Bitcoin, also known as BTC, was founded in 2009 and has evolved into one of the largest cryptocurrencies by volume. The value of Bitcoin is currently $2,727, and it is anticipated to grow even further, although there have been dips in value here and there.
Bitcoin is the future of cryptocurrency, and many countries around the world are adopting its use. The most common Bitcoin activities include buying Bitcoin with cash and other crypto, but you can also exchange Bitcoin for cash to increase your liquidity. Trading Bitcoin should be done on exchange platforms that come in many options.
Are you new to Bitcoin? If yes, this guide is for you, although it will also help seasoned crypto enthusiasts to know more options to exchange Bitcoin for cash or do any other related exchanges.
What Is Bitcoin Exchange?
Now that you are planning to exchange Bitcoin for cash, it is good that you know a little more about Bitcoin exchange. This is the act of buying or selling BTC on a platform that facilitates the trade. You can buy digital assets with cash or use other cryptocurrencies. The latter is called a crypto swap. You can also do a reserve.
For today, our focus is on where to exchange Bitcoin for cash. For such a transaction, you need to be equipped with the right options and understand the requirements for each. You typically need the following to exchange Bitcoin for cash:
- Bitcoin in a digital wallet – As a holder of Bitcoin, you must have a Bitcoin wallet. This is a virtual wallet used to store your digital assets. When you want to exchange Bitcoin for cash, you will draw the bitcoin you want to exchange from here.
- Bank account – Some exchange platforms can send your cash into your bank account or bank card. So, it is good to have one on standby before the transaction. However, there are other options for receiving cash, for example mobile money, online payment options, and cash. This depends on the platform used to do the exchange.
Options to Exchange Bitcoin for Cash
If you have read this far, it means you are interested to know the options to exchange Bitcoin for cash. There is quite a number, and knowing them is good before you can make a decision. Here are the expert-proven options that you should know.
When you want to exchange Bitcoin for cash, the most probable option is to use an online exchange. Many of them are legit, while some might not be the best for you. You can access an online exchange on your mobile phone through an app, or a computer through a web platform. For newbies, a CEX or DEX exchange will work for you.
- CEX platforms have centralized management that manages the assets, determines the exchange rates and commissions, and guides users to use them. Many of them recommend using a user account to exchange Bitcoin for cash. The good thing is that they are flexible and can send the cash to your bank card, mobile money wallet, or accept any other cash management option.
- DEX platforms, on the other hand, have decentralized management because they are P2P platforms. Their job is to connect Bitcoin buyers and sellers. Therefore, you might find differing BTC exchange rates. It all depends on the buyer and seller. For beginners, these platforms might have more risks unless the platform allows transactions.
Another option to exchange Bitcoin for cash is a physical office. These are also managed by CEX companies and operate through an agent. BTC holders just need to walk into one and transact. The good thing is that their payment options are flexible and you can walk out with cash in your hands.
If you are looking for a physical office to exchange Bitcoin, you can check online and pick one that is near you. Check if they are open because most of them operate within office hours and days.
Another benefit of doing a crypto exchange in a physical office is the help you get from a professional agent. In fact, they offer free consultancy, especially if you’re are new to BTC. So, take your time to talk to them to understand the transactions fully.
Lastly, it is worth mentioning that you need to remember your crypto wallet details before you exchange Bitcoin for cash. They will also need your bank account details, especially if you want to sell Bitcoin worth a lot of money.
Have you heard of these kiosks where you quickly cash out your Bitcoin or any other crypto? They are located in different busy places around major cities and are marked with a large Bitcoin logo. They are suitable for people who want to exchange Bitcoin for cash on the go.
Bitcoin kiosks operate like physical offices except that the client stands outside for a quick cash out. Likewise, you need to remember your digital wallet details and be ready to collect your cash to use on the go.
The main benefit of using BTC kiosks to cash out cryptocurrency is the speed of getting cash. They give you cash in local currencies so you can use it on the go.
These booths are also called BTC ATMs, and they are located all over big cities. You can locate one quickly through online maps or a GPS in your car. They are stand-alone machines connected to the web to help people exchange Bitcoin for cash through a self-service procedure.
They are not designed for people who need assistance to transact Bitcoin or any other crypto. But if you are sure of the procedure, you need to remember your Bitcoin wallet pin and bank account to receive your cash. They are very secure and reliable for people on the go as well.
As you can see, there are many options to exchange Bitcoin for cash. In fact, you can still sell directly to an individual or bank and receive your payment in cash. Therefore, it is prudent to explore more options. Newbies have a lot to learn to ensure that any of these options work successfully.