So, you have mined a handful of bitcoins and want to cash them now but are confused about how to do it. There’s nothing to be worried about as we have got you covered. You will get through the whole process of “How to Turn Bitcoin into Cash”. This guide will enlighten you with the methods of how to turn bitcoin into cash or simply how to convert bitcoin to cash. Efficient and safe ways to do this, selling bitcoins, and everything you need to know.
By the end of this guide, you’ll be able to make money and convert bitcoins to cash.
Table of contents:
- Cashing Out on Crypto Exchanges
- Cashing Out on a Peer to Peer Exchange
- Bitcoin Global
- Local Bitcoins
How to Turn Bitcoin Into Cash?
There are multiple ways that you can convert bitcoin to cash, but the most important thing to look up is to consider “How Long does it take to sell Bitcoin?” your ease and accessibility and the way you are most comfortable with.
To convert bitcoin to cash, next is how you want your money, you can have the money in your bank account directly, or to your PayPal and then withdraw via bank, would you rather buy something with your coins or have them in cash, and finally, how urgent you want to convert these bitcoins to cash.
What are the most popular Bitcoin Cash out Options?
Cashing out bitcoins seems to be a very difficult and technical process by name. But in reality, it is not that difficult, rather a very simple and easy process. At the moment there are multiple methods available and being used to cash out bitcoins. Some of them are easy to use and some are fully equipped tools that give you a whole analysis of the market and helps you to make your choices to sell or hodl your coins and watch them grow.
As per the discussed conditions, there are multiple ways to cash bitcoins, which we call to cash out methods. Some of the most famous and widely used of those are,
1. Cashing Out on Crypto Exchanges
These crypto exchanges work exactly in the same manner that normal cash exchanges work. You are to deposit your coins to one of these exchanges and then you can then request a fiat money withdrawal via bank transfer or an ATM. But you have no idea of who is going to be the counterparty you are trading with.
Some of the most popular third party crypto exchanges are,
Coinbase is the largest coin exchange with a user base of around 13 million and processing more transactions than any other exchange in a day.
Coinbase lets you buy and sell your coins in exchange for cash. Which you can then withdraw via bank transfer which is the most convenient way to use to convert bitcoin to.
The time it takes for your coins to be cash that you can withdraw varies as per regions. For example, it takes 2 – 4 business days in the US but not necessarily in India or any other region. You can check your region’s time on their website too.
Stormgain is a kind of all in one service provider exchange. Stormgain provides a built-in wallet that supports the 6 most popular currencies, to hodl and exchange your coins for trades. It provides the best exchange rates in the market. Stormgain also provides analytics support to the traders daily that help them grow their assets and make lots of money.
Same as Coinbase, Stormgain also allows you to withdraw your money directly to your bank account and then draw as fiat cash, or you can have it in your PayPal and then draw directly via ATM.
Transaction time depends upon the bank that you are drawing in and the region you are in. On average, it takes around 3 to 5 business days for a transaction to be cleared and available to be cashed.
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Binance is a comparatively new but widely accepted exchange that gained vivid popularity in a very short period. As of January 2018, Binance was the biggest crypto to crypto exchange in terms of trading volume.
Binance provides a direct withdrawal of cash to your bank account or your debit or credit cards, which can then be used as normal fiat money.
Binance bitcoin to cash conversion time is typically a few days and on average, it takes only 3 to 5 business days to get your bitcoins as cash.
Cashing Out on a Peer to Peer Exchange
In contrast to the third party crypto exchanges, peer to peer exchanges do not involve an intermediary in any form. Both the parties involved in the trade are aware of the counterparty and have all their information all the while. This makes the transaction more and clearer for the users and reduces the risk of scams and frauds. But simultaneously, this takes along a risk of privacy and security to the users.
The best thing about these peer to peer exchanges is that they provide many payment methods ranging from banks to monetary service providers like PayPal or Payoneer and even gift vouchers. All you gotta do is post an advertisement to buy or sell your coins. Some of them also provide a user rating system that allows users to have a trust system to evaluate the one they are dealing with.
There are only a handful of peer to peer exchanges that operates in the crypto market, some of which are,
1. Bitcoin Global
Bitcoin Global is a global peer to peer crypto trading platform with a mission to pave the way to mass adoption of blockchain technology and expand the crypto community by providing a secure and easy to use peer to peer exchange.
It is really easy and hassle-free to use. All you need to register is an email and you are ready to go. Register on the platform, post an advertisement to sell your coins and convert your bitcoins into cash instantly with secure transactions and with no middleman to rely on.
Bitcoin Global provides state of the art security for a foolproof transaction as, during the trade, it locks the crypto coins into a secure escrow system until the seller confirms the payment from the buyer. In case of any mishap, their 24/7 help centers are there to assist you in the trade.
Paxful is just 5 years old and changing the way we organize our crypto finances. They are just getting started and have a user base of millions.
Paxful started with a mission to empower the four billion unbanked people, in a way that they are in full control of their money in a way that they never had before.
Paxful is changing the way the world deals with money and embraces cryptocurrencies, allowing transfer from anyone, anywhere, and anytime. They have more than 300 payment methods to choose from when withdrawing your cash. Paxful is truly an example of by the people, for the people.
It also provides a built-in crypto wallet and the most advanced escrow secured system to secure all your trades.
LocalBitcoins is a person to person bitcoin trading platform. It hails people from around the globe to engage in the crypto trade and convert bitcoins into cash. LocalBitcoins provides a really simple and sleek interface that leads you to have your cash instantly.
LocalBitcoins is in the market with a mission to connect everyone in the internet economy. They have enabled the underbanked population to hold their finances with nice and efficient management and virtually remove the borders and connect everyone in the world.
The process is simple: just register on the platform, post advertisements to sell your coins, trade and you’ve just converted your bitcoins into cash.
Can Bitcoin be converted to real money?
YES! Of course, anyone can convert their bitcoins or any other cryptocurrency into fiat cash using any of the above-mentioned methods. As of context, Bitcoin is real money that is being accepted at many places but is not in common use now and is gaining value and popularity in masses real quick and will be widely accepted soon as a normal mode of transactions.
Should I cash out my bitcoin?
After analysing the price curve of bitcoin it is not the best time to sell your coins as prices are seeing a drop and are expected to rise again soon. If you are selling at a profit you are in a good position otherwise it is not the time to sell but hodl your assets.
The market is expecting a bull run and is recovering from a bearing move by the investors that left many into losses.
There is another method that expert investors use is that they cash out the initial investments that they made on bitcoins and as a move to save the initial capital and leave others to multiply, making a hefty amount in profits and that too a guaranteed profit. No matter what stage the market is at, they are only making profits that double their assets.
Moreover, looking in the longer run, bitcoin is one of the best assets to invest in. People who invested cents in bitcoins in the early ’20s are making millions now as the worth of bitcoins increased exponentially with time and left millions to people and is still growing up and high. Considering this, cashing out bitcoins should be the last option.
How long does it take to sell bitcoin?
Time duration to sell your coins varies and depends upon,
Mode of the transaction – if you are using a third-party exchange, it will generally take around 3 to 5 business days, considering every requirement is fulfilled. If you are going for a peer to peer exchange this will take more time as you are to wait for a buyer to accept your proposal and negotiate for the best price. And if you are going to sell your coins directly to someone it is going to take only a minute and you will have your cash instantly.
Mode of payment – time required by different platforms to clear your cash varies. Western Union for example takes 2 to 3 business days to process your request. While a bank/wire transfer will get you your cash in an instant.
The region you are living in – this has the most impact as many of the countries have banned cryptocurrencies in their premises and are illegal to trade. And if you are in one of them it is going to be illegal for you to deal in bitcoins. Some countries are pro bitcoins and there will be an advantage in dealing with bitcoins as they have made pro-crypto laws that help users to trade easily and efficiently.
Considering all the scenarios it will take you 5 business days at most to convert your bitcoins into cash or a week in the worst case.
Can I cash out Bitcoin to a credit card?
Technically, Yes but the technology is in the developing stage now. Many of the wallets have rolled out the feature to directly cash bitcoins to your credit cards. In order to make the interactions with the wallet more smooth and easy. But, since it is in the developing stage not all the service providers offer this feature and there are only a few options left with multi-level checks that make it a hassle to do this now.
We are soon going to witness these crypto coins and wallets being the most used mode of payments we are doing every day.
Can I cash out Bitcoin to my bank account?
Bitcoins cannot be directly cashed at the banks. To do so you are to use online platforms. These allow you to sell your bitcoins and withdraw funds directly into your bank accounts. Or you can directly sell your coins to someone in exchange for cash via some peer to peer exchange. Or trade with someone who wants to buy bitcoins from you and make the payment in the bank. We have discussed how to sell bitcoins above.