How to Sell Crypto in Norway in 2022

Cryptocurrency in Norway today is fast on the rise and retail investors are crypto world, often with minimal research into the market risk. Before buying or selling crypto, it’s crucial to know your options! Selling crypto through the wrong platform is a surefire way to lose funds and end up disappointed in your profit margin.

How to Sell Crypto in Norway

Today, we dive into identifying valuable crypto assets and reputable crypto exchanges, how to sell your crypto for fiat currency and other crypto assets, and just how much of the crypto income you owe to the government in taxes. Let’s begin!

How to Determine the Value of Crypto

We may never find a financial market more responsive to news and demand/supply laws than the crypto markets. However, other factors such as the technology behind a cryptocurrency, its safety, total market capitalization, and mass adoption are great indicators of a valuable virtual currency.

A simple comparison of your crypto of interest with other cryptocurrencies using some of these factors will provide relevant insights into your investment decision.

Asset Taxation of Bitcoin and Other Crypto Currencies

Cryptocurrencies in Norway are taxable.

According to the Norwegian Tax Authority, Bitcoin, and other virtual currency, is an asset for tax for which the Norwegian tax laws must apply

Given the legal status of virtual currency in Norway and the recognition of Bitcoin and other cryptocurrencies by the Norwegian government, it is classified as an asset, and income from crypto trading is taxed at 22%.

Some platforms such as Kryptosekken help calculate your crypto taxes.

What to Consider if You Plan to Sell Crypto

Taxes are the main consideration when selling crypto.

The Norwegian Tax Authority, under the Ministry of Finance, would expect you to declare the bitcoin investment and crypto-assets you own as wealth, as well as declare your crypto profits as income.

In a recent press release, the supervisory authority issued a stern warning to Norwegian citizens stating that they risk paying additional tax if they are found wanting of evasion.

So, be sure to give unto Caesar what belongs to Caesar when you sell your digital assets for fiat.

CryptoWallet.com offers the ability to buy, sell and hold cryptos in a secure digital wallet with a unique feature that supports spending your crypto on the go, either as payment in online/offline purchases or simply withdrawing it as cash.

You can earn passive income in crypto, open an IBAN and pay bills in crypto, or go shopping with a crypto debit card.

Ease of use: Very easy
Fees: Fees vary based on trading activity
Rating: 5 star
Verification: Phone and email KYC

Pros (What We Like)

Supports crypto purchase in major fiat currencies
Seamless and simple user-interface
Great platform and mobile wallet app security
Highly available and responsive customer support service.

Cons (What We Don’t Like)

5 cryptos in total, whereas some exchanges support a larger selection
Mobile only

Bitstamp is known primarily for its interactive trading platform, consisting of relevant trading options aiding users with crypto price prediction.

Ease of use: Intermediate
Fees: Makers – 0.1 % Takers – 0.2 %
Rating: 5 star
Verification: Multiple levels of verification ranging from phone and email to personal ID

Pros (What We Like)

Trading on-the-go as it offers mobile android and IOS platform support
High daily trading volumes and liquidity
Low deposit and withdrawal fees

Cons (What We Don’t Like)

Although security may have improved, it is still worth mentioning that the exchange has been hacked twice since its inception in 2011
KYC verification process can be rigorous and considered invasive by some
Customer support is not so great

Digital currency platform catering mostly to the Asian market with establishments in 12 countries including the US and Japan.

Ease of use: Intermediate
Fees: Makers – 0.2 % Takers 0.2 %
Rating: 5 star
Verification: Four levels of KYC, beginning with phone and email

Bisq (formerly Bitsquare) is an open-source, decentralized peer-to-peer exchange that enables cryptocurrency trading for national currencies without a third-party broker or financial intermediary.

Ease of use: Intermediate
Fees: Makers – 0.1% Takers – 0.7%
Rating: 4 star
Verification: A simple 2-step verification process ( Personal account verification and KYC)

Pros (What We Like)

Decentralized exchange
Highly secure and offers private trading activity
Offers lower transaction fees and high transaction speeds

Cons (What We Don’t Like)

Not so user friendly
The wallet is not portable i.e you can not trade on the go as it is a desktop application
Everything, including your private wallet, is managed and stored by you which could be quite tasking to some users

US-based cryptocurrency exchange with a wide range of crypto assets listed.

Ease of use: Easy
Fees: Makers – up to 0.1450%, Takers – up to 0.1550%
Rating: 4 star
Verification: Level 1 – Email and password authentication, Two-factor authentication. Level 2 – KYC verification

Pros (What We Like)

High daily trading volumes
Wide variety of asset trading pairs to choose from
Offers market charts on its exchange page with basic market analysis options

Cons (What We Don’t Like)

Customer support is not so great compared to other crypto exchanges
The exchange was hacked back in 2014

Luno provides wallet and exchange services in over 40 countries across Europe, Asia, and Africa.

Ease of use: Easy
Fees: Makers – 0% Takers – up to 0.1%
Rating: 5 star
Verification: Three levels of KYC, starting with mobile number

Pros (What We Like)

Provide educational step guides for beginners into Bitcoin & cryptocurrency trading
Highly safe and secure platform
A user-friendly interface, easy platform navigation

Cons (What We Don’t Like)

Not suitable for advanced traders as trading options are limited
Highly regulated and offers little or no privacy

With its major market and popularity in Europe, BitPanda offers fiat payment options more than most other platforms.

Ease of use: Intermediate
Fees: Makers – up to 0.1%, Takers – up to 0.15%
Rating: 5 star
Verification: Level 1 – ID verification, passport accepted in Norway

Pros (What We Like)

Web-based and mobile application with Android and IOS platform support
Strikes a good balance between serving pro traders and beginners
Offers a wide range of fiat payment options such as bank wire and users may also fund their accounts via bank transfers

Cons (What We Don’t Like)

High trading fees
Only offers email support

LocalBitcoin serves as an escrow strictly offering peer-to-peer (P2P) bitcoin transactions.

Ease of use: Intermediate
Fees: Makers – 1%, Takers – 0 %
Rating: 4 star
Verification: Four levels, starting with email address

Another escrow service provider offering peer-to-peer cryptocurrency transactions of Bitcoin(BTC), Ethereum (ETH), and USDT.

Ease of use: Intermediate
Fees: Makers – 1%, Takers – 0 %
Rating: 4 star
Verification: Four levels, beginning with phone and email registration

Pros (What We Like)

Wide variety of payment options such as
Highly secure wallet and escrow service provider
24/7 customer support

Cons (What We Don’t Like)

Limited trading options

Bittrex is a major exchange offering over 200 cryptocurrencies on one platform.

Ease of use: Advanced
Fees: Makers – 0.20 %, Takers – 0.20 %
Rating: 4 star
Verification: Requires a govt-issued ID and a facial identification

Pros (What We Like)

Offers a wide variety of altcoins and crypto-trading currency pair
Advanced security options and cold-wallet services
Trading platform for advanced users

Cons (What We Don’t Like)

Not so friendly to beginners
Low liquidity for some cryptocurrencies
Margin trading is unavailable for majority of the coins

A UK-based crypto exchange with operations in over 180+ countries, supporting 10 cryptocurrencies including Bitcoin (BTC), Bitcoin Cash (BCH), Ripple (XRP) and Tether (USDT).

Ease of use: Intermediate
Fees: Makers – 1.5 % Takers -1.5 %
Rating: 3 star
Verification: Government ID required

Pros (What We Like)

Registration and on-boarding is fast and seamless
Supports all major fiat currencies for crypto purchases
Highly regulated and anti-money laundering (AML) compliant

Cons (What We Don’t Like)

Very high trading fees, especially with debit/credit deposits
Only limited coins are available for sale on the platform

Is cryptocurrency legal in Norway?

Yes.

Although cryptocurrencies are highly unregulated and the Norwegian government continually issues warnings on the market risk of investing in cryptos, Bitcoin in particular, the growing interests of the government in the future of money in Norway is not hidden away.

Norway’s central bank has announced its plan to test the technical possibilities for a CDBC(central bank digital currency) over the next two years.

How do I turn my cryptocurrency into cash?

Converting your crypto assets to cash such as BTC to NOK can be done via a broker exchange or a peer-to-peer (P2P) platform.

The selling method to use depends on how fast you need access to cash and how much security risk you can afford.

Broker exchanges are not as fast as peer-to-peer transactions, however, they offer more security and assurance of not being swindled.

How much does crypto cost?

You can find the estimated cost of a crypto asset in your local currency (say BTC to NOK) with a quick google search or a trusted price-tracking platform.

However, factoring in the transaction cost, exchange fees, taxation rate and spread fees give a more rounded estimate into the actual cost of crypto in Norway.

Which countries have banned Cryptocurrency

Bolivia was the first country to flat-out issue a crypto ban, and other countries such as Algeria, Nepal, China, and Turkey have followed suit.

Individual countries have their variation of a crypto ban. Some countries – most notably the UK and the US – have banned specific exchanges, some have banned specific crypto assets (Bitcoin), and a few banning all crypto trading activity due to religious reasons, like in Egypt, so it is advisable to review your country’s stance on cryptocurrency.

Do I need a license to sell cryptocurrency?

Retail investors do not need a license to sell crypto. Licensing only applies to businesses offering exchanges services, as they need to remain compliant with anti-money laundering regulations (AML/KYC).

However, regular investors are free to choose an exchange sell their crypto for NOK or other currencies.