When it comes to cashing out bitcoin, there are various options available. You can either sell your bitcoin for cash, use it to purchase goods and services or exchange it for another cryptocurrency. In this blog post, we will explore the different ways that you can turn your bitcoin into cash.
Let’s get started.
Different Cash out methods
Third-Party Broker Exchanges
A third-party site that you can trust will hold your bitcoin and deliver it to a bank account of your choosing. The first method I’ll discuss is using a third-party broker exchange. Many people call these exchanges market makers or simply “brokers” because they operate as the intermediary between two parties – you and the exchange (which holds your bitcoin). Most of these exchanges already let you sell bitcoin directly on their websites.
Still, most prefer that you deposit USD or EUR through one of their deposit partners (usually an online bank transfer), buy bitcoin on their website with those funds, then withdraw them to another account; this means that if they go out of business (or get hacked) and lose all their users’ money and bitcoins, you will be still protected. The Bitcoin Profit website is the best trading platform that you should use.
Another way of cashing out Bitcoin is through a peer-to-peer transaction. This occurs when the buyer and the seller are directly connected, using an online platform or meeting in person. Using this method is relatively more secure than others because it requires less trust from both sides of the transaction. However, if either one transfers cash without receiving the cryptocurrency, they will have committed fraud.
Although this method does reduce risk on both sides by itself, the previous history has shown that it has led to instances where users who were already scammed became scammers themselves after reaching their boiling point.
How to Cash out Bitcoin Using a Broker Exchange
One of the most popular methods is to use a Bitcoin broker exchange. This has become very common, and even some additional Bitcoin online exchanges have emerged that provide this service, such as Kraken and Bitstamp. The way it works with these sites is you create an account with them, add some fiat currency (money from your country) from your bank onto your account, then purchase
Bitcoin using a market order or a limit order, if you would prefer to set a specific price for buying Bitcoin. This is the quickest way to get money into the Bitcoin trading platforms. However, you will pay fees for these transactions – this is one disadvantage of using a broker exchange.
The Bottom Line
Bitcoin is a currency, a form of money that some people trust. It started off being valued at pennies on the dollar, but prices have risen ever since. The currency has reached $20,000 per coin and dropped back down to around $15,000 (as of this writing).
That’s huge market volatility– if you’re lucky enough to own bitcoins when prices increase. It can be like free money. If you own bitcoins when prices go down. It can feel like losing money.