How Do You Sell Cryptocurrency for Cash?
As the landscape of digital currencies keeps evolving, they have gained increasing acceptance and even prominence and have almost become seen as a mainstream financial asset. And with more people accumulating crypto holdings, they have also been looking at ways they can cash out their crypto.
Most probably if you are one of those holding some crypto, you may have been searching “How do you sell crypto for cash?” Luckily, there are several ways you can sell your coins to liquidate your crypto, including Bitcoin ATMs, crypto exchanges, Over-the-Counter (OTC) brokers, peer-to-peer platforms, and others. In this article, we look at how you can sell cryptocurrency for cash using crypto exchanges.
Select a reliable Crypto Exchange
Are you looking for answers to “How do you sell cryptocurrency for cash?” The first step is choosing a reputable and secure crypto exchange. You need to find an exchange that supports the specific digital currencies you want to cash out and is authorized to operate in your country.
Open an account and validate your identity
Having chosen a reliable exchange, you will need to create an account. This is usually pretty simple because you just need to provide the necessary details such as your name, contact details, email address, and so on. You may also have to undergo a Know-Your-Customer (KYC) procedure as is required by most exchanges. This entails providing copies of your identification documents such as a government-issued ID, driver’s license, passport, etc. to enable the exchange to verify your identity.
Connect your Bank Account
To receive your fiat currency when you liquidate your crypto, you need to link your bank account to the exchange by following the platform’s instructions.
Deposit your Cryptocurrency
After you have set up your account on an exchange, and verified your identity, the next step is to move the number of coins you want to sell to your exchange wallet. This is a crucial step as you seek to find the answer to the question “How do you sell cryptocurrency for cash?”
The transfer involves generating a deposit address for your specific coins on the exchange and transferring the virtual coins from your wallet.
Create a Sell Order
With your crypto coins in your exchange account, you then navigate to the platform’s trading section and place a sell order for the cryptocurrency you want to liquidate. And if you are using a physical crypto exchange, you simply inform the staff of the amount of cryptocurrency you want to sell.
When placing a sell order, you can select market orders meaning your assets are sold at the current price, or choose a limit order, and this means you choose a specific price at which you want to sell your digital currencies.
Confirm the sale
After placing a sell order, go through the details carefully and then confirm the transaction. You should note that some platforms may need extra authentication steps for enhanced security.
Access your funds through the linked Bank Account
Having successfully sold your digital currencies for cash, you receive the proceeds, as fiat currency, from the transaction by withdrawing the money to your linked bank account, However, you need to bear in mind that the time the process takes to get funds into your linked bank account varies depending on your bank’s processing timelines and the particular exchange you’re using.
Have you been asking yourself, “How do you sell cryptocurrency for cash?” The steps discussed above should help you sell your digital coins using a cryptocurrency exchange. You also need to be aware of the tax implications of your transactions so that you comply with the legal requirements in your country. In addition, be mindful of the security of your assets by employing some security measures such as two-factor authentication and transferring only the amount of cryptocurrency you want to sell to your account with an exchange and keeping the other in secure wallets.