how to cash out bitcoins

For the purposes of this guide, we are going to use Binance, one of the most popular and best exchanges in the industry. The commissions on Bitcoin ATM trades can be tremendously high, however, so it’s important to note how much you’re paying and whether it’s worthwhile to go another route. After you complete the trade, you’ll have the cash in your account and be ready to trade again. With all the volatility in the crypto market, it’s easy to want to sell when things are looking grim. But if you sell when the markets are down, the opportunity cost may be huge. The road to financial equality will be paved by easy-to-use and secure access, and that’s what drives Coinme’s mission.

  1. Another popular method of exchanging Bitcoin for cash is P2P marketplaces.
  2. In turn, you will receive payment through Zelle, PayPal, or another method of deposit to your bank account.
  3. There are quite a few ways to cash out your Bitcoin, but you need to know what your goals are before selling.
  4. The catch with the best online brokers is that these platforms don’t allow you to transfer crypto into the brokerage.
  5. As a decentralized currency, Bitcoin was originally designed as a peer-to-peer payment system.
  6. A BTC perp is an expiration-free contract speculating on the future value of Bitcoin’s price.

These apps support a very limited selection of crypto, with Cash App only supporting Bitcoin, and PayPal supporting Bitcoin, Bitcoin Cash, Ethereum, and Litecoin. You can also select the “sell” feature to only look for ATMs that allow you to sell your crypto. Bitcoin (BTC) was launched in 2009, and its demand has been rising ever since. It’s the world’s most popular crypto today, with a market cap of around $462 billion at the time of writing.

Bitcoin debit cards

As the cryptocurrency space continues to mature, there are more and more ways of converting Bitcoin into cash. Selling Bitcoin at cryptocurrency exchanges that support fiat remains by far the most popular option, but P2P marketplaces and crypto credit cards have a lot of users as well. However, instead of using a bank account, the card pulls funds from a crypto wallet. It is also one of the cheapest ways to convert crypto to cash, while still receiving your cash near instantly.

On the whole, it is cheaper to sell crypto through a centralized exchange or online broker than through other services. Third-party exchanges and fiat gateways typically charge fees from 3% to 5% for converting crypto into cash, which is high. But if you need cash and don’t want to transfer your Bitcoin to an exchange, this is a decent option. Many crypto wallets have built-in crypto exchanges, and some even allow you to exchange your crypto for cash directly. While crypto wallets are designed to store and secure your crypto, many of them partner with crypto exchanges to offer trading services. Although bitcoin debit cards don’t exactly convert bitcoin to cash, they come close enough to land on this list.

If you’re itching to exchange your crypto for some cold, hard cash, you’ll want to consider the implications of selling. The key with these apps is you need to already hold your crypto within the app, otherwise you can’t cash out. They don’t allow you to transfer outside crypto into the app for selling. Many centralized exchanges also offer P2P exchange options, including Binance, KuCoin, and ByBit. Overall, selling Bitcoin for cash with an online broker is best when you already hold the crypto assets on the platform. In addition, there are other less popular ways of converting Bitcoin into cash, like using Bitcoin gift cards, for example.

To use a P2P exchange, create an account with your platform of choice, then find ideal buyers and request trades. Once a buyer approves your request, the platform will keep your bitcoins locked until you confirm that you’ve received the buyer’s cash, like an escrow function. This setup makes peer-to-peer platforms especially worthwhile if you’re concerned about scams or fraud while interacting with someone over the internet.

Whereas exchanges like Kraken, Coinbase and Gemini are centralized exchanges where one entity controls the crypto, a peer-to-peer exchange is one where the transaction occurs between two individuals. The buyer and the seller are interacting directly without an intermediary (like a bank or company). P2P transactions can be a lucrative way to cash your cryptocurrency out since you set your price and there are less fees. However, the process is much more involved than loading a debit card or selling on a centralized exchange. If you don’t need cash right away and want to sell on your own terms then this may be a good way for you to convert crypto into cash. Crypto debit cards are becoming more popular, with many crypto exchanges offering them as a way to spend your crypto balance.

Cash out at a Bitcoin ATM

After you successfully convert your Bitcoin into fiat, select your fiat withdrawal method. The extent of support for different methods will depend on your particular exchange. If a broker holds your crypto coins, then the easiest route is simply to go with that broker. For example, if you’re a client of Robinhood or Webull, both of which allow extensive crypto trading, then it will be easiest for you to just execute a trade on their platform and be done with it. If you’re selling any asset, then you’ll want to understand the tax implications. You may owe a bundle if you’re booking a capital gain, and the tax rate will depend on the holding period, among other things.

Cashing out at an ATM is the equivalent of selling your Bitcoin, says California Bitcoin ATM company Hermes Bitcoin. Bitcoin ATMs are a way to get immediate access to cash using your bitcoins. In order to make a cash withdrawal and sell your Bitcoin from the ATM, the machine provides a QR code to which you send your Bitcoin. The offers that appear on this site are from companies that compensate us. But this compensation does not influence the information we publish, or the reviews that you see on this site. We do not include the universe of companies or financial offers that may be available to you.

Fees do apply, so make sure to check how much the conversion fee from Bitcoin into your local currency costs so you don’t face any unexpected charges. You can do so by clicking on “Top Up” and selecting which cryptocurrency out of those on your exchange account you want to use for credit card payments. You’ll need the wallet address of your exchange account to complete this step. The transaction should take anywhere from 10 to 30 minutes, depending on the level of network congestion and the number of blockchain confirmations. 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. Depending on which exchange you use, you may need to transfer or convert your cryptocurrency to another popular currency such as the stablecoin Tether, before finally converting to dollars.

how to cash out bitcoins

If you don’t have an exchange account, you’ll first need to create a new account on Binance, Coinbase, or a cryptocurrency exchange of your choice that supports fiat payments. Remember that in order to use fiat payment methods, you’ll need to complete the KYC process. Popular crypto exchanges are always a good bet, as they are reliable and well-known, while online platforms with peer-to-peer selling may allow for flexibility of payment.

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And while peer-to-peer (P2P) exchanges and Bitcoin ATMs offer anonymity, consider the (potential) high fees and hassles of the process. Crypto is a speculative asset that can be part of a larger, diversified investing strategy, but don’t panic sell just because the news says “Bitcoin is dead” for the 1,400th time. Instead, take a level-headed approach to your investment strategies, and make decisions based on your long-term goals — not short-term feelings.

How 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. The day businesses and governments accept BTC transactions may be close, although paying bills with BTC is still slightly inconvenient. That’s because only a handful of companies and local legislatures accept digital currency for products, services, or taxes, and only a few countries, such as El Salvador, recognize BTC as legal tender. People can’t rely solely on crypto for daily expenses, so even the biggest Bitcoin bulls need to transfer crypto to cash occasionally.

How Much Does it Cost to Cash Out Bitcoin?

Before selling off your crypto to stash piles of cash under your mattress, evaluate your overall crypto investing strategy. If you are a long-term investor and believe in the assets you hold, you may regret selling after prices recover. Through peer-to-peer exchanges (also known as P2P exchanges), you can transact directly with other people. Below, we’ll walk you through each bitcoin cash out method so you can decide which one is right for you. is an independent, advertising-supported publisher and comparison service. We are compensated in exchange for placement of sponsored products and services, or by you clicking on certain links posted on our site. Therefore, this compensation may impact how, where and in what order products appear within listing categories, except where prohibited by law for our mortgage, home equity and other home lending products. Other factors, such as our own proprietary website rules and whether a product is offered in your area or at your self-selected credit score range, can also impact how and where products appear on this site.

For example, Coinbase offers a VISA debit card that allows you to spend your Coinbase crypto balance, automatically selling your selected crypto and using the cash for any purchases you make. You can also earn crypto rewards that deposit into your Coinbase account (reward rates vary). Similar to bitcoin ATMs, Coinme powers thousands of locations through which you can sell your bitcoin for cash in an instant. The main difference is that Coinme locations tend to be more widespread and accessible, with lower fees than bitcoin ATMs. Bitcoin kiosks and tellers, powered by Coinme, are a great example, as they’re mostly located in the entrances of major supermarket chain locations. Most crypto-to-cash fees are reasonable, plus they let you conduct transactions worth thousands of dollars.