Here are the five best ways to convert cryptocurrency into cash! The most suitable option for you will depend on how fast you want to cash out your crypto, your experience level, and how much fees you’re willing to pay. If you sell your cryptocurrency, however, it’s important to understand that you could be creating a tax liability, so you’ll want to be sure you account for taxes in your decision to sell. 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.

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1. Our writing and editorial staff are a team of experts holding advanced financial designations and have written for most major financial media publications.
2. To withdraw Bitcoin with an ATM, you’ll need to send your tokens to a QR code generated by the machine.
3. Additionally, other factors can affect how high your withdrawal and transaction fees will be.
4. Tether (USDT), a USD-backed stablecoin, is one of the most widely used stablecoins and serves as a reliable intermediary for converting cryptocurrencies into fiat currency.
5. 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.
6. Most withdrawals are completed in a few hours, but some may take longer.

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. 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. If you are simply looking to access cash, the Coinbase card can be used at an ATM to withdraw up to $1,000 per day. There are no additional fees to use the card at an ATM, though local ATMs may charge fees for use.

The BitPay Card is one of the top crypto cards for U.S. residents. It is also one of the cheapest ways to convert crypto to cash, while still receiving your cash near instantly. Load the card from your BitPay Wallet balance or connect to a Coinbase account.

Bitcoin ATMs: A Quick Cash-Out Option

ETFs trade on an exchange and are available through most brokers and the expense ratios on several funds are below what you might pay to trade on a crypto exchange. If a broker holds your crypto coins, then the easiest route is simply to go with that broker. 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.

Ways To Cash Out Your Bitcoin & Crypto

As always, it is also a good idea to consult with a tax professional when buying and selling assets. The best bet is to use a platform like Binance.us or FTX.us to save on fees, and quickly cash out your crypto for dollars. The mobile apps make it easy to sell, and you can connect your bank account to transfer funds after the crypto is sold. For example, Crypto.com, a popular cryptocurrency exchange, has its own Crypto.com Visa Card. This prepaid card doesn’t charge annual fees and lets you top up your balance with fiat or various cryptocurrencies.

Just note the downside to cashing out crypto with P2P trades is that it takes more time than selling through a centralized exchange. This is because you have to post your offer, find a buyer, and potentially negotiate before making a sale. It’s also crucial to make sure you’re aware of the tax implications and other consequences of converting your crypto assets into cash before doing so. Remember, if you do thorough research on each platform before providing sensitive information, then you’re much less likely to fall victim to a scam.

When you realize gains or losses on your cryptocurrency holdings, you create a taxable event. And according to the IRS, you have to report the sale of virtual currencies or the use of virtual currencies to pay for goods and services on your tax return. There are also several benefits to using a how to buy bitcoin in china P2P exchange over centralized crypto exchanges like Coinbase. This is a common step in many people’s crypto investing journey. But it doesn’t matter if you’re cashing out your crypto for astronomical returns or to free up capital; you need to know what options you have so you cash out safely and don’t overpay on fees. Furthermore, using a crypto broker is an excellent option for anyone who wants to cash out Bitcoin and other cryptocurrencies in a safe environment.

Robinhood does not disclose its crypto trading fees, but averages around 0.50% for crypto trades. Different exchanges and money-transfer apps charge various fees depending on the crypto you’re selling, network congestion, and how much you’re selling. If fees take a large chunk out of your crypto sale, sticking with P2P exchanges is the best way to lower selling fees. But we do have to make money to pay our team we are now accepting bitcoin and keep this website running!

But if you’re seeking lower fees, P2P platforms can be an option. Be aware that P2P platforms require more effort to find a reliable buyer and 25 lucrative forex affiliate programs you need to sign up for in 2023 may involve some risk. These cards are a newly evolving technology, and you can only use them for direct purchases at retail and for cash withdrawals through ATMs.

Crypto exchanges are one of the safest options on our list, but they require several identification checks that some traders may want to avoid. Peer-to-peer selling is a terrific option for more experienced traders who are looking for a private and cost-effective way to sell crypto and convert it into cash. Through a decentralised peer-to-peer (P2P) exchange, you can exchange your crypto assets for cash or other digital assets with another trader. Both parties can negotiate a price that suits them both, and there is no need for a third party’s involvement. Yes, cryptocurrency ATMs allow you to convert your digital assets into fiat currency.

Many retail businesses are now accepting Bitcoin (and select other crypto) to make purchases. So while Bitcoin ATMs are an option to quickly access physical cash by selling your crypto, there is a high cost for the privilege of using them. While not quite as easy as swiping your debit card at an ATM, cashing out Bitcoin (or other cryptos) has gotten much easier over the past few years.

One of the easiest ways to cash out your cryptocurrency or Bitcoin is to use a centralized exchange such as Coinbase. Coinbase has an easy-to-use “buy/sell” button and you can choose which cryptocurrency you want to sell and the amount. Cryptocurrencies rebounded sharply in 2023, leaving some traders with solid gains. Withdrawing Bitcoin isn’t always instant, because all platforms have different processing speeds. Most withdrawals are completed in a few hours, but some may take longer. Several exchanges let you cash out faster, but you have to pay a special fee for it.

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. You can also do a direct trade, selling your cryptocurrency directly to another person through another entity. The most popular way is through a peer-to-peer online platform that allows sellers to find the best offers through an exchange, though one could even do it in person if needed. While the crypto market allows for extensive management and distribution of your digital assets, depositing funds into your bank account will eventually be necessary. This process can be trickier than you might expect, with several methods available. Bitcoin ATMs enable users to buy or sell Bitcoin directly using cash or cards, offering a seamless on-ramp or off-ramp to the cryptocurrency ecosystem.