The leading cryptocurrency in terms of market capitalization and market dominance, bitcoin, has come a long way since its inception, but it is widely considered as a store of value and not as money. The utility of bitcoin in the real world is not that great as it still on its way to mainstream adoption. Bitcoin is bought and sold on crypto exchanges or peer to peer platforms such as Localbitcoins.com.
How to turn bitcoin into cash?
There are several ways that you can use to cash out your bitcoins, depending on what country you live in. You can sell your bitcoins in person for hard cash or sell it on an exchange for cash into your bank account.
Note: You can also spend your bitcoin to buy things from Amazon using services like Purse.io.
1. Selling bitcoins on a peer to peer platform
Peer to peer platforms such as Localbitcoins allows bitcoin holders to meet people who want to own bitcoins. These are decentralized platforms that act as a medium between buyers and sellers. On Localbitcoins, you are directly dealing with the buyer, and there is no middle party involved. On P2P platforms, you can select what payment mode you prefer. As the buyer initiates the transaction, bitcoins get stored in the escrow wallet and then transferred to the buyer’s account once the transaction is successful. The crypto cash platform, which offers crypto trading services, can also be used to cash out your bitcoins.
Note: Localbitcoins is based in Helsinki, Finland, and has on-ground buyers and sellers in more than 15,000 cities across 248 countries.
2. Converting bitcoin for local currency on an exchange
If you have stored bitcoins in your wallet that you bought from an exchange or from elsewhere, you can sell them on any crypto exchanges that let you cash out. If you live in the USA or Europe, there are several exchanges that you can use to cash out your bitcoins. Kraken, Binance, and Gemini are some of the leading exchanges that you can sign up on and cash out your bitcoins. Crypto exchanges charge small withdrawal fees for cashing out bitcoins.
Note: It advised to be diligent while dealing in cryptocurrencies to protect yourself from frauds.
Bitcoin is envisioned as the currency of the future with its features that frees it from the political forces. Bitcoin is an opportunity for people to take back financial control from the state and separate money from the government. However, bitcoin has a long way to achieve mass adoption. If you follow the above guidelines carefully, you should be equipped with the knowledge on how you can cash out your bitcoins.