If you have some Bitcoins and want to liquidate them, it is not as simple as buying them. You could turn your digital assets into cash online through exchanges, peer to peer transactions, and direct trade. You may also cash your Bitcoins in offline by selling them in person or withdrawing fiat money from a Bitcoin ATM. Whichever way you choose to sell your coins, you need to observe some things. It is also possible to get some profit from selling your Bitcoins because you may have bought them at a lower price and are selling them at a higher price, therefore getting some gain from the exchange. This article will explore various ways you can use to sell Bitcoin.
How to Sell Bitcoins on Exchanges
Exchanges are one way of trading Bitcoins that offer a one-stop solution but have some disadvantages. During the selling process, the exchanges act as intermediaries between the buyer and seller and hold the funds from both. The first step is to create an account with your preferred exchange, and most will need identity verification and a linked bank account into which you can withdraw your money.
To sell, you only need to place an offer to sell, stating the currency you intend to sell, the amount of the coin, and your selling price per unit. When someone matches the request you have placed, the exchange automatically completes the transaction. The sales proceeds are deposited into your account, and you can then withdraw them into your linked bank account. The disadvantage is that the cash may take some time before it hits your account if the exchange has liquidity issues or has problems with its bank accounts. It would help while you choose an exchange to consider their charges because they charge some fees.
Selling via direct exchange
You can also sell Bitcoins through direct trade with another person. This kind of transaction is done on websites like NakitCoins, which are typically associated with exchanges, and there are intermediaries facilitating the trading. The first step is to set up your profile and fully validate your identity. After you’re registered, you can post an offer stating that you want to sell Bitcoins. Once a buyer wants to trade with you after agreeing to your terms, you receive a notification from the exchange. After that, you will deal with the buyer with the website only acting as a platform to link buyers and sellers. However, selling on some websites may be time-consuming, so you need to find out more about the sites before embarking on a transaction on them. The exchanges are also not guaranteed secure for storing your currency.
Selling Via Bitcoin ATMs
Although they look like the conventional ATMs, Bitcoin ATMs are not ATMs in the real sense. They do not connect to the withdrawer’s bank account but connect to the internet to facilitate Bitcoin transactions. The Bitcoin ATMs can accept cash deposits and turn them into Bitcoins, issuing a receipt bearing a QR code. The ATMs can also move the deposits to a wallet on a blockchain network. However, only a few Bitcoins ATMs allow both buying and selling Bitcoins, and still, the providers may have strict instructions like requiring a seller to have an existing account to trade. Registering for the account may be complicated and take lots of time and effort. The ATMs also have very high charges. Due to these technicalities, Bitcoin ATMs are typically used to buy digital currencies and not sell.
There you have some ways to sell Bitcoins. You can also sell directly to individuals where you scan a QR code on the buyers’ phone and get your cash instantly if you are selling to a friend or a relative. But if you’re selling to a person you do not know, you have to go through a longer process. In all ways of selling Bitcoins, you must verify data and take other measures to secure your funds, otherwise you risk losing your money to fraudsters.