Terms of Service

Last Updated: April 2026

Please read these Terms of Service carefully before using LocalBitcoins. By accessing or using our platform, you agree to be bound by these terms and conditions.

Table of Contents

1

Acceptance of Terms

By accessing, downloading, or using the LocalBitcoins desktop application and services, you acknowledge that you have read, understood, and agree to be bound by these Terms of Service and our Privacy Policy.

These terms constitute a legally binding agreement between you and LocalBitcoins Ltd. If you do not agree to these terms, you must not use our platform or services.

Important Notice

Your use of LocalBitcoins is at your own risk. Bitcoin and cryptocurrency trading carries inherent risks, including price volatility, regulatory changes, and potential loss of funds. You are solely responsible for understanding these risks before engaging in any transactions.

2

Eligibility

To use LocalBitcoins, you must meet the following eligibility requirements:

Age Requirement

You must be at least 18 years old or the age of legal majority in your jurisdiction, whichever is higher.

Legal Capacity

You have the legal capacity to enter into binding contracts under applicable law.

Compliance

You are not located in or a resident of any jurisdiction where the use of cryptocurrency platforms is prohibited or restricted.

Account Integrity

You have not been previously suspended or banned from using LocalBitcoins services.

We reserve the right to verify your eligibility at any time and may request additional documentation to confirm your identity and compliance with these requirements.

3

Account Registration

Account Creation

To use LocalBitcoins, you must create an account by providing accurate and complete information. You agree to:

  • Provide truthful, accurate, and current information during registration
  • Maintain and update your information to keep it accurate and current
  • Keep your password secure and confidential
  • Accept responsibility for all activities under your account
  • Notify us immediately of any unauthorized access or security breach
  • Not share your account with others or allow multiple users on a single account

Identity Verification

As part of our commitment to security and regulatory compliance, we may require identity verification (KYC) before you can access certain features or exceed trading limits. This process may include:

Submitting government-issued photo identification
Providing proof of address documentation
Completing facial recognition or liveness checks
Answering questions about your intended use of the platform

Failure to complete identity verification when requested may result in restrictions on your account, including limitations on trading, deposits, or withdrawals.

4

Trading Rules

General Trading Principles

LocalBitcoins provides a peer-to-peer marketplace where users can buy and sell Bitcoin directly with each other. When engaging in trades, you agree to:

  • Honor Commitments: Complete trades that you have initiated in good faith and according to agreed terms
  • Accurate Advertisements: Create truthful and accurate trade advertisements with clear terms and conditions
  • Timely Communication: Respond promptly to trade requests and messages from trading partners
  • Payment Confirmation: Only mark payments as complete when you have actually sent or received funds
  • Dispute Cooperation: Cooperate with our support team and provide requested evidence during dispute resolution
  • Escrow Respect: Never attempt to circumvent or manipulate the escrow system

Escrow Service

LocalBitcoins provides an escrow service to protect both buyers and sellers. When a trade is initiated:

Bitcoin Locked

The seller's Bitcoin is automatically moved to our secure escrow wallet.

Payment Made

The buyer sends payment according to the agreed terms and marks payment complete.

Confirmation

The seller verifies receipt of payment through their payment method.

Release

Upon confirmation, seller releases Bitcoin from escrow to the buyer's wallet.

Important Escrow Rules

Never release Bitcoin from escrow until you have confirmed payment receipt. Bitcoin transactions are irreversible. If you release Bitcoin before receiving payment, we cannot recover those funds. Always verify payment in your account, not just from screenshots or claims.

5

Fees and Payments

Trading Fees

LocalBitcoins charges the following fees for using our platform:

Trading Fee

1% per trade

Charged to the seller on each completed trade. This fee is automatically deducted from the Bitcoin amount in escrow.

Bitcoin Network Fees

Variable

Standard Bitcoin network transaction fees apply for deposits and withdrawals. These fees vary based on network congestion.

No Hidden Fees

Free

No account maintenance fees, no deposit fees, and no fees for creating advertisements or browsing offers.

Payment Methods

Users determine their own payment methods for trades. LocalBitcoins does not process fiat payments. You are responsible for:

  • Ensuring you can send and receive payments through your chosen methods
  • Complying with the terms and conditions of your payment providers
  • Paying any fees charged by your payment method or financial institution
  • Understanding the risks associated with different payment methods
6

Prohibited Activities

The following activities are strictly prohibited on LocalBitcoins. Violation of these prohibitions may result in immediate account suspension or termination:

Fraud, scams, or any form of deceptive trading practices
Money laundering, terrorist financing, or other illegal activities
Using stolen credit cards, bank accounts, or payment methods
Creating multiple accounts to manipulate feedback or circumvent restrictions
Harassment, threats, or abusive behavior toward other users or staff
Attempting to hack, exploit vulnerabilities, or disrupt platform operations
Using automated bots or scripts without prior written authorization
Trading Bitcoin obtained through illegal means or ransomware
7

Limitation of Liability

Platform Role

LocalBitcoins acts solely as a marketplace facilitator connecting buyers and sellers. We do not:

  • Control the quality, safety, or legality of Bitcoin being traded
  • Verify the truth or accuracy of user listings or advertisements
  • Guarantee that users will complete their obligations in trades
  • Act as a financial institution or provide investment advice
  • Control Bitcoin price fluctuations or market conditions

Disclaimer of Warranties

LocalBitcoins provides the platform on an "AS IS" and "AS AVAILABLE" basis. We make no warranties, express or implied, regarding:

The platform's uninterrupted or error-free operation, accuracy of information, security of data transmission, or fitness for a particular purpose. You accept all risks associated with using our services, including technical failures, security breaches, and market volatility.

Limitation of Damages

To the maximum extent permitted by law, LocalBitcoins shall not be liable for any indirect, incidental, special, consequential, or punitive damages, including but not limited to:

  • Loss of profits, revenue, or business opportunities
  • Loss or corruption of data or Bitcoin
  • Cost of substitute services or downtime
  • Damages resulting from unauthorized access to your account
  • Losses from trading decisions or Bitcoin price changes

Our total liability to you for any claims arising from your use of LocalBitcoins shall not exceed the amount of fees you paid to us in the 12 months preceding the claim.

8

Termination

Your Right to Terminate

You may terminate your account at any time by contacting our support team. Upon termination:

  • You must complete or cancel all pending trades before closing your account
  • You must withdraw any remaining Bitcoin balance from your wallet
  • Your account data will be retained as required by law and our Privacy Policy
  • You remain responsible for any obligations incurred before termination

Our Right to Terminate

We reserve the right to suspend or terminate your account immediately, without notice, if:

Terms Violation

You violate these Terms of Service or our policies.

Illegal Activity

We suspect illegal, fraudulent, or unauthorized activities.

Legal Requirements

Required by law, regulation, or legal process.

Risk Assessment

We determine your use poses unacceptable risk to the platform or users.

Consequences of Termination

Upon termination, your access to the platform will be revoked. You will have a reasonable period to withdraw your Bitcoin, subject to any ongoing investigations or legal holds. We are not liable for any losses resulting from account termination.

9

Dispute Resolution

Trade Disputes

If you encounter a problem with a trade, you can open a dispute through the platform. Our dispute resolution process includes:

Dispute Opening

Either party can open a dispute from the trade page by clicking the dispute button and explaining the issue.

Evidence Submission

Both parties must submit evidence supporting their position, including payment proofs, screenshots, and relevant documentation.

Support Review

Our support team reviews all evidence and makes a final, binding decision on how the escrowed Bitcoin should be released.

Governing Law and Jurisdiction

These Terms are governed by the applicable laws of the jurisdiction in which the platform operates.

By using LocalBitcoins, you agree that our support team will review the evidence and make a decision based on the available information.

10

Changes to Terms

We reserve the right to modify these Terms of Service at any time. When we make changes:

  • We will update the "Last Updated" date at the top of this document
  • For material changes, we will notify you via email or through a prominent notice in the application
  • You will have 30 days from notification to review the changes
  • Your continued use of LocalBitcoins after changes take effect constitutes acceptance of the new terms
  • If you do not agree to the modified terms, you must stop using our services and close your account

Severability and Entire Agreement

If any provision of these Terms is found to be unenforceable or invalid, that provision will be limited or eliminated to the minimum extent necessary so that these Terms will otherwise remain in full force and effect. These Terms, together with our Privacy Policy, constitute the entire agreement between you and LocalBitcoins regarding the use of our services and supersede all prior agreements and understandings.