How and Where to Sell Crypto in Denmark in 2022

Many Danish crypto users are in profit this year, after huge corporate adoption and a bull market that put Bitcoin on the world stage.

If you’re thinking of selling, you’re not alone! However, there are a lot of moving parts when it comes to safely selling Bitcoin and crypto online.

Exchange fees and security, taxes, regulations — it’s best to do your research before getting started. Luckily for you, we’ve done that research already! Let’s take a look.

How and Where to Sell Crypto in Denmark

We’ve made a list of the best exchanges you can use to cash out of cryptocurrency. However, first, we’re going to take a look at the situation with crypto taxes in Denmark.

Quick Guide: How to Sell Crypto in Denmark

There are two main ways you can sell your crypto in Denmark. You can either sell your crypto for fiat currency such as Danish Krone (DKK) or you can sell your crypto for another cryptocurrency such as Ethereum or other altcoins.

If you want to sell crypto like BTC for another digital currency, follow this quick guide on how to do so.

Register on an exchange like CryptoWallet.com with your email address and other personal details.
Deposit BTC from a relevant wallet address into your account.
Go to the trading section of CryptoWallet.com and select your desired BTC currency pair. e.g BTC/ETH.
Type in the amount of BTC you want to sell and review transaction details of the trade.
Click on sell BTC.

Where to Sell Crypto in Denmark

There are several exchanges where you can sell your crypto in Denmark for fiat currency or another crypto. You can sell your crypto in reputable centralised exchanges like Coinsmart cryptocurrency exchange, Bitpanda, eToro, Coinbase, Coinmama, Bity, Bitstamp, Bitfinex, Binance, and Cex.io.

While choosing an exchange to sell crypto you need to consider some crucial factors like their reputation, the number of supported cryptocurrencies, trading fees, etc, to choose the best exchange that suits your trading level and needs.

Selling Crypto for Danish Krone

If you want to sell your crypto for Danish Krone, here’s a step by step guide on how to go about it:

Once you’ve created an account with an email address and other details, make sure you enable 2-factor authentication to protect your account from getting hacked. Deposit Bitcoin from your cryptocurrency wallet into the deposit address of your exchange account.

Search for the trading pair you want to sell that includes DKK. For instance the BTC/DKK trading pair. And enter all the details of the transaction.
Review the details of the transaction and click on sell
Withdraw your DKK to your bank account by following the prompts displayed

Tax on Crypto – What are the Rules in Denmark?

The tax laws of Denmark also apply to Danish tax residents who trade cryptocurrency within and outside their country of residence. If you buy cryptocurrencies to make profits after selling them, it’s regarded as speculation. Hence, you have to inform the Danish Tax Agency of your profit or loss when you sell your cryptocurrencies.

Whether it’s a profit or loss that you realize from a transaction, you must fill it in your tax assessment notice. Enter your profit in box 20 and your loss in box 58 in the tax assessment notice.

If you receive airdrops, you are liable to pay taxes on the value of the airdrop you received at the time it was sent to you assuming the value is not insignificant.

If you bought your digital coins as part of a large mining and trading business, you’re liable for paying tax if the following factors are considered:

The frequency and number of cryptocurrencies traded
The suitability of the cryptocurrencies to return a profit
The professional and systematic features of the business, among others

If you’re filing a personal income tax return for your personal trade, the tax on gains is roughly 56%, while the deductible losses are about 30%.

If you are registered as a crypto trading company, your gains and losses will be taxed at the rate of 22%.

Gifted cryptocurrencies and tokens secured from ICOs are currently tax-free in Denmark.

How to Choose the Best Way to Sell Crypto

When comparing the available options on the best way to sell crypto in Denmark, you need to consider the following;

Price. Consider the exchange rates offered by the platform and go for the best one that suits your trading needs.

Fees. Check if any trading fees apply and whether there’s a fee for withdrawing funds into your bank account or crypto wallet. Also, consider if their rates align with the current market rates or they have a fair market rate.

Trading and withdrawal limit. Consider if there is any limit on the minimum deposit allowed, the amounts of Bitcoin you can sell, or on the maximum limits of DKK, you can withdraw from your account on the exchange.

Security features. Look out for the security measures in place to help protect your funds and your private data by the exchange.

Customer support. Consider how easy it is to reach out for help when you run into issues in your exchange account and the available hours that support is available.

Reputation and reviews. Take out time and read online reviews and check crypto forum posts from other users to find out how reputable and trustworthy an exchange is before making use of it for trading.

CryptoWallet.com is a crypto banking service as well as an exchange, allowing you to use a crypto debit card to spend crypto on anything you like! Buy and sell BTC, LTC, ETH, XRP, and USDT, earn passive income, open a bank account and pay bills in crypto — there are many services on offer.

All funds are protected and insured, and users can activate two-factor authentication (2FA) for an added layer of security.

Ready to order your first crypto debit card? Download the app today!

Supported Cryptocurrencies: 100s of cryptos like BTC, LTC, ETH, XRP, and USDT
Fees: Fees vary based on trading activity

Pros (What We Like)

Spend crypto as real money in any store or online
Earn passive income by signing up new users
Open an IBAN and pay bills in crypto
Trade on the go anywhere, anytime

Cons (What We Don’t Like)

Mobile only

eToro is a beginner-friendly social trading site that allows traders to copy the trades of successful investors. It offers over 2300 instruments like exchange-traded securities, forex, CFDs, and major cryptocurrencies. Traders can deposit currency into their accounts using a range of payment methods like online bank transfers and PayPal.

Supported Cryptocurrencies: It supports 16 cryptocurrencies including Bitcoin
Fees: Trading fees vary

Pros (What We Like)

Allows users to partake in cryptocurrency and forex trading
Has a demo account for newbies
Has a copy trade feature

Cons (What We Don’t Like)

High trading fees
Minimum deposit of $200

Bitpanda is one of the leading cryptocurrencies exchanges in Europe. It was established in 2014. It offers an easy-to-use crypto trading platform to users to empower their personal finances in a cryptocurrency network. It’s one of the cheapest ways to buy Bitcoin with a credit card or SEPA transfer.

Supported Cryptocurrencies: It supports over 27 cryptocurrencies
Fees: High trading fees

Pros (What We Like)

The exchange has very high liquidity
Easy-to-use interface for investors

Cons (What We Don’t Like)

Limited number of cryptocurrency assets available for trading
High trading fees

Coinmama is a world-renowned exchange that offers crypto trading services where users can buy, sell, trade, and invest in Bitcoin and other digital assets. It has a user-friendly interface designed to make it easy for a vast majority of beginners to trade on their platform and exchange wallet.

Supported Cryptocurrencies: It supports 11 cryptocurrencies
Fees: It has high trading fees

Pros (What We Like)

It’s a beginner-friendly exchange
Strong customer support

Cons (What We Don’t Like)

High trading fees
Not suitable for experienced traders

Bity is a European exchange that is based in Switzerland. It allows traders to buy and sell popular cryptos like BTC (Bitcoin), ETH (Ethereum), and USDC and has Bitcoin ATM installations in selected locations. It is regulated by Swiss regulatory authorities and is compliant with all international AML regulations.

Supported Cryptocurrencies: It supports BTC and ETH
Fees: Trading and withdrawal fee is included in the price of the digital assets

Pros (What We Like)

It’s a well regulated and AML compliant exchange
Easy to use

Cons (What We Don’t Like)

Very limited selection of cryptocurrencies

Bitstamp is one of the leading crypto exchanges in the world established in 2011. It allows traders to purchase any type of cryptocurrency available with regular payment methods like debit/credit card or bank accounts. Traders can also store crypto in a secure wallet.

Supported Cryptocurrencies: It supports 28 cryptocurrencies
Fees: Below average fees

Pros (What We Like)

Great customer support for users
Professional team
Reputable exchange founded in 2011

Cons (What We Don’t Like)

Not suitable for beginners

Bitfinex is one of the largest multi-cryptocurrency exchanges suitable for Advanced traders and provides order books with high liquidity and sufficient trading volume which enables traders to exchange Bitcoin, Ethereum, and many other digital assets with minimal slippage. Users can also access Margin trading and Margin lending.

Supported Cryptocurrencies: It supports over 100 cryptocurrencies
Fees: Low trading and withdrawal fees

Pros (What We Like)

Offers a wide range of servicesm, rading pairs, and order types
Low trading fees

Cons (What We Don’t Like)

Has suffered several hacks
Only suitable for advanced traders

Binance cryptocurrency exchange is a crypto trading platform that was established by Changpeng Zhao (CZ) in 2017. It offers one of the best exchange rates around. It supports multiple payment methods such as bank deposits and credit/debit card purchases and a convenient withdrawal method. It’s a feature-rich platform for trading.

Supported Cryptocurrencies: 250+ cryptos
Fees: Among the cheapest trading fees on the market

Pros (What We Like)

Variety of coin offerings to trade with and extensive range of service offerings
Low fees

Cons (What We Don’t Like)

Slightly more advanced than beginner exchanges
Very frequent reports of lax customer service — many customers have resorted to class action lawsuits against Binance due to lost funds and a lack of customer support

Cex.io is one of the top platforms in cryptocurrency trading that is suitable for both advanced traders and beginners getting started with buying and selling cryptocurrencies. It accepts many deposit methods and offers 60 digital assets.

Supported Cryptocurrencies: It supports over 60 digital currencies
Fees: It has high trading fees and offers trading fee rebates to high volume traders

Pros (What We Like)

It’s easy to use
Instant card deposits
Strong customer support

Cons (What We Don’t Like)

It has a difficult verification process after sign up
Liimited number of cryptocurrencies

Can You Buy Bitcoins Using Cash In Denmark?

You can buy Bitcoins with cash and other deposit methods like credit cards and debit cards, PayPal, bank accounts, and also other crypto assets. If you want to buy Bitcoins with cash, you must check for exchanges that accept cash as a deposit method.

You can also use a prepaid card filled with cash for buying Bitcoins on any platform that accepts prepaid cards like Bitit. You can also buy from Bitcoin ATMs by depositing cash in them to get BTC. Although buying Bitcoins with cash is both convenient and quick, it’s expensive than other means.

How Do I Cash Out of Bitcoin in Denmark?

There are several ways you can cash out Bitcoin in Denmark. The first option to cash out Bitcoin for cash is to sell on a cryptocurrency brokerage service like Coinspot and Swiftyx. These exchanges offer instant buy/sell or quick sell options. They offer very fast and convenient ways to cash out Bitcoin.

Another method is to sell Bitcoin for DKK on cryptocurrency exchanges where your sell order gets matched with buy orders from other users.

Using Bitcoin ATMs is another way to cash out Bitcoin. You can convert your BTC balance to traditional currencies and withdraw it as cash.

Where Can I Find a Bitcoin ATM in Denmark?

There are no Bitcoin ATMs available in Denmark at the moment. However, you can use CryptoWallet.com to cash out crypto at a regular ATM anywhere in the world!

When is the Right Time to Sell Bitcoin?

Selling Bitcoin is a personal choice. The most popular time among traders is to sell when the Bitcoin you bought has reached one of your sell price targets or when the selling price of a crypto asset is higher than the purchase price. You can also choose to sell off your Bitcoin to meet an immediate financial need.

Is Crypto Taxed in Denmark?

Yes, crypto & Bitcoin is currently taxed in Denmark. If you bought or receive it as a gift to sell it for profit at a later date, you’ll pay tax on profits if you’re a Danish resident. If you are a personal crypto trader, you’ll be taxed 56% of your gains and 30% of your losses. If you are a registered crypto trading business, you’ll be taxed 22% of your gains.

Is Bitcoin Banned in Denmark?

Bitcoin is currently legal in Denmark. Denmark is a crypto-friendly country for traders. Although Denmark’s Financial Supervisory Authority (FSA) has issued a statement declaring that bitcoin is a volatile investment product and stating that it will not regulate its use in Denmark. This leaves users solely responsible for the financial loss associated with the use of Bitcoin.