Best ways of converting Bitcoin to cash
In this guide we’ve uncovered in our eyes the best ways of how you can sell Bitcoin / convert Bitcoin into USD, EUR, GBP and more.
At some point you will be looking to sell Bitcoin to cash, or so called fiat money. There are obviously many shops and places around the world where you can’t spend your Bitcoins at, yet. So when the day comes when you want to sell Bitcoins then this is the right guide for you. In our eyes the world is slowly catching on to cryptocurrencies and Bitcoin. So day by day we’re seeing much more places accepting crypto as payments. But it isn’t quite there yet, so there are reasons for you wanting to sell Bitcoins for cash.
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The steps of how to sell Bitcoin to cash
- Sell Bitcoins for cash to another person via LocalBitcoins.com
- Sell Bitcoin for cash via cash exchange, like Coinbase (Get $10 free when signing up via that link), OKEx and eToro
Read through our guide and we will walk you through the different methods so that you can decide on which method works best for you!
Method 1 – Via www.Localbitcoins.com
One of the most commonly used methods is through Localbitcoins. Localbitcoins was founded back in 2012, so it is one of the early adopters in the Bitcoin space. Most of us who’s been in the space for some time now has some kind of relation to Localbitocins. It’s an exchange that connects us private buyers and sellers of Bitcoins to each other. And it’s currently today a bit of a rarity in a market full of digital cryptocurrency exchanges. The rate of Bitcoins will like at other exchanges fluctuate during different time of the day, but also between different users. So someone who’s in a bigger hurry to buy or sell might be more accommodating with accepting prices than others.
Why to use LocalBitcoins
It’s one of the most common places to buy and sell crypto at, so for us it’s one of the best places to sell Bitcoins for some real world money cash. Get registered at www.localbitcoins.com and try it out for yourself.
- Super handy exchange to sell Bitcoin easily. Here you can convert Bitcoin to USD, but also almost any other Fiat currency. As it connects you with private people directly.
- One of the pioneers in the Bitcoin world, and that has been around for a long time
- No trading fees from the site itself
Method 2 – Via exchanges that accepts fiat transfers
As mentioned previously there are so many digital exchanges available today where you can buy and sell cryptocurrencies and especially Bitcoin. But not all of them accept fiat transfers in, or out. As in from the exchange to your bank account. So here we are guiding you to the one that gives you the opportunity to sell Bitcoins for cash.
Coinbase – the user friendly exchange
One of the giants of crypto and with support of cashing out your Bitcoins to fiat money is of course Coinbase. The U.S exchange was also founded back in 2012 by Brian Armstrong. The American crypto giant was recently valued at around $8 billion dollars. And that’s not crazy considering the rise they’ve made to become what they are today. And the way they went about it too. By creating a website and exchange that’s super easy to use, and gives us users the option to easily put money in from our bank accounts, debit or credit cards. And of course as easily with cashing out our Bitcoins to cash. It’s one of the easiest ways where you can quickly convert Bitcoin into USD, EUR, GBP.
Why to use Coinbase
Coinbase is a pioneer in the cryptocurrency world. By focusing on creating the most user friendly exchange available. Try it out yourself at Coinbase (Get $10 free when signing up via that link) One of the easiest ways to sell Bitcoin and easily convert Bitcoin to USD, but also to GBP and EUR. It is one of the more trusted exchanges in the world, more likely that they will be around for a long time
- One of the easiest ways to sell Bitcoin and easily convert Bitcoin to USD, but also to GBP and EUR. It is one of the more trusted exchanges in the world, more likely that they will be around for a long time
- It has a great and intuitive UX, which makes it really easy to use and great for beginners
- Option for an easy version and more advanced version (Coinbase Pro)
OKEx – the professional exchange
Another great exchange that gives us the option to sell Bitcoin to fiat is OKEx. The Hong Kong based exchange has had a big rise and continuously grown and become more and more of a household name in the crypto world since their arrival on the scene back in 2014 is of course OKEx. OKEx offers fiat-to-crypto and crypto-to-crypto trading on more than 100 digital currencies.
Why to use OKEx
Professional exchange that has one of the best selections of cryptocurrencies in the world and with a big trading volume. Try it out yourself at www.okex.com
- It obviously provides us with ways of converting Bitcoin to USD, or other Fiat currencies and trading between the different currency pair
- A very ambitious exchange often with new developments and neat features
- It has one of the biggest trading volumes for Bitcoin and one of the best selection of cryptocurrencies
eToro – the social exchange
Third option on our fiat accepting exchanges list is eToro. The fintech startup that disrupted the stocks investing scene a few years ago by adding social layers to investing, and making investing through digital means so much easier and accessible for us normal folks is also offering a crypto and Bitcoin trading option.
eToro doesn’t have as many cryptocurrencies as other exchanges, but they do have FIAT deposit options – bank transfer, debit card, credit card and in many currencies, and others like Paypal, Skrill and more) and other interesting features like follow and copy other popular traders. eToro is a great place to sell Bitcoins at, as you can also look into other investments like stocks on eToro.
Why to use eToro
Social investment giant have in just a few years shocked the investment worlds from stocks to now cryptocurrencies. A future cryptocurrency and Bitcoin giant? Try it out yourself at www.etoro.com
- eToro should rank in the top because it will be one of the more secure ways where you can sell Bitcoins to cash. It also have several popular payment gateways added, like PayPal and Skrill for example.
- It has a lot of cool feaures, like social trading, which allows you to copy trading strategies, portfolios, etc
- A trusted cryptocurrency exchange, that will more likely be around and continue to innovate in the coming years.
Kucoin – the altcoin exchange
Kucoin launched in 2017 and fairly quickly made a name for itself in the crypto world due to its early adoption of certain altcoins and their own coin called Kucoin Shares (KCS) which is a passive income coin, where you as a hodler of KCS gets a percentage of the trading fees from the Kucoin exchange. Overall Kucoin has proven to be a worthy cryptocurrency exchange and a decent competitor to Binance. Kucoin holds most of the popular coins, but they are also often one of the first to add new altcoins. The customer service has proven to be reliable.
Kucoin for us have really positioned themselves well during the 2018 bear market with their revenue share model (passive income), and their willingness to add new altcoins very quickly. Like other new startup cryptocurrency exchanges they had their share of problems in their growth period. But today they have to be seen as one of the top exchanges available, with a great selection of coins.
Advantages of Kucoin
- Often one of the earliest to add new cryptocurrencies and altcoins, has a great selection of coins
- Very interesting passive income model, where KCS holders gets a percentage of the trading fees
- Decent customer service that is available through chats and other channels
Have a look at the different options that we provided and let us know which one is your favourite.
Don’t forget – do you need to pay tax?
In most countries we all need to pay taxes on our Bitcoin or crypto trades, or when we have bought something using your crypto. So it’s important to check if your country is one of them, a majority of countries are. You can follow live prices here on Go Cryptowise and also find great tools how to convert Bitcoin into USD, GBP, EUR and more.
What’s common is that we need to pay taxes on our capital gains made on any trade. Lets say you bought 1 Bitcoin for $4000 dollars and later 6 months later sold that 1 Bitcoin for $6000 dollars. Then you made $2000 in gains from that sale, and those are most likely taxed.
Common scenarios when you might need to pay taxes on crypto
- You bought 1 cryptocurrency and traded it for another. In many countries this is considered a taxable event, for any capital gains or loss made on that trade.
- You bought something with your cryptocurrency, for example you paid for your morning coffee with some Bitcoin, or a car, or a pizza, etc.
- You have mined cryptocurrencies, this might be taxed as a hobby or professionally.
But don’t worry use these great crypto tax tools
Use on of these smart tax tools that collects all your trades made from all the different exchanges and automatically creates tax reports for you, they are amazing. We’ve been there, we know. All of these crypto tax tools lets you easily track all your crypto transactions, track your portfolio earnings and losses and convert Bitcoin into USD, GBP, EUR and more Fiat currencies.
Find the latest Bitcoin price tools here
To easily keep track of latest Bitcoin prices, convert the price of Bitcoin to USD, GBP, EUR, SEK and many other Fiat currencies we have created a Bitcoin price tool page. It is dedicated to bring you the most relevant tools for Bitcoin. Making you more informed when investing into Bitcoin.
We hope that you found this guide on the Best ways of converting Bitcoin to cash helpful. Hopefully it can help you when you want to sell Bitcoin. Or finding the best ways off how to convert Bitcoin to USD. Please share it if you did. If you have questions or comment please feel free to leave them here below and we will try and answer them as soon as possible. In the meantime good luck and be safe.
Other popular guides:
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- The best tools for your crypto taxes
- How to invest in Bitcoin the beginner guide
- How to be safe with crypto
Much love – Go Cryptowise