Afterward, you can browse through the different trading options on your chosen crypto exchange and see what it offers! Don’t get bitcoin price crashed! here is what comes next overwhelmed if a platform has numerous features available – simply focus on direct deposits and withdrawals to turn your Bitcoin into cash. Once you’re ready to convert your bitcoin to dollars (or your local currency), the exchange should let you quickly do so. You can then send the cash equivalent of your bitcoin to your bank account. You might need to wait several days for the money to reach your account, but it will eventually arrive.
Use an exchange to sell crypto
There are quite a few ways to cash out your Bitcoin, but you need to know what your goals are before selling. If you simply want to use your crypto to make purchases, you can solicit Bitcoin-friendly businesses, or use a crypto debit card to use the value of your crypto at the store. You can also earn crypto rewards that deposit into your Coinbase account (reward rates vary). Some exchanges do not allow the conversion or selling of some cryptos to dollars, so you’ll need to take an indirect route to get your cash. It’s one thing to know you want to convert your bitcoin to cash, but it’s another to know how to cash out bitcoin.
Peer-to-Peer (P2P) exchanges
Bitcoin ATMs are popping up everywhere, with tens of thousands of them located around the world. Bitcoin ATMs are a physical kiosk — typically located in a gas station or grocery store — that allow you to buy crypto with cash or a digital wallet. While most crypto ATMs allow you to purchase Bitcoin directly, only some of them allow you to sell Bitcoin for cash. While not quite as easy as swiping your debit card at an ATM, cashing out Bitcoin (or other cryptos) has gotten much easier over the past few years. So, yes, there are several ways to turn your Bitcoin holdings into cold, hard cash — but there are several things to consider before you do. If a why you should avoid hitbtc broker holds your crypto coins, then the easiest route is simply to go with that broker.
How to Cash Out Bitcoin: The Case of LocalBitcoins
Nevertheless, I’ll include some of the recommended P2P platforms with detailed guides to help you get started. However, P2P trading may have slower trading speeds, as you and the buyer have to both agree to the terms of the transaction. Also, if you’re not using a reputable platform, you risk getting scammed out of your hard-earned Bitcoin. While using a crypto exchange to cash out your Bitcoin might not be the most efficient method, it has the advantage that you can contact customer support in case something goes wrong. If you’ve just started trading crypto, chances are you’re using a crypto exchange such as Binance or Coinbase.
You can “deposit” money (buy bitcoin) or “withdraw” money (sell bitcoin) at the Bitcoin ATM. Using a peer-to-peer exchange requires sending Bitcoin (or other crypto) directly from your digital wallet to another user’s digital wallet. In turn, you will receive payment through Zelle, PayPal, or another method of deposit to your bank account. Many crypto exchanges charge high fees if you use their simple “sell my what is an sql database administrator career path and overview crypto” option. Coinbase, for example, charges $0.99 when selling under $10 worth of crypto (which makes it nearly a 10% fee), and around 1.50% for larger transactions when selling through their platform. The only way around this is to use the “Advanced Trade” platform on Coinbase to sell your crypto, with fees as low as 0.60%.
Before making financial investment decisions, do consult your financial advisor. If you have read this guide from start to finish, you should now know how to cash out Bitcoin! Even though it’d have cost you 1% in fees, you could have set up your own price and chosen your own payment method. In this case, you’d have received a notification from buyers when they wanted to buy from you. To make sure brokers don’t break money laundering laws, you’ll need to follow some rules. Notably, you’ll need to withdraw to the same bank account that you deposited with.
- In turn, you will receive payment through Zelle, PayPal, or another method of deposit to your bank account.
- While crypto wallets are designed to store and secure your crypto, many of them partner with crypto exchanges to offer trading services.
- This convenience is a major part of bitcoin debit cards’ appeal, but it also comes with a fee.
- There are multiple options to choose from when you want to cash out your Bitcoin.
- This can be done with a QR code, or by typing in the Bitcoin wallet address to your digital wallet, and sending the requested Bitcoin amount.
- The key with these apps is you need to already hold your crypto within the app, otherwise you can’t cash out.
Whether you use centralized exchanges, crypto debit cards, peer-to-peer exchanges, Bitcoin ATMs, or gift cards, you have different options. For most of the best cryptocurrency exchanges, selling bitcoin results in a U.S. dollar balance in your wallet. Once this transaction has been completed, your money is available for withdrawal. To withdraw your cash, you must link your bank account to the exchange platform of choice.
You will want to talk to a tax professional to understand how crypto transactions are taxed in your area. When you cash out bitcoin, the exchanges generally charge a small fee to process the transaction. The fees vary based on which platform you’re using and the method you send your money.
