If you have some BTC in your digital wallet then, at some point, you are going to want to cash in your bitcoins for real money. If you are wondering how to do that, this article is for you. For starters, it is crucial to note that cashing in bitcoins is not as complicated as many people think. Most methods are relatively straightforward. Bitcoin enthusiasts usually use third-party exchanges or even peer-to-peer exchanges. Before we get started, you ought to know that the easiest method is not always the best.
Factors to consider before cashing out bitcoin
The first thing you need to know is whether the platform you intend to use charges a transaction fee. If it does, you need to find out how much it will cost you for each transaction. This is important because some exchanges’ transaction fees can be insanely high.
The next thing you need to think about is the amount of money you would like to withdraw. Do you want to deposit it to a bank account or your PayPal account? Another aspect that you must factor in is the amount of time it takes to receive the cash. This may vary depending on where you want the money to be deposited. Ensure that you are up to speed with your local laws regarding digital currencies.
The convenience of each method
The chances are that you are wondering which method is more convenient when cashing in bitcoins for money. Before you start this process, do some research and compare the available methods. For example, if you want to use PayPal, confirm that your chosen payment platform supports it. For large volumes of money, it is vital to be aware of any tax issues and alert your bank. Some banks are quick to freeze money that comes from unusual sources.
Third-party broker exchanges
A third-party broker works like an ordinary exchange. What you need to do is deposit your bitcoins with a third-party brokerage firm.
Then send in a request to withdraw it as fiat currency. You can accomplish this through a wire transfer. Since money laundering is a tremendously sensitive manner, you have to deposit and withdraw using the same bank account. NakitCoins is one of the most reputable crypto-exchanges that you can work with. It will take you up to 5 days to receive your money after you initiate the process.
Cashing out bitcoin using a peer-to-peer approach
Using a peer-to-peer platform is another viable option to cash in your bitcoin. Moreover, it takes less time, and it is mostly anonymous. This method revolves around selling bitcoins. Those who want to buy your BTC have to use a mode of payment that you are happy with. The best part is that you can request that the buyers deposit the funds directly into your bank account. However, do not release the bitcoins before you are certain that they have deposited the money. To do this, you need proof of payment as well as their ID. Besides, you could opt to meet the person you are selling the bitcoin to and do a face-to-face deal. The other options include asking them to pay through a bank transfer.
As you can see, if you have been wondering can you cash in bitcoins for money, you can do it through several methods. It is not as complicated as you may have been thinking. With the methods we have listed above, you can do it anytime you want.
