Overall Process of Selling Bitcoin for CNY
Converting Bitcoin to CNY requires two steps: First, sell BTC for USDT on the spot market; second, sell USDT for CNY through P2P trading.
Two steps are needed because Binance doesn't offer a direct BTC-to-CNY fiat channel. USDT serves as the bridge currency connecting digital assets and fiat currency.
The entire process typically takes about 30 minutes and isn't complicated. Here are the detailed instructions for each step.
Step 1: Sell BTC for USDT on the Spot Market
Instructions:
Step one: Open the Binance App, go to "Trade" > "Spot."
Step two: Search for and select the "BTC/USDT" trading pair.
Step three: Operate in the "Sell" section of the trading interface.
Step four: Choose an order type:
If you want to sell immediately, select "Market Order," enter the amount of BTC you want to sell (or use the percentage slider to sell all or a portion), and tap "Sell BTC."
If you have a target price in mind, select "Limit Order," enter your desired selling price and quantity, and tap "Sell BTC." The order will sit in the order book waiting to be filled.
Step five: Once filled, USDT will automatically appear in your spot account.
Should you use a market or limit order to sell?
If you need the money urgently or don't want to risk further price decline, a market order for immediate sale is the wisest choice. If you believe the BTC price will rise a bit more before selling, you can place a limit order and wait. But note that if the price moves in the opposite direction, a limit order may remain unfilled for a long time.
Step 2: Transfer USDT to the Funding Account
USDT obtained from spot trading is in your "Spot Account," while P2P trading requires funds in your "Funding Account." You need to do an internal transfer first.
Step one: Go to the "Assets" page.
Step two: Tap "Transfer."
Step three: Select from "Spot Account" to "Funding Account."
Step four: Enter the USDT amount to transfer and confirm.
The transfer is instant and free of charge.
Step 3: Sell USDT Through P2P Trading
This is the core step of cashing out. You'll find a buyer on the P2P market, sell your USDT to them, and they'll pay you via bank transfer or payment apps.
Detailed instructions:
Step one: Go to "Trade" > "P2P Trading."
Step two: Switch to the "Sell" tab and confirm the currency is USDT.
Step three: Browse the buyer list. The page displays multiple buyers' quotes, payment methods, and transaction limits. When selecting a buyer, pay attention to:
- Price: Different buyers offer different rates; choose a higher-priced buyer to get more for your money
- Payment method: Choose one convenient for you (bank transfer, Alipay, etc.)
- Buyer reputation: Prioritize certified merchants with high completion rates and large transaction volumes
Step four: Select a suitable buyer and tap "Sell."
Step five: Enter the USDT amount you want to sell (or the CNY amount you want to receive) and confirm the order.
Step six: The system will lock your USDT for sale and display the buyer's payment countdown.
Step seven: Wait for buyer payment. The buyer must transfer to your receiving account within the specified time (usually 15-30 minutes).
Step eight: After receiving payment, confirm in your bank app or payment app that the funds have actually arrived.
Step nine: After confirming receipt, return to the Binance App and tap the "Confirm Release" button. The system will release your USDT to the buyer.
Important: Always confirm you've actually received the payment before tapping "Confirm Release." Simply seeing a transfer notification or SMS is not enough -- you must log into your bank app to confirm the balance change. Some scammers forge transfer screenshots or send fake SMS messages.
Price Considerations When Selling BTC
Converting BTC to CNY involves two price conversions:
First: The BTC-to-USDT price, determined by the spot market's real-time rate.
Second: The USDT-to-CNY price, determined by supply and demand in the P2P market.
The P2P market USDT price in CNY is typically slightly lower than the bank's USD exchange rate (due to selling discount). The specific price depends on market conditions, generally fluctuating in a range around 7.0-7.3 CNY.
If you're not in a rush to cash out, you can sell when P2P market prices are more favorable. P2P prices fluctuate throughout the day, and sometimes late night or early morning prices may be relatively better.
Safety Tips for Cashing Out
Use a dedicated receiving account: Use a bank card specifically for P2P transactions to avoid affecting your primary account.
Verify the received amount: Confirm the actual amount received in your bank account matches the order amount. If the amounts don't match, don't release the coins -- contact Binance support.
Don't accept third-party payments: If the payer's name doesn't match the buyer's name shown on the order, don't release. Third-party payments carry high financial risk.
Keep transaction records: Take screenshots and save every P2P trade's order details and payment records for future reference.
Watch out for scams: Don't trust buyer requests in chat asking you to release coins early or provide additional information. All transactions should follow the platform's prescribed process.
Tips for Large Cash-Outs
If you need to sell a significant amount of BTC (e.g., over 50,000 CNY), keep the following in mind:
Sell in batches: Don't sell everything at once. Splitting into multiple transactions reduces risk control flags and lets you sell at different prices.
Choose large merchants: For large transactions, prioritize certified merchants with high volumes, as their fund sources tend to be more reliable.
Use bank transfers: For large amounts, bank transfers are recommended over other payment methods, as bank cards have fewer large-amount receiving restrictions.
Space out timing: Don't conduct multiple large P2P transactions on the same day. Spacing them one to two days apart is more prudent.
Tax Considerations
There are currently no clear tax regulations in mainland China for personal cryptocurrency trading, but this doesn't mean there never will be. If your selling amounts are substantial, it's recommended to:
Keep complete transaction records, including buy and sell timestamps, prices, and quantities.
Understand local personal income tax policies, and consult a tax professional if necessary.
If tax requirements emerge in the future, complete records will help you accurately calculate taxable amounts.
FAQ
How long until I receive CNY after selling? Under normal circumstances, the entire process from start to receiving CNY takes about 15-30 minutes. Spot selling completes in seconds, transfers complete in seconds, and P2P timing depends on the buyer's payment speed.
Are there fees for selling? Spot trading has a 0.1% fee (discounted with BNB). P2P trading itself has no platform fee.
What's the minimum I can sell? P2P trading minimums depend on buyer settings, typically 50-100 CNY minimum.
What if the buyer doesn't pay? If the buyer doesn't pay within the specified time, the order is automatically canceled and your USDT returns to your funding account. No losses.
Can I recover USDT after releasing it? Once you tap "Confirm Release," USDT is irreversible. So always confirm you've received actual payment before proceeding.
Once you've mastered the complete process from BTC to CNY, you won't have to worry about your digital assets being unable to convert to cash. The key is following the steps, paying attention to security details, and choosing reputable counterparties.