Best Ways to Cash Out Bitcoin

The best way to sell bitcoin for cash is peer-to-peer (P2P) if you are liquidating your crypto asset. Selling your coins directly to a person who wants to exchange his or her money or goods for bitcoin is the fastest, easiest, least expensive way to cash out. There are online sites such as LocalCoinSwap and the downloadable BisqNetwork exchange which is decentralized and allows one to buy and sell cryptocurrencies for national currencies. You can also just sell directly to another person without anything other than a bitcoin wallet and the physical exchange of goods or cash.

After all, Bitcoin makes everyone an autonomous source of power when it comes to personal wealth. Unlike fiat, banks and governments do not control or influence the price in the forms of interest and inflation rates. Bitcoin is different because it is by design public and transparent, virtually impossible to counterfeit, and easy to encrypt. Bitcoin – not other cryptocurrencies – distributes power. No one controls it, and no one can control it or confiscate it.

That said, there are times when we have to sell bitcoin for cash in order to pay for goods or services in a world that does not yet accept it as payment. When consumers have a certainty about the future, their consumption typically takes on a stable, discernible pattern. Stable exchange rates bode well for consumption. Since Bitcoin is currently too volatile, consumption of it is not yet widely adopted. Until that changes, we look for the best ways to sell bitcoin for cash.

Sell Bitcoin for Cash

Sell Bitcoin P2P for Cash

Ways to Hedge Bitcoin

A stable coin is a cryptocurrency that is backed by inflationary currency, such as the dollar. They are, or claim to be, backed 1:1 with the US dollar. Both USDT (Tether) and USDC are stable coins that make this claim. Only USDC issued by Coinbase, Gemini dollar issued by Gemini Trust, and Paxos issued by Paxos Trust, are regulated to actually have that 1:1 ratio. These stable coins are backed one-for-one by U.S. dollars held in a bank account. This is a useful way to exchange bitcoin during times when you prefer your money not to be volatile. The purchasing power is stable and can be a good way to sell bitcoin for cash without exiting cryptocurrency.

Easy Way to Sell Bitcoin for Cash Equivalent

All stable coin exchanges for actual USD requires some level of KYC (Know Your Customer) to comply with money-laundering and terrorist-financing rules. The exchange of bitcoin for stable coin can be done without these measures. For example, bitcoin can easily be exchanged for any number of altcoins or stable coins using an Exodus wallet, for which there is no KYC conducted.

To simplify, hedging is reducing the risk under volatile conditions in the market. Exchanging bitcoin for a stable coin happens quickly and easily, whereas selling bitcoin for cash can take time to transfer from wallet to exchange, making it difficult to hedge.

Additionally, stable coins can offer a novice trader a relatively safe way to trade and increase their bitcoin. For example, say bitcoin rises to $10,500 due to some obvious news or event and likely to drop in a short period of time. Sell your bitcoin for cash and by the time your transaction confirms, the price could dip offering a chance to buy back more bitcoin than you sold.

 

Sell Bitcoin for Cash or Stable Coin

If you exchange for stable coin at $10,500 and the price corrects back to $9,000 – you could exchange for bitcoin and accumulate more without spending cash to do so. Of course, there are some fees involved for the exchange, but overall you would add to your stack with a few easy clicks. You might also buy back only the amount you sold – and convert the profits to cash. Thus keeping your initial bitcoin principal amount intact.

Simply trading fluctuating cryptocurrencies at their peaks for stable coins can balance a portfolio and secure the investment along with the earnings. This is a tactic most traders employ and one reason why USDT dominates the stable coin market by daily volume. Nearly 100% of the trades on exchanges involve Bitcoin for Tether or vice versa. USDT has replaced national currencies as the go-to fiat currency by traders.

Options to Sell Bitcoin for Cash

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