Frequently Asked Questions
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What is LocalCryptos?
LocalCryptos is a worldwide peer-to-peer marketplace where over 100,000 users buy and sell cryptocurrencies. Buyers and sellers post ads on LocalCryptos, offering to trade crypto through a wide range of payment methods. When a user responds to an offer, a peer-to-peer exchange is conducted directly between the buyer and seller.
What is LocalEthereum?
LocalCryptos was originally named LocalEthereum. We changed our name in 2019 in order to support more cryptocurrencies, including Bitcoin.
What’s the difference between LocalCryptos and an exchange?
You are never buying cryptocurrency from or selling cryptocurrency to LocalCryptos; you are always exchanging directly with another user. All fiat payments are made outside the platform using regular payment channels, directly from person to person.
How do I buy crypto with LocalCryptos?
If you’re brand new to LocalCryptos and want to learn how to buy crypto, read our step-by-step guide: How To Buy Ethereum (ETH) With LocalCryptos.
How do I sell crypto with LocalCryptos?
The process to sell crypto using LocalCryptos is very similar to the buying process. We recommend reading our step-by-step guide on how to buy ETH first.
How is my privacy protected?
LocalCryptos doesn’t collect any personal information, and we don’t use any tracking services such as Google Analytics. We treat your privacy with the utmost respect.
Any messages between users are end-to-end encrypted, meaning we don’t have the ability to read them. The only case where we can decipher your messages is when you invite a moderator for help in resolving a payment dispute, or when you report another user.
Does LocalCryptos require me to verify my account?
As you are not trading crypto with LocalCryptos, we only collect the information you have presented on sign-up. However, primarily depending on where you are located, different countries and states have different rules and regulations: for example, you may have an obligation to keep specific records, apply for a particular license, or collect and verify the identities of people to help prevent money laundering. These rules vary by country, so be sure to do your research before conducting an exchange.
You can sign up to LocalCryptos using a compatible Ethereum wallet instead of a password.
View our blog post on the topic for more details.
Where can I learn more about how LocalCryptos works?
Read our whitepaper for in-depth insight into LocalCryptos' magic. We explain how LocalCryptos' end-to-end encrypted messaging protocol works, how the self-custodial wallet keys are generated, how our decentralized escrow system functions, and more.
How do I recover my account password if I lose it?
If you've forgotten your password, there is no way for us to help recover it, not because we don’t want to, but because of how client-side encryption works. There is no possible way for staff to help recover any information from your account, because of the same technical properties that make it impossible for us to read your messages or access funds in your wallet.
It is important to keep your password safe and to never share it. If someone gains access to your account, any crypto transferred to your LocalCryptos account could be compromised in the future, even if you change your password!
How can I change my username?
We do not allow people to change their username. The reason for this is to prevent reputation-transfer abuse; i.e. it's not possible to transfer reputation to a new username, nor avoid negative reputation linked to your name (both on this platform and elsewhere).
I’ve lost my phone. How can I reset my two-factor authentication (2FA)?
If you have your Google 2FA backup key, you can reset it in the app. To do so, follow the steps below here.
If you don't have a backup key you will need to contact our support team to downgrade your two-factor account. We will ask for information to verify ownership of the account, and we will request that you wait a minimum waiting period.
I’ve lost access to my e-mail and can’t log in. What can I do?
If you have lost access to your e-mail, you will need to contact our support team to attempt an account recovery.
What is OTP and how can I enable it?
OTP or One-Time Password is a security mechanism that helps protect your account.
The default setting of your account is that you will receive an email on a login attempt and you will have to click a link in that email to authenticate the login.
OTP is usually an app you download on your phone such as Google Authenticator or Authy that replaces this process. The app provides a 6 digit code that changes every minute. You will need to enter this code when logging in to your account. Using OTP results in a higher level of security for your account.
I have been suspended from the platform. What can I do?
If you have been suspended from trading, you will need to contact us.
Why aren’t SMS notifications working for me?
From time to time we have issues with SMS carriers. Please open a support ticket and provide your number, country, and phone service provider, and we will attempt to resolve the issue.
How can I delete my account?
You can delete your account from the “Account” tab using the link at the bottom of the page.
Is the LocalCryptos wallet safe?
LocalCryptos' web wallet is non-custodial. LocalCryptos' servers and staff never see your private key(s). Your crypto is protected by cryptography inside your web browser.
How do I send funds to my LocalCryptos wallet?
To send crypto to your LocalCryptos wallet, follow these directions:
- Go to the "Wallet" tab on the top right of the home page.
- You can receive crypto using any of the wallet addresses on the right hand side, however it is recommended to use the address with the label “Recommended for deposits”.
- Copy and paste the address where you wish to send crypto.
- Send the crypto from your current wallet. It will appear in your wallet after one confirmation.
How do I send funds from my LocalCryptos wallet?
To transfer crypto from your LocalCryptos wallet, follow these directions:
- Go to the "Wallet" tab on the top right of the page.
- In the "To" field, enter the wallet address you will be sending the crypto. Make sure to double-check the address as cryptocurrency transactions are not reversible.
- In the "Amount" field, enter how much crypto you wish to transfer.
- Click "Send".
What is the “gas limit” in Ethereum?
Gas is a unit of computation for the Ethereum network. Some Ethereum transactions are more complex than others, so they will require more computational power.
When you send an Ethereum transaction, you specify a “gas price” and a “gas limit”. The “gas price” determines how much you are willing to pay for each unit of gas, whereas the “gas limit” determines the maximum units of gas you’re willing to pay for.
Simple ETH transfers require exactly 21,000 units of gas. More advanced transactions involving smart contracts can require much more than that, depending on the complexity of the transaction. The exact amount of gas units required is usually not possible to calculate in advance, because of the way Ethereum works.
The network cost for an Ethereum transaction is equal to your “gas price” multiplied by the units of gas used (which is not necessarily the same as your “gas limit”).
Any excess gas of your Ethereum transaction will be returned to your address. For example, if you set a gas limit of 100,000 and your transaction only uses 90,000 units of gas, you will only pay for the cost of 90,000 units of gas (i.e. 90,000 multiplied by your “gas price”).
If you send an Ethereum transaction with an insufficient “gas limit”, you will be charged the network fee for those units of gas even though the transaction will fail. This is because miners still need to spend computation power to process your transaction whether it is completed or not.
Increasing your “gas limit” will generally have no effect on the speed of your transaction; miners are normally only interested in your “gas price”.
How do I change the gas limit of an Ethereum transaction?
If you are sending ETH to a smart contract, you will need to raise the gas limit.
- Click the 'cog' icon to the right of the 'Transfer' button
- Enter the Gas limit and price.
- Check the 'to address' to make sure it is correct
- Click "Transfer"
Why do I have multiple wallet addresses?
The default setting in your LocalCryptos wallet will create a new wallet address for every transaction. The self-custodial LocalCryptos wallet uses a deterministic system to generate addresses. This means that each wallet includes a virtually infinite number of addresses.
These wallet addresses are all tied to your private key. If you lose your password you can still access the entire amount of funds via your wallet backup.
How do I consolidate the crypto in my addresses to one address?
You can consolidate all your crypto into a single address by clicking the “Max” button, which is found next to the “Amount”.
- Enter the address you want to consolidate all your crypto into.
- Click “Max”.
- Select “Any of my addresses”.
- Select “Transfer”.
I’ve sent my crypto to the wrong address. Can you recover it?
Cryptocurrency transactions are not reversible. There is no way to recover transactions sent to the wrong address. It is important to always check the wallet address before sending.
What types of Bitcoin address can I send BTC to?
LocalCryptos does not currently support bech32 (native SegWit) addresses. Your wallet is only compatible with P2SH or P2PKH addresses.
What is the minimum amount I can trade?
The minimum amount you can trade for each cryptocurrency varies depending on the network fees at the time.
The current minimums are:
How many block confirmations are required for an escrow?
The number of block confirmations required for an escrow depends on the size of the escrow and the security of the network.
Transactions on any blockchain can theoretically be reversed by a sophisticated and well-resourced attacker. For every block confirmation after your transaction, this type of attack becomes more difficult and expensive to perform.
Because of the immense computational power securing the Bitcoin blockchain, only one confirmation is required for escrows under $10,000. Other cryptocurrencies such as Litecoin have less hash power protecting the blockchain, so the hypothetical cost of a roll-back attack is less.
The number of block confirmations needed for an escrow could be between 1 and 3,000 depending on the value of the transaction. These numbers are automatically pegged to the approximate cost of an attack, so that a targeted roll-back attempt is never profitable.
How can I cancel a trade?
Because of the way the escrow mechanism works on LocalCryptos, you are not always allowed to cancel a trade. Whether or not you can cancel a trade depends on the state of the escrow, and whether you are the buyer or seller.
If you are the buyer, you can cancel at any time. If there is crypto in escrow, it will be returned to the seller after you cancel.
If you are the seller, you can only cancel a trade either before crypto is put in escrow, or if the payment window timer has expired and the buyer has not marked the trade as paid. If the buyer clicks their “Mark as paid” button, the trade can only be cancelled by the buyer, or by an arbitrator if the trade enters a payment dispute.
I released the escrow by accident. Can you reverse the transaction?
When an escrow is released, it is final. There is no avenue for recovery as we do not hold any of your crypto at any time. You are dealing directly with the blockchain, and it’s not possible to call back a transaction.
What is the “fast trader” badge?
The quickest traders on LocalCryptos gain a “Fast trader” badge.
Although the exact formula behind the badge is secret, if you follow these two basic tips your account should have it in no time:
- Make sure that you respond to all new trades as quickly as possible. Our top traders usually reply within a couple of minutes.
- Never be so slow that a new trader cancels on you after waiting for a reply.
The badge looks at the past seven or so days of trades, so don’t worry too much if you lose it; you can try again next week.
What is “expert mode”?
When you enable “Expert mode”, LocalCryptos will reveal technical information about your escrow. With the information provided, you can verify that messages are being correctly encrypted (by clicking on a message), and you can verify that the on-chain escrow transaction is valid.
We don’t recommend enabling this mode unless you understand how these mechanisms work.
After posting an offer, how will I know when I have a trade?
You will be notified via e-mail for each new trade. You can also choose to receive SMS or push notifications.
I am unable to create an offer for a payment method.
Some higher-risk payment methods have volume restrictions on offers to protect users.
To post a SEPA or Revolut offer, you need a minimum US$50 completed trade volume.
To post a PayPal, Gift Card, or Venmo offer, you need a minimum of US$1,500 completed trade volume.
How many active offers can I have at once?
- Local payment methods (e.g. bank transfer, cash): The maximum is 2 offers per combination of country, payment method, and type.
- International payment methods (e.g. PayPal, Venmo): The maximum is 2 offers per combination of payment method and type (buy/sell). For example you can have up to 2x PayPal/buy offers, 2x PayPal/sell offers, and 2x Venmo/buy offers at the same time.
These limits are subject to change.
Offers may be hidden for one of two reasons:
You did not respond to a new trade within a reasonable timeframe, so your offer was automatically disabled to keep the marketplace healthy. When this happens, you will receive an email with more information. Your account may be restricted. If this is the case, you will need to contact the customer support team.
I opened a trade but the other user has not responded.
If a user has not responded, you can close the trade. After a short while, an offer by a non-responding user will be put on hold automatically and the user will need to manually restore it.
If you have opened a trade outside their standard operation hours then you will need to be patient and wait for a response.
How do I backup my wallet?
After you sign up, it is important to download your wallet backup. If you forget your password or if LocalCryptos were to ever go offline for some reason - you can still access your wallet using this backup.
To interact with a LocalCryptos wallet backup file, you can use our open source "LocalCryptos Wallet Backup Explorer" tool provided here.
I received an email stating my account is banned.
All account related issues are completed in your account in your dashboard. We will not send an email such as this. This is a fraudulent/phishing e-mail. Please report it as spam if the option is available in your mailbox, and do not click on any links. We will only send e-mails from the official "localcryptos.com” domain name.
A trader is telling me to send them money before I can see the crypto in escrow.
If the crypto is in escrow, it will say so. In times of congestion, transactions may take longer, however you should never send anything without first seeing the crypto in escrow. You can view the status of the trade in the right hand site status bar.
A trader is pressuring me to release the escrow.
Under no circumstances is it OK to pressure another user into releasing the escrow early. Please open a payment dispute via the “Open Dispute” button.
I see a message that says the other user has been suspended. What does this mean?
The reason for this notification is to make you aware that the other trader has received a suspension so you can make a better judgement whether to complete a trade. If you have concerns about completing the trade you can open a payment dispute and an arbitrator can help.
Why has my trade count decreased?
The statistics algorithm will automatically discount trades from users who are permanently suspended from the platform. This means that if you traded with a user who was later banned -- likely due to suspicion of fraudulent activity -- all feedback associated with the user, both given and received, will be nullified.
This measure was added to prevent malicious reputation-boosting tactics by malicious users.
I opened a payment dispute. What happens now?
An arbitrator will contact you via the dispute chat and help work through the trade with you and the other user. This chat is in a separate box, and all messages are between you and the arbitrator only.
An arbitrator may ask for:
- Proof of purchase (e.g. a screenshot showing your payment)
- Proof of having not received the funds (e.g. a recent statement)
- Proof of ownership of the account
- Any confirmation e-mails regarding payments
- Anything else that will help an arbitrator make the correct decision
I reported another user but haven’t heard a response.
We inspect the trade and the reported user, and we may take action by suspending the account. It prevents the user from opening new trades, and nullifies their feedback, both given and received.
What fees does LocalCryptos charge?
LocalCryptos charges a 0.25% fee for the maker (the person who placed the offer listing) and 0.75% for the taker (the person responding to the offer).
In Ethereum trades, the buyer will always receive small amount less than indicated; this is the gas fee for the contract execution which is charged by the Ethereum network.
How much is the fee to withdraw from my wallet?
We do not charge a fee for you to withdraw from your wallet. You will however need to pay a network fee, which will be paid directly to miners of the respective blockchain to process your transaction.
My Ethereum trade was cancelled and I received less back.
As escrows are performed on the blockchain, they involve network fees. Network fees incurred by your escrow will be deducted from the escrow account before the amount is released to the buyer or returned to the seller.
Escrows on the Ethereum blockchain involve more than one transaction. The first transaction is the initial "funding" of the escrow, which is sent from the seller's address to the smart contract address; in this transaction, the seller is able to set a gas price they are comfortable with.
However, the other transactions to the smart contract -- including the ones which "release" the ether or "lock" the ether (i.e. when you mark a trade as paid), the gas price is set by LocalCryptos. We use an algorithm which matches current gas price swings in order to ensure transactions go through quickly at a fair cost at the time. The fee for these types of transactions are deducted from the balance of the escrow, meaning that the buyer will always receive slightly less than the amount in escrow due to network costs. Due to the high volatility of the gas market, it's impossible to provide an estimate of the total network fees ahead of time.
To avoid unnecessary fees, it’s important to wait for a response from the other party and confirm they would like to proceed with the trade before funding the escrow.
How much gas does it cost to fund an Ethereum escrow?
Gas prices are constantly changing. In periods of heavy network congestion, it can become expensive to fund an escrow before of the increased network fee
If you want to check network congestion on the Ethereum network, you can visit Etherscan’s “Gas Tracker” page. This site will let you know the recommended gas price for a transaction at current market prices.
Does LocalCryptos have a referral program?
Using our referral program you can earn 20% of the fees incurred by users that sign up with your link. You can apply for the program from your “Account” tab under the “Invite your friends” heading.
I have some pending earnings from the referral program. When will I receive it?
Referrals are paid out on the monthly basis when the amount has reached US$10 in pending earnings. Remember, our wallet is non-custodial, which means we are not just altering a balance when sending you your referral earnings; it is a transaction on the blockchain that incurs a network fee like any other.
Does LocalCryptos provide a public API?
LocalCryptos does not currently provide a public API.
What should I do if I receive an unexpected error message?
If you receive an unexpected error message, please contact us via the contact form. If you provide us a screenshot of the error, the name and version of your web browser, and your attempted action, it will enable us to help you faster.
I have a question that wasn't answered.
Please get in touch with us. We will be happy to answer any questions.