How does a whale sell its huge amount of bitcoins and change them into fiats?

[Z390]

You are stupid if you convert a high amount of money that can raise questions into your bank account, what do you expect? Your account will be frozen and you will have to prove that this money is not fraud or illegal money.

There is one way you can afford this, gradually change the asset into Fiat, deposit only amounts that won't create any suspicious attention, assuming you have 10 BTC, 0.5BTC- 1BTC is enough to start whatever you want to do with money in the real life.

Some cryptic whales are not big company owners or popular people, they get a lot of Bitcoin because they bought them cheap and some accumulated Bitcoin through mining years ago, those people are treated as normal people in banks, so they carefully convert a ration of their Bitcoin for Fiat.

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[xSkylarx]

The only way that the whale can convert his BTC into his own fiat is by gradually converting it monthly, because if it is done daily, that is easy to detect by banks or any platform that you are planning to exchange, unless you are paying someone to use their identity or use their bank to transfer those funds, so that it will be distributed and not easily detected. But it should be done monthly because the limit was detected on a monthly basis, but I am not really sure if they will be able to detect the total yearly incoming on your account. That is the only way you can convert it without any detection, but I am still not 100% sure as I haven't tried it.

[EarnOnVictor]

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

What any whale should be concerned about is the legitimacy of that BTC, if it's not bought/arranged through illegal means, then it's a go. It's, however, not uncommon that banks flag accounts, but it would be for a little while if you have all your proofs provided to them, it's as simple as that.

While some that would want to receive a very huge amount could notify their banks earlier and provide proof to avoid delay. It's all business for banks, they are only being careful of what to tell regulators, and if you are detailed, it's no issue for them.

[Despairo]

We have discussed this many times in the Legal section of the forum and the conclusion is that the best thing to do would be to hire a professional specialized in these matters to advise you, as what you can do will depend on the legislation where you live.

It's not necessary to hire a professional because there's a chance you might get a problem after that. The professional might force you to give him huge fees and threat you if you not do it or they will try to manipulate and make you always follow their words.

Based on the @OP story, those ordinary citizen just need to split his Bitcoin into few wallets and only cash out from little to big, not sell in once time. Although the chainalysis can track all of his addresses, but most of the time bank don't bother to check it.

[Crypt0Gore]

Hello,

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

I will like to pretend as if this happened to me, I don't normally leave a large amount of money in my bank account and I use a private bank not the public banks that belongs to the government, I can change over 20,000$ to my native Fiat currency and I don't see anything wrong in doing so, the only time to expect problem is if the bank figure out that you are into crypto investment while there is a ban on crypto in the country.

Even if I have a very large amount of money in Bitcoin, I won't be stupid enough to convert the whole money into Fiat and send them into my bank account, my money is safer in BTC or USDT than my bank anyway.

Why would anyone do that? To show off? If you want to build a house you can't build it in a day, so take your time to use a certain amount to continue the house project every month, what could you possibly need the large amount of money for if you convert every thing into Fiat? It makes not sense.

[slaman29]

As some people mentioned above, whales just go through OTC. Less hassle, better rates, and bulk selling without even needing to go past anyone except the OTC, who usually does face to face KYC for big deals.

Also, I heard that whales who do use exchanges make sure they have a private deal first, and exchanges just make the exchange OTC anyway.

P2P seems legit before when you had Localbitcoins but I think now volume is very hard to meet whales demands.

[Becassine]

Hello,

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

I will like to pretend as if this happened to me, I don't normally leave a large amount of money in my bank account and I use a private bank not the public banks that belongs to the government, I can change over 20,000$ to my native Fiat currency and I don't see anything wrong in doing so, the only time to expect problem is if the bank figure out that you are into crypto investment while there is a ban on crypto in the country.

Even if I have a very large amount of money in Bitcoin, I won't be stupid enough to convert the whole money into Fiat and send them into my bank account, my money is safer in BTC or USDT than my bank anyway.

Why would anyone do that? To show off? If you want to build a house you can't build it in a day, so take your time to use a certain amount to continue the house project every month, what could you possibly need the large amount of money for if you convert every thing into Fiat? It makes not sense.

I was thinking that this could be frustrating perhaps for someone who is super happy to find his private keys after so many years and who thinks that he has more than enough to buy a house but finds himself a little stuck because he cannot not buy his house in BTC or repatriate his funds to buy one.

[kryptqnick]

I think it depends on the person's financial history and background. If a person is known to have a successful business, big money being in and out of the account won't be suspicious for the bank. The same goes for a person who is officially employed and receives a very high monthly salary, or someone who does grant-based work that also provides a lot of money from official clean sources. If a person's officially unemployed but suddenly receives a ton of money from an unrecognized source, that can raise red flags for the bank. But if we're talking about whales, that means we're talking about very rich people. Of course, there's a chance they are only Bitcoin rich, but in that case there's an option to pay taxes and get the profits. If you're a whale, you can comfortably afford to pay taxes because you'll still be left with a fortune.

[Litzki1990]

There are some banks that accept bitcoins directly by accepting bitcoins they give fiats money to customers but not all countries have such banking services. There are some countries where the banks of the countries are far from accepting bitcoins and there are various negative comments about bitcoins, then how do the people of those countries convert huge amount of btc into fiats money. In this case, people from all those countries can use the P2P system of different exchanges or convert their BTCs into fiats by buying and selling with different members.

[Churchillvv]

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

For me poker player, has almost the perfect answer to this post. Additionally, before anyone can get a certain amount of fiats that can cause red light alert whether ordinary citizen or famous most have at least knowledge of money management and the day to day running of his or her residence. So if any case of this nature should emerge, it most be the persons lack of application of knowledge ( WISDOM) of money or lack of  knowledge of his or her residence. Thou this case depends on individuals view.

[Lucius]

That's my question. A person who lost his private keys for years and recovers them. Maybe he mined btc or he won btc with a faucet, how can he prove all that after 10 years ?

Ownership can be proved in a very simple way, and that is by signing a message with one or more public BTC addresses. After that, he has to find out the process of paying capital gains tax, and then he can sell his BTC without any problems.

If I found 10 BTC and wanted to sell them all I would have to do is submit a tax return and explain when and in what way I acquired that BTC, and for all crypto assets acquired before 2016 I do not pay any tax (local law). I don't think this kind of thing is a problem, at least not in countries where BTC is not declared illegal or if it is not acquired illegally.

[Adbitco]

Hello,

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights.

These sets of people often or alway uses a business and a company account to sell out their bitcoin to fiat in larger quantities.
However, there are different types of bank account which i think for you to deposit a higher amount of money you must need current or company account to send out money instead of using a savings or students account to pull out large amount of money. Company account doesn't go into questioning that much and are free to transfer and receive a higher amount.

[avikz]

Hello,

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

Walk to an offline broker and negotiate a deal with them. Receive a portion in cash and rest in bank. But it is wise to not convert a huge amount of bitcoins at once. If you suddenly receive a huge sum of money in your bank account which doesn't match the previous transaction trend, your bank can freeze the account.

So always convert a little amount of money which doesn't raise suspicion. Or do cash trade with offline brokers.

[Broadanbig]

Hello,

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

I had to look into this and i had a thought over it, what would one be doing with such huge amount of money  at instant withdrawals be it in a crypto friendly or anti crypto country. I realize that there are some big shots who could just do that within some seconds and nothing would happen and i remembered that this topic could still be applicable to a person with modest lifestyle and all of a sudden he or she discovers their private keys to a long time wallet holding lots of funds and that is where it begins, government and bank begins to pop eyes into you but as a smart individual, you show know that it would be very risky to make such huge withdrawal at a stance because it would attract the bank to you and you would start fielding unnecessary questions which should have better been avoided with wisdom. Be it  a crypto friendly or anti crypto country, it would happen so as long as there have been no record of such financial transaction related to your account before.
This kind of situation is better handled with wisdom so as not to loose out.

[Faisal2202]

After reading the first page of replies i can conclude that it is not possible for an ordinary person who just became a millionaire to withdraw money by keeping his/her identity hidden. As, i have read recently that there are exchanges that do not require KYC and there are people who gave 100% importance to remaining hidden of course their intentions are not bad always. Just like our respected Ratimov.

The point is, if you are a guy who gives hundred percent importance to anonymity then it will become die-hard for you to withdraw all of your million in one go on any centralized exchange. As divide and conquer rule best suits you here but you needed them in a hurry so what you can do is maybe contact any group of people who would withdraw your money using their centralized exchanges into their banks and then they would send it to you, maybe you could ask your friends or relatives to make this happen for you but still, it will be opened to everyone. (no secret will remain hidden).

I would suggest, trying to negotiate with the seller of the house, maybe he would agree to receive direct BTC so you could just hand over your BTC or Wallet containing BTC to him. Everyone has there own way to deal with things and find loopholes and different ways based on the country you are living, so answer will never be same and many will hesitate to share this info too.

[Cryptomultiplier]

What good is a whale signal without a whale movement?
It would be difficult for a whale to convert such huge coins into fiat without heads turning as to why, what it is intended for.
Some do purchase stuff online or from the dark web, and maybe resell upon shipping.
Perhaps, buying shares in start up companies or stocks, since that could be done.
The divide and conquer as I read somewhere here can
also best suit such a sale, for ease of changing into fiat.

[yazher]

Hello,

From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

It won't be a problem if the bitcoins are his because the government has nothing against him as long as the bitcoins are yours. But the problem here is the envy you will face because once there are people who know about the massive amount of bitcoins you have, most of them will be interested in getting it from you, and you won't get away with it once they know your location. That's why the best thing to do is to lay low and chill, and you just need to learn the basics on how to hide your identity when converting it to fiat to protect yourself from those kinds of guys and also from huge numbers of questions from the banks.

[Crypto Library]

Hello,
From what I read, someone who sells btc sometimes has trouble receiving the fiats in its bank account. If the sum is large, the bank turns on all its red lights. I guess it's not a problem for someone famous, but for an ordinary citizen, how it happens if he lives modestly, recovers his private keys that he lost 10 years ago and finds himself with millions?

I don't think that any person who lives in a country where Bitcoin or cryptocurrency is legal he should go through any trouble for selling bitcoins whether it is a big amount or a small amount it doesn't matter.
But it does matter, in those countries where cryptocurrency is not legalise. There you can be in danger for selling not only million of dollars or even thousands of dollars. As currently cryptocurrency is illegal in my country, trading any kind of cryptocurrency here is a punishable crime. And already many people have been caught and jailed for this cryptocurrency transaction.
So the main thing is where you are living if there cryptocurrency is illegal then 1k dollar of selling bitcoin can be a cause of trouble for you, but if you are living in a country where it is legal then i think you don't have to be worry for anything Even then, if there is any problem, it will be cleared just by showing the document.

[nakamura12]

Nobody here is worrying how one whale can be turning his/her BTC into fiat and not be caught red-handed by glaring authorities (yes, of course, the conversion can be done slowly so as to never reach the red flag level). Now, I think the big program is NOT having enough Bitcoin on someone's wallet that can be sold once there can be a big bull run soon - that is when BTC will breach the $60K level and then get into the 7-digit zone. I am expecting that there can be a big wave of interest with BTC coming from both institutional and retail investors so better watch out for that and continue holding your BTC guys!

I think it would be best to ask a whale if he know someone and ask how a whale would convert his BTC to fiat money. My guess on how they withdraw their money is to never withdraw a huge sum of money instead withdraw portion by portion so that it won't noticed. That's what some people in my country did when they have earn money from crypto and you say that the amount is in millions in fiat moi.

[panganib999]

Either they cash it out in one go or they cash it out by sending it to different addresses to not rouse suspicion and then cashing it out through those wallets. It’s been a staple tactic that always works since time immemorial since bitcoin has nothing it has against selling of huge quantities of bitcoin anyway. But if you’re worried bout whales selling their holdings and then dumping the value of hitcoin for their benefit then I got good news for you, it’s not as major as think it is. For one, bitcoin is decentralized, and democratic so the common people still holds the power against the one percenters. The whales know this much and are in return making sure that bitcoin is kept alive because the moment everybody jumps ship in this train whales and everyone will have nothing to use anymore,