Bitcoin doubles as a transaction currency and an investment asset. While Bitcoin allows you to pay for various goods and services directly, not all merchants accept crypto. Besides, you may also have other financial needs that require converting your Bitcoin into local currencies. That makes knowing how to cash out crypto vital. The following are the best ways to cash your Bitcoin seamlessly, securely, and fast.
Sell Your Bitcoin for Cash on an Exchange Platform
Crypto exchanges are the most reliable marketplaces to sell your Bitcoin for cash directly. Most platforms have all the necessary tools and resources, including a trading bot to determine the exchange rates and amounts you will receive in fiat currency based on the traded Bitcoin and your chosen local currency.
The process is easy if you already have a wallet on the exchange platform. However, remember crypto exchanges charge transaction fees depending on the transaction volume and frequency. Besides, you will also need a bank account where the crypto exchange will deposit the funds after the transaction.
Use a Crypto Debit Card
Crypto debit cards work similarly to regular debit cards but do not pull funds from your bank account. Instead, a Bitcoin debit card will extract Bitcoin from your wallet to a bank account in cash. For example, the BitPay Card allows its users to cash out Bitcoin and other cryptocurrencies to USD flexibly. The card also enables you to pay for products in-store, online, and even withdraw cash straight from ATMs.
Other Bitcoin debit cards exist that you can also use to turn your Bitcoin into cash. Although you can withdraw the funds to your bank account, it is not conditional. However, standard ATM fees apply if you use an ATM to withdraw cash.
Peer-to-Peer (P2P) Exchanges
While most popular crypto exchange platforms are centralized, peer-to-peer exchanges also exist. Unlike their counterparts, P2P crypto exchanges are not controlled or regulated by a single entity. Instead, their transactions exclusively occur between the two parties to a transaction. The cryptocurrency exchange connects the buyer and seller without an intermediary.
P2P exchanges can be lucrative ways to cash Bitcoin since you list your price and wait for a suitable buyer to make contact. Besides, the absence of intermediaries also contributes to lower transaction fees. However, the process is more effort-intensive than a centralized exchange or a Bitcoin debit card. It would only be ideal if you want to sell Bitcoin on your terms and do not need the cash immediately.
Get Cash From a Bitcoin ATM
Bitcoin ATMs are specialized banking machines from which you can buy and sell cryptocurrencies. Like in a regular ATM, you only need to insert cash to purchase crypto. However, the device will create an invoice with agreed rates to enable you to sell your Bitcoin for cash. Bitcoin ATMs allow you to easily convert and receive your Bitcoin in cash without a bank account.
However, using a Bitcoin ATM to cash out your Bitcoin will also attract some fees. The charges can sometimes be even higher than using exchanges and crypto debit cards. Bitcoin ATMs are today available in various cities across the world. CoinATMRadar is one of the best platforms to help you quickly find Bitcoin ATMs in your location.
Overall, all the above options can help you cash out Bitcoin safely and conveniently. However, always consider the taxes, transaction costs and speed to determine the best way to cash your Bitcoin and maximize your earnings.
