LocalBitcoins - Exchange Review

LocalBitcoins started in Helsinki back in 2012. At that time there were few ways to buy Bitcoin. This platform changed that. It let people trade directly, choosing any payment method they liked – bank transfer, PayPal, even cash in person. Deals went through escrow, so both sides felt safer.

The rise and the fall

For years LocalBitcoins was everywhere. It worked in over 190 countries and became the go-to place for small trades. The model was simple: sellers paid a small fee, buyers paid nothing. You checked a trader’s reputation, agreed on a deal, and the rest was fast. Everything changed over time. Regulations tightened, users moved to other exchanges, and activity dropped. In February 2023 the team announced the shutdown. Trades stopped. Only withdrawals remained, and they will close completely in mid-2025.

Why people used it

LocalBitcoins was flexible. You could trade small amounts, use local currency, or meet the seller in person. Many liked the privacy. Others just needed an option where banks didn’t work. Reviews used to praise the ease of use and quick deals.

Security and rules

The platform had decent protection for its time. Escrow held the coins during the trade, there was two-factor login, and most funds stayed in cold wallets. Since 2019 it operated under a Finnish license. After a few disputes and delays, the company usually solved issues and kept user trust.

Why it mattered

It wasn’t just an exchange. It was a place where anyone could buy Bitcoin, no matter where they lived. For many, it was the first step into crypto. That’s why LocalBitcoins left a mark, even if it struggled at the end.

Who used it

• People who wanted privacy and flexibility.
• Those trading small amounts in cash or with local transfers.
• Users avoiding big centralized exchanges.

Final word

LocalBitcoins shaped early Bitcoin trading. It made crypto accessible worldwide when few other options existed. But times changed. Volumes dropped, regulations grew, and the platform closed. Trading stopped in 2023, and soon even withdrawals will end.

Today it’s part of crypto history – remembered, but no longer used.