Different methods to cash out your cryptocurrencies for raking the profit, transferring it to another wallet, or converting it to fiat.
At one point, you have or will face the need to withdraw your cryptocurrencies. Perhaps to cater for your bills, pocket trading profits, or purchase a product. There is plenty of cash-out options for cryptocurrencies, and each method has its advantages and limitations. Factors that will influence your choice include affordability, convenience, speed, and reliability. The ease of cashing out is also an important factor. Platforms like XanPool are built with the end-user in mind, and the withdrawal process isn’t intimidating. Conversions are usually instant, and the platform support a diverse range of cryptocurrencies, including but not limited to BTC, LTC, DASH, and ETH.
Below you will find the most common cash-out options for cryptocurrencies in 2021. There are suitable for both experienced and new entrants into crypto.
Sell on Peer to Peer (P2P) Platforms
The process of cashing out at the P2P platform involves signing up an account, sending your crypto from your digital wallet to the P2P account, and choosing sell on the marketplace dashboard. Here you will choose a suitable offer from any seller, open an encrypted chat window, fund an escrow and then confirm the seller has sent you fiat before releasing the crypto.
Register a personal account on a P2P cryptocurrencies marketplace such as XanPool. Its services are available in eight countries and provide non-custodial crypto services for users to buy or sell digital currencies using their preferred payment methods. One of the integral features of XanPool is that it offers withdrawals in local fiat currencies. The platform adheres to KYC and AML guidelines making the entire process secure and transparent.
Cash-out to Friends or Family
Besides a P2P marketplace, cashing out cryptocurrencies to a friend or relative is also a suitable option. This in fact, will compel them to join the crypto wagon, thus building into the capitalization of digital assets. Meanwhile, you will have to negotiate and agree on the purchase terms, the amount of fiat they will pay you, and the amount of crypto they will send to your wallet. Remember to factor in the transaction fees and agree on the method of payment. For a friend, it could be Paypal, physical handouts, or a bank transfer.
Cash-out to a Bank Account
This is an inbuilt or in-app functionality, and availability will vary from one cryptocurrency platform to another. Most platforms integrate their OTC features with a fiat on-and-off ramp functionality which supports payment processors. Just select the platform and cashout or withdraw feature on your platform’s dashboard and choose your preferred withdrawal method as bank transfer. The process is quite simple given most cryptocurrency platforms out there are built with cutting-edge user experience, designed with the average end-user in mind.
Third-Party Cryptocurrency Cards
You can withdraw your digital currencies through a third-party payment card. Most of these are found at the point of sale systems, where you cash out the same you’d do with a debit/credit card. The conversion of the digital assets to fiat occurs within the point of sale. You can find this option at a merchant store, supermarket, or filling station. Examples of cryptocurrency cards include the Prepaid Visa Card, Wirex crypto debit, and BitPay prepaid debit card.
There are over 15,000 Bitcoin ATMs today. You will find ATMs where you can safely withdraw your cryptocurrencies directly from your digital wallet by scanning a QR code or through 2-factor authentication. Bitcoin machines are spread out in the United States and Japan.
Over the Counter Features
There are digital asset exchanges that offer over-the-counter (OTC) withdrawal features. All you need is to adhere to an individual exchange’s KYC requirements by submitting various verification documents. The exchange could be more affordable compared to other withdrawal services. Nonetheless, the process could end up taking more time.
Evaluate each option depending on your needs. Often buyers and sellers on exchanges and marketplaces are anonymous. You need to evaluate buyers on the marketplace using the inbuilt reputation system, particularly when using a P2P platform. Take note of the fees, and the time it will take to get your funds deposited into your fiat account.