During the last couple of years individuals have started to invest in Bitcoin and other cryptocurrencies. With this, investors are looking for ways to cash out Bitcoins into USD, GBP, INR and more.
Here, we will explain steps to convert Bitcoin into fiat.
How to convert Bitcoin into Cash?
Turning Bitcoin into cash isn’t difficult if the right method is used. Here, we have explained some popular methods that can help to convert Bitcoin into cash. The options discussed below have their advantages, disadvantages, and even face certain challenges such as lack of mass user awareness and unclear improvising process.
Before choosing any of the methods to convert Bitcoin into fiat be sure of picking the right method.
1. Sell Bitcoin via exchanges
Bitcoin exchanges are by far the most popular way of converting Bitcoin into fiat currency. Exchanges like Coinbase, Gemini are centralized exchanges and are the simple and way to convert cryptocurrency into fiat of your country. In exchange for USD, EUR, or GBP investors can sell Bitcoins. Besides, Coinbase and Gemini some common exchanges are listed below:
- WazirX( for Indian user only)- It converts BTC to INR via a peer to peer method USDT
- Bitbns (India Only)- Convert BTC to INR through peer to peer method
- bitFlyer– USD/JPY
- ZebPay (India Only)-Convert BTC to USD
You may not find these methods working globally as each country has a different cash system. If you are unable to find an option, then you can use P2P selling/buying of Bitcoin.
A person to person trading site that allows to convert Bitcoin into cash from various countries. It is a startup based out of Helsinki, Finland functioning since 2012. LocalBitcoin has more than 15,000 buyers and sellers across 248 countries.
Investors using LocalBitcoins.com are trading with humans. Unlike centralized, stock-exchange-like, bitcoin trading sites, you make a trade directly with another person. Making the process fast so that investors can get their bitcoins instantly. LocalBitcoins.com can support every payment method its user community supports.
The thing that makes Localbitcoins different is, here the investor deals with buyer directly and they can take cash in any of the known formats like PayPal, cash, bank deposit and more. Also, when it comes to altering Bitcoins, Localbitcoins is the preferred choice of many.
At Localbitcoins, investors can easily meet online buyers/sellers and make a sale offline. The amount can either be paid in cash or money can be wired. Investors can also select from numerous options like SEPA, PayPal or straight bank deposits for changing Bitcoins into cash.
Note: Before you proceed working with LocalBitcoin.com check buyer/seller reputation.
3. Changing BTC Into Digital Fiat
If you want to convert your BTC into fiat if your country and wish to avoid your tax accountabilities, you can change Bitcoin into Digital Fiat (Tether).
Benefits of USDT:
- Bitcoin can be bought later using USDT.
- Can save you from paying taxes as moving of fiat in and out will add up to your finances and will make you pay taxes.
- No need to worry about cryptocurrency volatility as USDT maintain similarity with actual US dollars.
- Reduces the headache of transferring fiat as USDT can be used to buy Bitcoin later.
- USDT is backed up by exchanges around the world. Some of them are listed below:
Above listed are some general ways of changing your cryptocurrency into fiat of your country.
Hope soon we will have a list of country wise options that users can use to exchange Bitcoins into cash and make things easy. But you need to always remember, you need to pay taxes in exchange of cash you get from Bitcoin. You’ll need to pay a large sum of money as taxed.
Apart from this there is another way to turn Bitcoin into cash and that is by selling it to your friends or those who are interested in buying it. An alternate way to change Bitcoin into cash is by selling Bitcoins to either friends, family or anyone who might be interested.
Following countries can use the methods mentioned above to convert Bitcoin into Fiat:
- The USA
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