Cryptocurrency such as Bitcoin and Ethereum is becoming more relevant these days. That is because more and more people are adopting and investing in the crypto industry. One of the good things about cryptocurrency is once you’ve sold your bitcoin or Ethereum, you can instantly get your money from it. But if you don’t know how to withdraw cryptocurrency to cash, this article is a big help.
Learning how to withdraw cryptocurrency means you get to enjoy your earned money and transfer it to your bank account. But what if you don’t know how to do it? Then there lies the problem. However, lucky for you, in this article, you’ll know some of the ways on how to withdraw cryptocurrency to cash with some basic steps.
Main Methods on How to Cash Out Your Cryptocurrency
Peer-to-Peer exchange is one of the most popular ways on how to withdraw cryptocurrency to cash. This works by connecting two bitcoin users and matching them according to their terms and conditions. What this means is the transaction is between two people. Person A is buying from person B. When a person is trying to sell his bitcoin at this specific price, and person B is looking to buy bitcoin at a similar price, it matches and carries out the transaction without the need for digital currency exchange.
One of the good things about this method is they tend to carry out without any limitations imposed by the exchange. By this, users won’t have to deal with charges and a rather long waiting time for your cash to be transferred. There are three possible ways to withdraw cryptocurrency to cash using the P2P method, either by bank transfer, bank deposit, or directly to the person you are dealing with.
P2P exchanges also have its advantages, it is rather quick compared to third party broker exchange, and it imposes fewer charges, and gives the owner total control of their funds and who to transact with. However, P2P exchanges are less secured compared to other methods.
How to Withdraw Cryptocurrency to Cash Using the P2P Method
- Look for a reliable P2P exchange and register yourself.
- Set your selling price for your bitcoin, Ethereum, or other cryptocurrencies.
- Wait for the P2P to match your selling price to a certain buyer.
- When it is matched, you can contact the potential buyer and make arrangements, terms, and conditions.
- Until the payment is received, you should put your bitcoin in escrow first.
- Once payment is received, release the bitcoin.
Third-Party Broker Exchange
It is another popular choice on how to withdraw cryptocurrency to cash. A third-party broker exchange, commonly known as a centralized cryptocurrency exchange, handles all the buying, selling, and storing of cryptocurrencies. This works by registering into exchanges like Coinbase or Binance, a seller can be potentially matched t to a specific buyer when both parties are matched. The third-party broker exchange handles everything, but with some additional charges because of the use of their service.
This method is best when people don’t want to associate themselves with other people’s fear of being scammed. In fraud or theft, the exchange is held liable when the user’s account is compromised. As a result, the broker exchange will replace the lost funds. This option is best for people who want to withdraw cash directly to their bank account once transactions are complete.
One of the main advantages of a third party broker exchange is your transactions are secured and safe. However, they do have more control over your funds than you already have and take a few days to transfer your money from the exchange to your bank account.
How to Withdraw Cryptocurrency to Cash Using Third-Party Broker Exchange
- Go for the best exchange for your bitcoin. And if the price meets your conditions.
- Register to a reliable exchange account such as Binance or Coinbase
- Deposit your cryptocurrency into the wallet from the exchange account you have
- Place your selling price, and wait for someone to buy it.
Although this method was only used in recent years, Bitcoin ATM works by allowing everyone to buy and sell bitcoin using cash or an ATM. Bitcoin atm looks similarly close to a traditional atm but isn’t backed by any banks. There are over a thousand bitcoin ATMs spread all over the world. One of the good things about bitcoin atm is you don’t have to deal with the stresses of dealing with charges imposed by exchanges.
It is a pretty secure and straightforward type of transaction. It allows a person to withdraw bitcoin or cash without another party’s interference. And because there are thousands of bitcoin ATMs, they vary by their operations.
One of bitcoin’s key advantages is that it is more straightforward and less hassle than a currency exchange. It is also secured and safe so that you will have no problems. However, one of the negatives with bitcoin atm is you do need to be at the bitcoin atm physically.
How to Withdraw Cryptocurrency to Cash Using Bitcoin ATM
- First, you must locate the nearest bitcoin ATM by visiting sites that specialize in locating bitcoin ATMs.
- Once you are at the atm, select the option which says withdraw.
- You are then prompted to select the currency, choose bitcoin.
- Place your withdrawal amount.
- Once done, you can now send bitcoin to any mobile wallet with the Bitcoin ATM’s QR code.
- Collect your money.
There are a lot of ways on how to withdraw cryptocurrency to cash. Thankfully, each of these method is pretty quick, easy, and secured. Regardless of which type of methods you choose, those mentioned above are most commonly used and reliable. Lastly, investing in cryptocurrency is a hit or miss type of thing. Just be sure you know what you are dealing with before you know it already too late. Learn more about cryptocurrency here!