Every once in a while even the die hard enthusiasts might require to sell crypto to fiat money. There are at least several ways to do this. With different fees and operation complexity.
Surely you can find a lot of market services that accept direct crypto payments. But still, there are countries where buying something with crypto is still unimaginably rare and difficult.
This means you have to connect your crypto wallets to traditional finance platforms.
Earlier here at cryptolife.report we explained how to buy crypto easily with your bank card.
But what if you need the opposite of that? What if you need to sell crypto to fiat money?
While there are lots of ways to convert your tokens to fiat money, some of them are tricky, some work in a limited number of countries or even banks. And almost all of them inevitably lead to the loss of privacy.
The moment when your crypto platform or token wallet touches your bank account totally deanonymizes you. So a lot of users prefer to hold their crypto within cold wallets, not changing it for cash.
But in some cases you just need to use old-fashioned bills and coins.
No matter how much of a long term investor you are trying to be, you have to know how to sell crypto and make fiat currency out of your tokens.
So here we have several easy and legal ways of doing it.
Crypto exchanges allow you to sell crypto
Any crypto exchange is the most common method to convert your national currency or any fiat money into crypto and vice versa.
But even within one crypto exchange there could be different ways to sell crypto. Let’s look through some of these ways inside the world’s most popular crypto trading platform Binance.
Take into account that Binance’s methods of converting crypto into fiat are similar to those used by most others crypto exchanges.
Sell crypto with Sell-to-Card option
It’s the most common and easy way to make fiat out of your crypto.
Now Binance’s Sell-to-Card feature supports only these currencies to convert: EUR, GBP, AUD, BGN, CZK, DKK, HRK, NZD, PLN, and UAH.
To do this you have to choose your debit or credit card, select the type and amount of tokens you want to sell, and finally confirm your order within one minute.
The amount of fiat currency will be calculated according to the latest crypto market prices. Binance currently supports only VISA debit or credit cards, and fees will be charged according to your bank tariffs.
For instance, for EUR and GBP transactions there will be a fee of 1.1%. Some exchanges’ fees can vary up to several percent when you sell crypto this way.
The pros of this method are safety and immediate transaction to your card without third parties. The cons are mostly fees, as you can lose some money on converting large sums of crypto.
p2p transactions to sell crypto
One more simple way to get fiat – ask some other users to buy your crypto for sending you any national currency.
That’s called p2p-transactions.
Binance supports almost all the world’s popular national currencies in its p2p-section. But consider that you can sell only such tokens as USDT, BTC, BUSD, BNB, ETH, DOGE, and DAI.
Choosing any national currency to receive you then have to choose your payment method. It can be either a direct card-to-card money transfer or any popular country’s banks/payment system.
For instance, for Chinese CNY possible options include WeChat and AliPay options. With currencies like USD and EUR, there are tons of available world banks and payment systems like Wise, Western Union, CashApp, Moneygram, International SWIFT transactions, etc.
After choosing your currencies and payment methods you have to select your buyer. Then you should wait for fiat money to be transferred on your bank card or any payment system account.
Once that happens you have to send crypto to your buyer’s wallet within Binance.
Binance and other popular crypto exchanges also have their fiat wallets. And that’s another way to sell crypto to fiat.
That’s a necessary tool for those who want to keep some fiat money on the exchange without converting it to crypto tokens.
And also fiat balance can be used for sending money directly to your debit/credit card or bank account.
The Sell-to-Card feature works with all the most popular tokens. But if you want to sell some ‘SUSHI’ coins you have to convert them to fiat with your fiat balance.
Then the money will be ready for sending anywhere. Or just keeping it there as a fiat if you don’t want to sell crypto right away.
It’s Bitcoin ATMs, also known as BTMs or Bitcoin Teller Machines.
You can find BTMs in any modern big city like New York, Paris, or pre-war Kyiv, Ukraine.
Now Bitcoin ATMs are the most popular as BTC is the most popular token on market.
The way of using such an ATM is pretty easy: you have to just read the ATM QR code and send there some tokens through any Bitcoin wallet.
This can be very convenient to take local currency anywhere in the world just with your Bitcoin wallet.
But be careful, because most of the BTMs charge the heaviest fee you could imagine. Even up to 25% on withdrawing cash out of your BTC.
So now it isn’t as convenient as it may seem at first glance.
Other ways to sell crypto to fiat money
Any particular crypto platform can propose its ways of converting crypto to fiat, so be ready to read the terms and use them.
For instance, the aforementioned Binance has its VISA debit card, supported by Google Pay and Samsung Pay.
It works as easy as any other mobile bank digital card, even proposing you up to 8% cashback in BNB tokens every time you pay with this card.
“The Binance Card is denominated in EUR and all related transactions are processed in EUR. Therefore, refunds of any kind will always be credited in EUR”, – says the Binance website.
The problem is that Binance Visa is available only in some countries, where the exchange can deliver you your physical card.
Other crypto platforms like Coinbase also offer something like Visa Bitcoin debit card. These cards can keep your holdings in bitcoin, and you can pay with it anywhere with Visa accepting.
Just don’t forget to look at the current BTC exchange rates. Otherwise to sell crypto this way might be quite a ruinous mistake.
As we reported recently, Mastercard and Nexo teamed up to launch what they call the world’s first crypto-backed payment card. It utilizes a different idea. It isn’t a Bitcoin credit card as it doesn’t allow you to buy something with fiat money from your crypto wallet. It’s a typical fiat credit card, but the collateral for that credit would be your crypto wallet. So you don’t get to spend any crypto while using the card. You will be charged in crypto only if you can’t pay your debt in fiat.