Today, multiple methods of turning crypto into cash enable easy financial operations. This article covers in detail all ways to convert BTC to cash.
How To Turn Bitcoin Into Cash
Sometimes it’s crucial for users to be able to convert cryptocurrency to fiat money. One of the reasons is to avoid losses: crypto is extremely volatile, and the market often experiences crashes. Thus, people want to use a convenient crypto to fiat converter to get rid of the currency which is actively losing value.
However, other reasons exist to convert crypto to cash, mainly BTC to cash. Crypto isn’t as widely accepted as everyone would want, so it’s necessary to convert BTC into a more accepted fiat currency. This procedure entails selling your Bitcoin holdings using one of the following methods:
- Crypto exchange.
- P2P marketplaces.
- Bitcoin debit cards.
- Bitcoin ATMs.
- OTC trading.
- Bitcoin loans.
Let’s now check out all methods to turn BTC into fiat currency that you can then turn into cash.
Crypto Exchange
It’s one of the most popular methods of how to turn Bitcoin into cash. These exchanges enable you to swap your Bitcoin for fiat currency and then withdraw the funds to your bank account or e-wallet. Here’s what you should do:
- Create an account on a chosen cryptocurrency exchange that allows fiat withdrawals.
- Go through the account verification procedure.
- Deposit Bitcoin into your personal exchange wallet.
- Enter the amount of BTC you wish to sell and place a sell order to sell your coins for fiat currency.
- Withdraw money from your bank account in fiat currency.
Note: fees and transaction limits may apply at each stage of the procedure.
P2P Marketplaces
Peer-to-peer (P2P) networks directly connect buyers and sellers, allowing them to sell Bitcoin for fiat currency without using a third party. Here’s how to convert Bitcoin to cash via a peer-to-peer market:
- Choose a P2P marketplace that allows you to trade BTC for fiat cash.
- Create and verify the account.
- Post a sell offer on the marketplace for your BTC by mentioning the amount of BTC to sell.
- You will be notified whenever a buyer accepts your offer, and the BTC will be secured in an escrow account.
- Release the BTC from the escrow account once the buyer has sent the fiat currency to your preferred payment method.
- Withdraw the fiat currency from your bank account to get cash.
The process may also have additional transaction fees, so pay attention to the information related to the process.
Bitcoin Debit Cards
Bitcoin debit cards enable users to spend cryptocurrency as fiat currency. People can exchange Bitcoin for fiat currency and load it onto a Bitcoin debit card, which can be used at any retailer that accepts crypto debit cards. Here’s how to apply this method:
- Choose a Bitcoin debit card supplier that allows you to convert BTC to fiat currency.
- Create a Bitcoin debit card account and finish the verification process.
- Use BTC to fund your Bitcoin debit card.
- Convert your Bitcoin to fiat currency.
- Use your Bitcoin debit card to withdraw cash from an ATM, make purchases at online stores, or transfer funds to your bank account or e-wallet.
It’s a rather convenient method that should suit people who prefer using credit/debit cards for everyday operations.
Bitcoin ATMs
Bitcoin ATMs are another simple way to exchange your Bitcoin for cash. These machines enable you to sell Bitcoin and withdraw cash directly from an ATM, like you would when withdrawing cash from an ordinary bank account through an ATM. Here’s what you should do:
- Find a Bitcoin ATM near you that allows you to convert BTC to fiat currency.
- Transfer BTC from your cryptocurrency wallet to the Bitcoin ATM’s address using your smartphone or tablet.
- To change your BTC to fiat currency, simply follow the on-screen instructions.
- Withdraw cash from the Bitcoin ATM.
It’s worth mentioning that this method of how to cash out Bitcoin only works in some countries.
OTC Trading
Over-the-counter (OTC) trading is a technique of trading crypto directly between buyers and sellers without the involvement of exchange or other third parties. Large institutional investors or individuals with great amounts of crypto often use this method. Here’s what the instruction involves:
- Find a reliable OTC trading desk that allows the conversion of BTC to fiat cash.
- Inform the OTC trading desk that you want to sell your BTC for fiat currency.
- Negotiate the deal terms, such as the price of the BTC and the payment method to get the fiat currency (i.e., bank transfer, direct deposit, e-wallet, etc.).
- Transfer the BTC to the OTC trading desk.
- Receive the agreed-upon quantity of fiat currency from the OTC trading desk using the payment method of your choice.
This may not be the most suitable method for people who have smaller amounts of BTC.
Bitcoin Loans
Some platforms provide Bitcoin loans, which allow you to borrow money using your Bitcoin as collateral without selling your coins. Here’s the instruction:
- Find a trustworthy Bitcoin lending platform that accepts Bitcoin loans.
- Create and verify an account.
- Deposit your Bitcoin into the wallet address of the Bitcoin lending site.
- Apply for a Bitcoin loan.
- Pay back the Bitcoin loan over time (usually with interest).
You will be able to receive your BTC once the loan has been fully returned. It’s a perfect option for those who don’t want to sell their cryptos. Thus, if you were wondering if you can cash out Bitcoin without selling the digital token, the answer is positive.
