Jun 04, · HalCash as such does not allow directly changing bitcoin into real money, this is why they are associated with other companies in the sector that can make the process of changing from crypto to fiat, such as Bit2me, Localbitcoins or Chip-Chap. Aug 10, · It goes without saying that every Bitcoin holder can exchange cryptocurrency for fiat money and transfer it to the bank account in a matter of minutes. In fact, there are 4 ways to do that: Sell Bitcoin on the crypto exchange and get money directly to the bank account. May 26, · Head over to the Sell section of Gemini to choose how you want to sell your Bitcoin and the price you are willing to sell your Bitcoin in fiat for. Unlike Coinbase, you first need to trade your Bitcoin for fiat currency, before being able to withdraw it to your bank account.
How to transfer bitcoin to fiat moneyHow to Cash Out/Sell Bitcoin for Fiat (USD, EUR, Etc.)
While we receive compensation when you click links to partners, they do not influence our content. Updated Feb 17, One reason is that bitcoin is completely digital.
If bitcoin is an intriguing subject, so is the blockchain — a digital ledger that records every single bitcoin transaction. Both bitcoin and the blockchain offer tantalizing possibilities for international money transfers.
But are they effective now, and will they ever catch on among the wider public? Consider a fiat currency like the US dollar. Cryptocurrency is different. That means anyone in the world is free to buy and sell cryptocurrency like bitcoin.
Also consider the notion of storing your money in a bank. At some level, you need to trust that the bank has safeguarded your money and that you can withdraw your funds at any time.
To make this possible, cryptocurrency uses blockchain technology. The bitcoin blockchain, for example, records every bitcoin transaction ever made. Each trade is publicly displayed for the world to see.
Compared to existing money transfer options, bitcoin is typically more complicated, slower and more expensive. For more detailed explanations about these issues, read our article on bitcoin transfers vs. Innovative startups and financial institutions are taking note, leveraging the blockchain for big wins.
Payment app Circle, for example, uses the technology to move money swiftly around the world and create savings for its customers. Crucially, using the blockchain allows Circle to charge no fees for depositing, sending, receiving or withdrawing money. And it allows Circle to charge a minuscule 0. How Circle makes money on the exchange rate. You can only use Circle for US dollars, euros or British pounds. Also, you have to wait a few days for withdrawals to your debit card or bank account. But Circle raises tantalizing possibilities for the future of cryptocurrency.
Will its competitors keep up? As it turns out, the blockchain is being embraced enthusiastically by the financial industry. The blockchain allows banks to upgrade inefficient processes that infuriate customers today. Transactions are expensive, but the blockchain makes them cheaper by cutting out intermediary banking costs. Sending money can be slow, but the blockchain can complete transfers in minutes. Consumers long for confirmation that their remittances are successful, but the blockchain can unequivocally confirm delivery each and every time.
Clearly, the blockchain brings many advantages that will simply be too good to pass up. Furthermore, IBM expects about two-thirds of banks to be implementing the technology within just four years. In time, cryptocurrency and the blockchain may have an invisible hand in virtually all of our financial transactions.
But are they destined for more? It was created to take over entirely. Next, more money transfer providers will offer seamless cryptocurrency-to-fiat conversions — cheap ones too. Other platforms like Circle are content to use bitcoin just to streamline fiat transactions. In time, providers may offer low-cost remittances in both cryptocurrency and fiat — like digital bazaars for any currency you could imagine.
Finally, more and more merchants will start accepting cryptocurrency as payment. This is when the blockchain will begin acquiring mainstream relevance. Either that, or cryptocurrency needs to become as widespread as credit cards, at which time retailers will have no choice but to keep up.
Sending money back to family overseas would be as easy as giving cash to a friend. And numbers on a smartphone would be as spendable as coins in our pockets. Adrienne Fuller is the head of publishing at Finder US. With a decade of experience creating guides in finance and education, she aims to deliver the accurate and transparent information she wishes she had when she made some of life's important financial decisions. For the past 3 years she has been the publisher of money transfers, helping readers save when they send money all over the globe.
Optional, only if you want us to follow up with you. Our goal is to create the best possible product, and your thoughts, ideas and suggestions play a major role in helping us identify opportunities to improve.
While we are independent, the offers that appear on this site are from companies from which finder. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site.
While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us.
Please appreciate that there may be other options available to you than the products, providers or services covered by our service. Please tick the box if you wish to continue. Sign me up loading. Adrienne Fuller. Are bitcoin and the blockchain effective for money transfers? Consider these negatives of bitcoin-based overseas money transfers. Bitcoin comes with a learning curve. Also, if you want to use bitcoin to convert one fiat currency to another, you have to manage the entire process yourself.
A money transfer provider will do that for you as part of its service. Bitcoin transfers themselves are quite fast. That instantly eliminates bitcoin as the fastest option for a fiat transfer. Exchange rates often make currency conversion expensive — and bitcoin exposes you to them twice. But when you convert through bitcoins, you lose money on both the dollar-to-bitcoin and bitcoin-to-euro conversions.
The blockchain is catching on As it turns out, the blockchain is being embraced enthusiastically by the financial industry. Compare bitcoin marketplaces. However, clients need to know that Gemini only supports fiat conversions and transfers for personal accounts. Once you have an account with Gemini, you need to ensure your bank account details match with the Gemini account and cashing out will be smooth. This Luxembourg based exchange has a reputation for attracting wealthy cryptocurrency investors.
Before converting your cryptocurrency to fiat with Bitstamp , you need to provide a lot of information compared to platforms like Coinbase. Many find this process tedious. To withdraw your funds to your personal bank account, you must ensure to enter all of your bank account details correctly to avoid any further delay.
It is ideal for customers outside the US. To convert cryptocurrencies to fiat, bitFlyer will wire your funds directly to your bank account. The exchange is known for being a hub for Bitcoin trading. To get started, you need to create an account and go through the verification process. The exchange needs to very your identity and bank account details before cashing out. Apart from exchanges, we have other local platforms that you can use to convert cryptos to fiat.
These platforms offer some amount of protection for both the buyer and seller, which makes them preferable to doing a cash deal. All you need is an understanding of how the platforms operate and the charges you will incur. One such platform is LocalBitcoins.
The platform serves as an intermediary between the buyer and the seller. Both parties make arrangements on how to do the trade. They agree on things like payment method and the period transaction will last. It is one of the easiest ways for transacting Bitcoin to PayPal. Users can sell and buy Bitcoins along other cryptos through PayPal.
Bitcoin prepaid, or debit cards are among the best means of exchanging your digital currency into cash. Prepaid cards are generally issued by Visa or MasterCard and can be credited through cryptocurrencies like Bitcoin. Note that the process of getting your own card is very long. You will need to submit your government issued ID card and proof of address. Furthermore, you get access to low commissions and transparency. However, Bitcoin prepaid cards are only available in selected countries.
We have a number of firms that enable cryptocurrency holders to borrow loans. In this case, the digital assets serve as the collateral. Through this model, you can get fiat currency to your bank from the cryptos you hold. Users need to deposit cryptocurrencies into a smart contract where it will be held and you receive fiat currency. Users will, therefore, pay back the loan based on the agreement with the lender. It is a new option that has its own unique advantages.
First, you are not exposed to a taxable event and you get a loan without necessarily selling your digital assets. Another benefit that comes with the crypto loans is that it hedges you against rises in the price of your assets. Coins like Bitcoin have the potential of increasing in value hence you will still benefit from the price hike. Salt and Ethlend are the main platforms that offer cryptocurrency loans.
Look at our comprehensive guide on cryptocurrency loans. We have a number of private banks that can offer crypto to fiat conversion services.
However, these facilities only attract investors with deep pockets. Note that most private banks have a high compliance rate compared to cryptocurrency exchanges.
Private banks have compliance officers to ensure everything is in order. This is vital since cryptocurrencies can be used in money laundering and other illegal activities. Cryptocurrencies come with capital gain taxes. When you buy a cryptocurrency and then sell it at a profit, you will have to pay tax for the transaction.
In some jurisdictions, you can partially deduct trading losses. However, to understand the taxes issue you need a professional to guide you through the process. Here is a guide on cryptocurrencies and taxes. If you are looking for the best option for withdrawing your cryptocurrencies, always remember the golden rule of doing your research.
You need to learn more about the reputation of the service provider to avoid losing your funds. Most importantly, look at other client reviews about the service.