Although bitcoin is a perfect way to invest because you can buy them when their value is low and sell when the value is higher and make some profit, it would be best to know how to turn bitcoin into cash. Besides using bitcoins for investment, it is a good store of value that can easily be converted into other assets, including money or fiat currency. The beauty of using bitcoin to store money is its ease of transfer despite differences in currency between countries. But with some places not accepting bitcoins as a payment mode, you have to change the cryptos into cash to allow you to spend your money.
Here are some ways you can use to convert bitcoin into cash:
Using Bitcoin ATMs
You can change your bitcoins into cash at a bitcoin ATM. The critical thing to note here is that these are not the ordinary ATMs we know and use but are land-based centers where you can buy or sell bitcoins using fiat currency. Unfortunately, the ATMs are not on every corner you turn but are in a few countries in strategic places. The people who want to convert their bitcoin or any other cryptocurrency to cash at these ATMs can check online on dedicated sites to find the nearest ATM location.
As you use the ATMs, it would be best to know that all of these ATMs are not the same. Moreover, it would help if you remembered that they are best for small transactions because most have limits for deposits and withdrawals. Furthermore, their most significant downside is that they have high transaction charges, normally ranging between 7-12%.
Sell the Bitcoins on a Crypto Exchange
If you are looking for a less stressful way of how to turn bitcoin into cash, then you should choose to sell them on a cryptocurrency exchange like Coinbase or Kraken. You could also use reliable companies with wallets online like NakitCoins, which also allow crypto holders to buy and sell their coins in person and for cash.
Once you sell your bitcoins on the exchanges, you can withdraw the cash into your bank account. It is critical to note you should withdraw into the same bank account you used to deposit to ensure that the brokers do not violate any money laundering laws. The method is straightforward and secure but is not the fastest. The average duration the cash takes to hit your account in the US is 4-6 days but it differs from one country to another.
Those who want faster and anonymous transactions can use peer-to-peer platforms to exchange their bitcoins for cash. The seller can decide or choose the payment method they prefer for their cryptocurrencies. The methods include cash deposit into the seller’s bank account and bank transfer, where the buyer transfers cash into the seller’s bank account (or even a PayPal account). Once the seller verifies that the payment has gone through by seeking proof of payment, they release the bitcoins to the buyer. The seller should also ask for proof of identity from the buyer. An escrow service is used to hold the bitcoins until the seller confirms receiving payment.
If you have been wondering how to turn bitcoin into cash, you now know how you can do it using any of the above methods. You may also get a bitcoin debit card, which is issued after selling the crypto assets on some websites. You can then use the debit cards as regular cards, and they are either VISA or Mastercard thus, you can use them online and offline across the world in most places.