This guide covers cashing out crypto in Canada: where to sell, converting to Canadian dollars, withdrawing to your bank, handling large sales, and what the sale means for your taxes. The buying side is covered in how to buy Bitcoin in Canada, and our other crypto guides are on the crypto and alternative investments hub.
Step-by-Step: How to Sell Crypto in Canada
Step 1: Choose Where to Sell
Trading fees and spreads for each platform are compared in how to buy Bitcoin in Canada. What differs when you sell is the cost of getting the cash out:
| Platform | Cash withdrawal fees (from its own fee page, September 2026) |
|---|---|
| NDAX | Interac e-Transfer $1.50; EFT $4.99 |
| Bitbuy | Interac e-Transfer free, up to $2,000 per withdrawal; wire 1.5% |
| Shakepay | Interac e-Transfer and wire free (your bank may charge to receive a wire) |
| Kraken | Depends on the method; shown on Kraken’s withdrawal page |
| Wealthsimple Crypto, Newton, Coinbase | See the platform’s fee page |
Step 2: Sell Your Crypto
- Log in to your exchange account
- Navigate to the sell page or trading interface
- Select the cryptocurrency to sell (BTC, ETH, etc.)
- Choose to sell for CAD (not USD or another crypto: selling for another crypto is also a taxable event)
- Review the price and fees
- Confirm the sale
Step 3: Withdraw to Your Bank
- Go to the withdrawal/funding section
- Select CAD withdrawal
- Choose your linked bank account
- Enter the amount
- Confirm and wait for the transfer
| Withdrawal Method | What to expect |
|---|---|
| Interac e-Transfer | Usually the fastest, but with low per-withdrawal limits (for example $2,000 at Bitbuy and $10,000 at NDAX) |
| EFT (electronic funds transfer) | A bank transfer that can take a business day or more |
| Wire transfer | For large amounts; some platforms set a minimum ($10,000 at Bitbuy) |
Selling Large Amounts ($25,000+)
| Consideration | Details |
|---|---|
| Verification | Exchange may require enhanced KYC (ID, proof of address, source of funds) |
| Withdrawal limits | Daily/monthly limits may require multiple withdrawals |
| OTC desk | Some platforms run an over-the-counter desk that fills a very large order at one negotiated price instead of across the order book |
| Wire transfer | Higher limits than e-Transfer for large amounts |
| Tax planning | Large gains may push you into a higher tax bracket: consider timing |
| Bank questions | Your bank may ask about the source of funds: keep exchange records |
Taxes when you sell
Selling crypto for Canadian dollars is a disposition, and so is trading one coin for another or spending it; moving coins between your own wallets is not. The gain is usually a capital gain, with 50% of it included in income, but frequent trading can be taxed as business income instead. The full rules, what records to keep and how to calculate your adjusted cost base are in the crypto tax guide.
| Step | Example |
|---|---|
| Adjusted cost base | Bought 1 BTC for $40,000 |
| Proceeds | Sold 1 BTC for $90,000 |
| Capital gain | $90,000 - $40,000 = $50,000 |
| Taxable amount | 50% of $50,000 = $25,000 added to income |
| Tax at a 30% marginal rate | About $7,500 |
If you hold a TSX-listed crypto ETF instead of coins, selling works like any other ETF, and inside a TFSA there is no tax; see best crypto ETFs in Canada.
Common Mistakes When Selling Crypto
| Mistake | Better Approach |
|---|---|
| Not reporting trades to CRA | Every disposition has to be reported |
| Forgetting crypto-to-crypto trades are taxable | Each trade is a taxable event, even BTC → ETH |
| Not tracking ACB properly | Use crypto tax software or a spreadsheet from day one |
| Selling during a panic | Have a plan in advance: don’t sell emotionally |
| Selling everything at once | Selling in tranches across tax years spreads the gain over more than one return |
| Ignoring foreign exchange | CAD value at time of each transaction is what matters |
That plan should include an exit framework before you buy, which is one reason Bitcoin ETF vs buying Bitcoin directly in Canada matters for Canadian investors.
Related Resources
Sources
The figures and rules on this page come from these sources, last checked against them on September 23, 2026. How we check facts.
- Canada Revenue Agency: Capital Gains – 2025