Why Does the Price of Bitcoin on Paxful Vary?
The value of Bitcoin relative to the US dollar fluctuates constantly, which directly affects how much Bitcoin you receive in a trade on Paxful.
The final amount you get also depends on the seller. Some sellers may offer Bitcoin with a small margin—around 5%—while others may charge as much as 50%. Each seller sets their price, and it's up to you to decide whether to accept their terms or look for a better deal.
Why Isn’t the Bitcoin Price on Paxful the Same as the Global Market Rate?
When buying Bitcoin on Paxful, the price you see in an offer may differ from the official international rate. This is similar to exchanging foreign currencies, like buying USD with GBP—exchange rates vary depending on who you're dealing with.
Cryptocurrency operates in a free market, where buyers and sellers can set their prices to reflect the value of their time, effort, and the convenience they offer. Sellers of Paxful are free to determine their margins.
Who Determines the Price on Paxful?
Paxful calculates a reference market price for Bitcoin by averaging the rates from three major exchanges: Coinbase, Bitstamp, and Bitfinex. Most sellers use this rate as a baseline, but they can still set their final price.
Typically, sellers add a markup to the base rate to account for the convenience, speed, or risk involved in each transaction. As a buyer, it’s your responsibility to compare offers and choose the one that best fits your needs.
How Can I Check the Price and Know What I’ll Receive?
Each offer on Paxful displays a “Rate per Bitcoin” in USD. The lower the rate, the more Bitcoin you'll get for your money. To see how it compares to the market rate, you can check the current prices on Coinbase, Bitstamp, or Bitfinex, and then compare them with the offer price.
Paxful shows how much Bitcoin you’ll receive per dollar. Since Bitcoin prices are standardized in USD before converting to other currencies, this gives you a clear idea of what you’re getting.
Example:
You choose an offer to buy Bitcoin via bank transfer at a rate of $105,454.88 with a 3% fee. This means for every $1 you spend, you receive approximately $0.97 worth of Bitcoin.
Let’s say you are willing to pay 15 USD to the seller. This means you get 14.59 USD worth of bitcoin, which is 0.00014224 BTC.
Is this trade worth it?
If all other bank transfer offers have less favorable rates, then this trade could be a smart choice. Whether you make a profit or a loss depends on how Bitcoin performs after your purchase. If the price rises, you’ll be able to sell at a profit. If it drops, selling could result in a loss.
Note: The Bitcoin rate used in the example is for illustration only. The actual rate on the website changes continuously.
Tip: Always plan ahead. As a buyer, take the time to explore different sellers, offers, and rates to find the one that best fits your budget and needs.
If you need any assistance from our Support team, do not hesitate to contact us. Check out this article on How to Contact Support.