Have you been thinking about selling your Bitcoin? The big decision to “cash out” is often accompanied by many questions and doubts, considering there are so many options and methods to do so.
This article will help you learn how to sell your Bitcoin and guide you through all the financial services that can assist you during the selling process.
Therefore, after reading this post, you will be able to make an informed decision about how and where you can best refer to, in order to cash out your BTC.
Benefits of selling Bitcoin
Selling Bitcoin is not an easy decision to make. Some see it as the ultimatum of their crypto journey, the end game.
Others see it as a way to “lock” their profits and free their minds from price speculation.
Whatever your reason for selling may be, there are several benefits that come with it.
- After selling your Bitcoin, the FIAT value of your capital will remain the same, whether Bitcoin increases or decreases in value.
- You will spend less time checking the surges and plunges of the charts, saving time as a result.
- You will be able to use your capital for a large selection of merchants that, currently, do not support Bitcoin as a payment option.
When is the right time to sell bitcoin?
Experienced cryptocurrency traders will tell you that the best time to sell is during the peak of a bull market, a term that here means a long term value uptrend for Bitcoin.
The latest peak of the bull market cycle was reached on the 17th of December 2017, with Bitcoin’ value topping at $19,783.06 per coin.
Of course, if you missed the opportunity to sell during this time, you can also sell Bitcoin once a target profit is achieved by trying to benefit from price fluctuations. This practice is often used when Bitcoin’s price is in a downtrend, also known as bear market.
To sum up, Bitcoin is known for its value fluctuations. So even if, throughout the years, it has become one of the most lucrative assets to own, if you want to sell your BTC – this is as good of a moment as any.
So, whether you invest in Bitcoin as a trader or a long term investor, the right time to sell is very hard to predict and one needs to rely on multiple factors as well as intuition to make an informed decision.
Fastest ways to sell Bitcoin
When looking at all the possible ways to sell Bitcoin, it is always useful to know which methods help you sell Bitcoin quickly.
Knowing this information is essential for everyone looking to sell Bitcoin, as the timing may be an important factor in the selling process.
The fastest way to sell Bitcoin to digital wallets
The fastest way to sell Bitcoin is by exchanging it for online currency funds. These funds are kept in digital wallets which include:
- Perfect Money (Sell your Bitcoin for Perfect Money here)
- Payeer (Sell your Bitcoin for Payeer here)
- Advanced cash (Sell your Bitcoin for Advanced cash here)
- Skrill (Sell your Bitcoin for Skrill here)
- Neteller (Sell your Bitcoin for Neteller here)
The transaction process from beginning to completion takes approximately 5 minutes.
The financial services mentioned above can be used to substitute bank accounts and help users do the following:
- Make money transaction between members in a number of different currencies.
- Receive payments for their e-commerce stores.
- Make payments for goods and services online.
- Store their funds on a digital account and receive interest.
- For example, Perfect Money offers a 4% annual interest, paid out on a monthly basis.
- Purchase precious metals and cryptocurrency.
So, if you are looking for the fastest way to go from Bitcoin to FIAT – this is it!
The fastest way to cash out Bitcoin to Bank
Depending on the bank and the currency used by the buyer bank transfers take a little longer.
Nonetheless, due to the timeframe necessary to complete the transaction, it may be useful to know that the value of the Bitcoin you exchange is “locked” the moment you start a transaction.
Even if the price of Bitcoin fluctuates before your funds have been received, you will still get the full amount that you saw at the start of your transaction.
The fastest way to exchange Bitcoin for Cash
You can also sell Bitcoin for cash by using cryptocurrency ATM machines.
You will need to find an ATM in your local area and visit the actual location to sell your Bitcoin.
So, here’s where you can find the Bitcoin ATMs in your city – CoinATMradar.
While there, you can also take a look at the fees and limits for buying and selling Bitcoin.
So, now you know the fastest ways to sell Bitcoin for different payment methods.
Moving on, we’ll show the process for selling Bitcoin on a cryptocurrency exchange.
How to sell Bitcoin on an Exchange
While there are many options for selling Bitcoin, it is important to use a reliable platform that users can trust and Paybis is exactly that.
Just by looking at all the positive reviews on Trustpilot it is easy to see that Paybis is a trustworthy and secure platform.
So, let’s break the process of selling Bitcoin into simple steps.
Cash out Bitcoin (BTC) to Dollars (USD) or Euros (EUR)
With the help of Paybis, you can exchange Bitcoin to Euros or Dollars and receive the money directly to your Bank Account.
To get started, here are the steps to follow to cash out your Bitcoin:
STEP 1: Select Bitcoin as the option you would like to spend (Sell).
STEP 2: Then select the currency you would like to receive.
- If you want to sell your Bitcoin for Euros, click on EUR Bank Transfer or click here.
- If you want to sell your Bitcoin for US Dollars, click on USD Bank Transfer or click here.
STEP 3: Input the USD/EUR value of Bitcoin you wish to sell.
STEP 4: Click on START TRANSACTION.
STEP 5: You will need to input your IBAN and go through ID verification. The process is easy to follow and takes approximately 15 minutes to complete.
- Verification of your identity is important because it helps us ensure that you are the owner of the bank account and you are compliant with EU KYC/AML regulations.
STEP 6: After completing the verification process, click on CONTINUE and send your Bitcoin to the wallet address provided by Paybis.
STEP 7: Once Paybis receives your Bitcoin and there is at least 1 confirmation on blockchain, the funds will be sent to your bank account.
Now you know how to sell Bitcoin for USD and EUR using bank transfers. But what other options can you use to make online purchases?
Don’t Sell Bitcoin – Spend it on Amazon
If all you want to do is sell Bitcoin to go on a shopping spree then we have a solution.
Convert your Bitcoin to Amazon.com eGift cards.
Amazon sells everything from cool gadgets to some of the world’s most secure safes. So, if you are looking to purchase products online – Paybis is here to help you.
Head over here and follow the steps to buy your Amazon.com gift card. After you complete the transaction, Amazon gift card will be sent directly to your email address and you will be able to use it for your digital purchases.
Sell Bitcoin Through Peer-to-Peer Cryptocurrency Exchanges
There is also an option to sell Bitcoin directly to people. To do this, you will have to use a peer-to-peer Bitcoin exchange, which will act as the intermediate (escrow) between you and the buyer.
And because you are dealing with individuals directly, you will also be able to receive your funds through many different methods, ranging from digital wallets, all the way to cash exchanges.
In case this is something you are looking for, popular options for peer-to-peer exchange platforms include LocalBitcoins, BitBargain, and Bitsquare.
Withdrawing your funds after the sale
If you decided to sell your Bitcoin using bank transfer or an ATM, you will receive cash directly.
After you sell your Bitcoin most exchanges will store your newly acquired funds on their platform. So, after the completion of your sale, you will have to request a withdrawal for your funds, which is time-consuming and inefficient.
On the contrary, when using Paybis, you receive your funds directly in your bank account, which makes transactions faster and hassle-free.
Taxes to pay after selling Bitcoin
When the tax season comes around and you have decided to sell your Bitcoin, you will most likely have to pay taxes over your profits.
Therefore, it is important to get a clear understanding of your legal obligations before you decide to sell.
But doing so is not always easy.
Since cryptocurrencies are still relatively “new” and seen as either an asset class or digital currency, depending on the country you are in, paying taxes can quickly become a vague and complicated process.
For example, if you live in the United States, you are taxed every time you exchange, divest or sell Bitcoin. As far as the IRS is concerned, every time your Bitcoin exchanges hands, it is a taxable event.
On the other hand, if you reside in Latvia and decide to sell your Bitcoin, you will have to pay 20% taxes from your capital gains.
There are also countries that take a more relaxed stance towards cryptocurrencies. In Germany, Bitcoin profits are completely tax-exempt after a holding period of at least one year.
If you decide to sell your Bitcoin, it is best to consult an accountant in your country/state. This will help you get a better understanding of your country’s tax laws and prepare accordingly.
Before heading over to cash out your BTC, we understand that some of you may be left with unanswered questions.
So, we gathered all the frequently asked questions about selling Bitcoin and here are the answers:
1. When I sell my Bitcoin, do I receive FIAT instantly?
When you exchange your Bitcoin for online currencies supported by digital wallets, such as Perfect Money, Advanced Cash, Payeer, Skrill and Neteller, you will receive your funds in around 5 minutes.
If, on the other hand, you choose to perform a bank transfer, 90% of the time you will have to wait 1 working day to receive your funds in your bank account.
2. Are customers from all countries eligible to sell Bitcoin on Paybis?
Paybis accepts customers from all countries except the ones specified here.
3. Are there any fees when selling Bitcoin?
When you sell Bitcoin for any other currency, there are 3 types of fees:
- Bitcoin network fees (a fee that is rewarded to miners to confirm the transaction on the blockchain)
- Paybis fee (our fee that is taken for providing the service)
- A fee that Paybis pays for sending funds to you (usually charged by digital wallets such as Skrill, Perfect Money, and similar)
4. How to sell Bitcoin and cash out BTC?
- STEP 1: Select Bitcoin as the option you would like to spend (Sell)
Head over here – Paybis.com and click on Bitcoin on the left side of the menu
- STEP 2: Then select the currency you would like to receive.
For example: If you want to sell your Bitcoin for US Dollars, click on USD Bank Transfer
- STEP 3: Click on START TRANSACTION.
You are almost done – 3 more steps and you will be able to cash out your Bitcoin
- STEP 4: Add your IBAN or where you wish your money to be sent.
You will need to input your IBAN and go through ID verification. The process is easy to follow and takes approximately 15 minutes to complete.
- STEP 5: Send Bitcoin
After completing the verification process, click on CONTINUE and send your Bitcoin to the wallet address provided by Paybis.
- STEP 7: You will receive your money
Once Paybis receives your Bitcoin and there is at least 1 confirmation on the blockchain, the funds will be sent to your bank account or your preferred receiving method
That’s all from us – we hope this was helpful.
And just in case you have any more questions – feel free to message us.