The Best Ways to Cash Out Bitcoin in 2020
Are you looking for the easiest and most effective ways to cash out Bitcoins? The process may appear to be slightly intimidating for a newbie but in reality, it is quite simple; albeit slightly time-consuming. The simplest ways is to use P2P exchanges or third party exchanges. However, the simplest method may not necessarily be the least expensive one; so, you should carefully consider your options before you choose any.
Before you cash out the Bitcoin, you need to take into account factors like the transaction fees that you must pay, amount that you wish to withdraw, whether you wish to deposit the money into PayPal or a bank account, and local currency and laws of the place where the transaction is going to happen. Depending on these criteria, you will find some methods to be more convenient. Here are some of the best-known ways to cash out your Bitcoins:
- Bitcoin ATMs: Just like you head out to an ATM when you need to withdraw traditional currency, you can also locate the closest Bitcoin ATMs to cash out your coins. Unlike in regular ATMs, here you withdraw money from your crypto wallet. So, the Bitcoin ATM will request you to transfer the crypt coins to a particular wallet address within a specific timeframe. When this is confirmed, the BTM releases the cash. The entire process will take some time and the transaction must be validated on the network for you to withdraw cash. Rates offered by Bitcoin ATMs are quite steep, far more than online services.
- Third party broker exchanges: These are basically exchanges, some of which let you deposit funds with fiat currencies. So, you can deposit your Bitcoins in a crypto exchange; when the exchange receives this, you may request for a withdrawal in fiat currency. This is usually done via bank transfers. When you decide to use exchanges for cashing out Bitcoins, like Coinbase for instance, you may have to wait for up to 5 days.
- P2P platforms: You may use peer-to-peer exchanges to cash out Bitcoin quickly. LocalBitcoins will offer you individuals whom you can sell your bitcoins to; for this, you can use cash deposits where you ask buyers to transfer cash to your account, bank transfers where buyers send bank transfer payments, meet in-person where you can physically meet a buyer in your area to sell Bitcoins for cash, etc. P2P selling is quite safe provided you know how to go about it; but you should be wary of fraudsters.
- Online Services: When you do not want to go for Bitcoin ATMs you can look for online services as those provided by cryptocurrency exchanges like Binance and Coinbase. These are convenient but may not benefit all crypto coin holders. For instance, Coinbase will only let you cash out when you have accounts in the US or in specific European countries.
- Wallets: Some wallets offer services like withdrawal of Bitcoins. For instance, Crypto wallet Luno lets customers cash out crypto coins to their bank accounts.
- Crypto debit cards: These are one of the easiest ways to cash out Bitcoins and other crypto coins. These cards are linked to wallets; when users top up crypto cards the cryptocurrencies are changed into fiat money. Using this fiat balance the users can spend at any store accepting payment cards and then withdraw from regular ATMs.