People who want to sell bitcoin for fiat currency (ie USD, EUR, etc.) can do so in a number of ways, both online and offline. Today we will talk about where to sell your Bitcoin for cash and whether it is legal to sell Bitcoin for Cash. Let's find out by reading this article.
Where to sell your Bitcoin for cash?
If you want to convert your bitcoins back into "normal" currency, you need to do the following:
- Find exchanges (eg Coinmama, CEX.io, Coinbase)
- Send your bitcoins to this exchange
- Exchange your Bitcoin for fiat currency
- Withdraw fiat to your account
Today we will show you about selling your Bitcoin for Cash.
To remain anonymous, or just for convenience, some people prefer to sell their bitcoins for cash or directly to another person. If this is the case, then you have several options.
Bitcoin ATM
Bitcoin ATMs are machines that accept Bitcoin and dispense cash. Not all ATMs allow you to sell bitcoins, some only allow you to buy bitcoins. Some of them don't even require any kind of id or validation.
Usually ATMs have limits on how much you can withdraw, but for small amounts this can be a good option. You can see the full coverage of ATMs worldwide here.
Paxful
Paxful has been running since 2015, and it allows you to find buyers (or sellers) who transact with a variety of payment methods, including cash. This means Paxful can find cash buyers in your area.
I recommend that you only trade by enabling escrow in Paxful. I also recommend that you only conduct face-to-face transactions in a safe place. Good choices are bank lobbies, police station foyers and courthouses.
When dealing with a seller for the first time or making a large transaction, it is wise to choose a location with access controls, metal detectors, security cameras, and guards. In general, exercise common sense; although rare, robberies and fraud have been reported.
Is it legal to sell Bitcoin for cash?
Depending on where you live, it may be illegal to sell Bitcoin (BTC) for cash (fiat currency), with or without any fees. The biggest issue is not selling BTC, but complying with local regulations.
Considerations When Cashing Out Bitcoin
Before converting all bitcoins to cash, consider the following pitfalls:
Taxes - If you make a profit by selling bitcoins, you will have to pay taxes on your profit income. Keep this in mind when planning your tax year. Any reputable third-party brokerage exchange will report its transactions for tax purposes.
Fees – Most Bitcoin-to-bank account methods incur conversion fees.
Speed – Third-party brokerage exchanges can take several days to transfer funds into your bank account.
I hope this article will help you to learn where to sell your Bitcoin for cash and whether it is legal to sell bitcoin for cash. Coinbase is a well-known and feature-rich cryptocurrency exchange that allows you to sell Bitcoins for USD.
