However, you, as a seller, should accept all the risks and liabilities that come with trading. It is up to you to protect yourself from malicious users and obvious scams.

Check out our security guide and safety tips for more information.

Brokering gift card codes is strictly prohibited on Paxful

Brokering is when you buy a gift card code from a third party and resell it later to someone else. This goes against the Paxful Terms of Service and is strictly prohibited. This rule applies both to e-codes and physical gift cards.

Be responsive to buyers

If you are not at your computer, please deactivate all your offers. You can easily do it from your Dashboard. This will also help you avoid having your cryptocurrency locked in a trade escrow if a buyer starts a trade during your absence.

When a buyer starts a trade with you, say “Hi” and let them know you are ready to trade.

Example: “Hi, I am ready; please follow the instructions, and you can have your cryptocurrency in no time!“. This message may sound too simple and obvious. However, according to our statistics, a high number of canceled trades are due to an unresponsive seller. Please show the buyer that you are ready.

Maintain a civil tone with your trade partners

Offensive language and disrespectful tone are not allowed on our platform. Be understanding of buyers, as some of them may lack trading experience. If you face any serious issue with your trade partner, do invite our moderators by starting a dispute.

Write down clear offer terms and trade instructions

Have both offer terms and trade instructions in a simple, short, bulleted or numbered list. Read more on how to write good offer terms and trade instructions. This is relevant when creating your own offer.

If you have special payment-related procedures that may delay the release of cryptocurrency for a longer period, make it clear to the buyer. This must be clearly stated in your offer terms and trade instructions. You must make sure that the buyer understands that the release of cryptocurrency may be reasonably delayed. The release time may not exceed the time stated in your terms. (Remember that Paxful advertises p2p service as instant.)

Write concise offer terms. The buyer sees the offer terms before he starts the trade.It may contain important information about the trade.

Example: uploading a photo of an ID, uploading a cash receipt, accepting physical gift cards only, etc.

Note that buyers avoid offers with complicated terms. Clear offer terms also give an advantage in the event of a dispute. 
Never leave this section blank while creating an offer.

Write clear trading instructions. Trade instructions are shown to a buyer once a trade starts. Instructions give additional guidance to your trade partner and should consist of clear steps.

Provide your customers with helpful aids and examples if necessary. For example, if you require them to upload a selfie with a photo ID, then put an example picture.

Be aware of the minimum trade amount on our platform

It’s important that you know what the minimum trade amount set on Paxful is. Currently, the minimum trade amount is 10 USD to buy cryptocurrency. If you are selling cryptocurrency, the minimum is 0.001 BTC.

Do not use third parties for payments 

You are the person responsible for accepting and processing payments. If you have no control over the payment and transfer responsibility to others, this can be considered fraud.

For example, in the case of bank transfers, you should be the account owner, in the case of altcoins, you should be the owner of the wallet, etc.

Off-escrow trades are not allowed

It’s important that you do not give other users your contact information to do a trade outside of the Paxful trade flow. 

Paxful escrow must be used at all times, or your account may be banned. By avoiding paying escrow fees to our platform while trading outside our escrow service, you expose your BTC to much higher risk, as our investigation team will not be able to assist you in the event of an argument.

Price negotiations are strongly forbidden.

A buyer of cryptocurrency must pay the exact price that is set for trade. If during a trade both sides agree to change the amount, a new trade must be re-opened for the correct amount. Price negotiations within the same trade are against our Terms of Service.

Check out our guide on how to sell cryptocurrency on Paxful to have an overview of our trade flow.

If you need any assistance from our Support team, do not hesitate to contact us. Check out this article on How to Contact Support.