The bitcoin is the most trending cryptocurrency in today’s time. It’s been a decade since its invention, but now people are also gaining knowledge about it and investing in it. Earlier, people trust traditional currencies even if the banks take control over their money. Over time, people are learning how to invest and trade currencies and switch to cryptocurrencies because of the underlying technology behind it, i.e., blockchain technology.
The cryptocurrency industry has gained so much popularity across the world and attention from news channels after bitcoin’s invention. Bitcoin is a digital currency that is used as a medium of exchange between person-to-person. The best thing about this cryptocurrency is that it is decentralized, means no central authority, or financial institutions can govern or control it.
Bitcoins can be used for any purchase and can be used to trade internationally. With the growing popularity of bitcoin, more and more businesses and agencies have started accepting bitcoin as a payment method. This allows the users to convert the bitcoin into cash anytime to use it to buy real things.Â
Why convert bitcoin into cash and transfer it to your bank account?
Bitcoin was invented by a mysterious entity named Satoshi Nakamoto in 2009. The main reason behind creating bitcoin was to eradicate the middle-men, i.e., banks. The idea was to replace the traditional currencies by providing people outstanding benefits that they started investing in bitcoins. Like traditional currencies, bitcoin users can purchase anything, and therefore the traditional currencies would no longer be required.Â
Even after knowing bitcoin’s volatile market, people and businesses accept bitcoins, and further bitcoins can be converted into cash. If the bitcoin market goes down, the users can immediately convert the bitcoins into cash and protect themselves from losses.
Ways to transfer bitcoins to a bank account.
There are plenty of ways to convert the bitcoin into cash and then transfer cash into a bank account. Here, in this article, we will understand some of the ways which are as follows:
- Bitcoin Exchange
The first and best way to transfer bitcoins to a bank account is to sell bitcoin to a bitcoin exchange. This is considered the easiest method to sell the bitcoins as the bitcoin exchanges convert the bitcoin into cash and transfer them into the user’s bank account. The user needs to withdraw the money from the same bank in which he/she deposited to ensure that bitcoin exchanges for cryptocurrency are not breaking the money laundering laws. This is a secure method to transfer bitcoins but isn’t considered the fastest method.Â
Users need to complete the verification process by signing up. First, you need to deposit the bitcoins into your account and then cash out bitcoins to traditional currencies, i.e., through bank transfer.
- Bitcoin Debit Cards
There are plenty of websites that allow users to sell their bitcoins and get bitcoin’s cash payment in their debit card in exchange. The most popular cards are either Mastercard or VISA, allowing users to make payments both offline and offline at businesses or agencies across the world.
- Bitcoin ATMs
A bitcoin ATM is completely different than traditional ATMs. The traditional ATMs only allow users to withdraw money from a bank account, while bitcoin ATM allows the users to buy and sell bitcoins using traditional currency.
In today’s time, there are more than bitcoin ATMs in 76 countries. Before trading your bitcoins with fiat currency, the user must know the limits of deposit and withdrawal. There’s a drawback of using the bitcoin ATMs as they charge a transaction fee, which is quite high and ranges between 8-12% of the transaction value.
- Person-to-person transactions
The most popular and quick method of transferring the bitcoins into cash is through a person-to-person platform. The user can choose the payment method while selling bitcoins to other users. The payment method can be:
Cash deposit
One other way of transferring the bitcoin into a bank account is to ask the buyer to exchange the bitcoin and deposit the cash to your bank account. Before providing your bitcoins to any buyer, you must always check the ID proof and payment proof from them.
