In 2023, the number of crypto users worldwide exceeded 420 million. Bitcoin is now officially recognized as the national currency in El Salvador, and you can use it for all transactions there. But hold on, in many countries like China, Egypt, and Indonesia, they have put brakes on those crypto payments. While barter transactions may be seen as a loophole, they do not ensure the legality of all crypto payments.
If you find yourself in a foreign country with no cash, lost faith in your crypto assets, went broke, or just want to cash in those Bitcoins you bought ages ago, then this article is your savior. We have explored all the ways to cash out your crypto and picked the best one for you.
Method 1: P2P platform
So, most of the popular crypto exchanges have their P2P platforms. These platforms let users interact directly with each other, no middlemen involved. This method is probably one of the easiest and most cost-effective ways, which is why we are putting it on the top of our list.
Let’s see how you can use a P2P platform, like Binance P2P, to exchange your crypto for US dollars.
Step 1. Visit the website and either sign in to your Binance account or register for a new one. You can log in using your Google account or mobile phone number. The verification process will only take about 3 minutes. You will need to take a photo of your passport and upload a selfie. A response will come within a day, but most likely faster, like in 10–20 minutes.
Step 2. Go to the dashboard and find the "buy crypto" section. Click on "P2P."
Step 3. Time to set up the P2P platform. Pick the "sell" section, choose the cryptocurrency you want to sell and the fiat, then select cash as the payment method. The system will show you the available options.
P2P platform on Binance crypto exchange.
If you are in a big city, your chances of exchanging cryptocurrency for cash on P2P platforms are better. But if there are no options available, you can always transfer your coins to a card and withdraw money from the nearest ATM.
Choosing the best P2P platform
Most major exchanges have P2P platforms. They usually have the same rules for users, meaning they will not charge you any commission for P2P operations. But here is the deal: the cryptos you can trade may vary depending on the chosen fiat. If you are going with US dollars as your payment method, the following cryptocurrencies are common on P2P platforms:
- OKX: Tether, Bitcoin, USD Coin, Ethereum, TrueUSD, Dai.
- Huobi: Tether, Bitcoin, Ethereum, USDD, Huobi Token, TRON.
- Binance: Tether, Bitcoin, Binance USD, Ethereum, Dai, Binance Coin.
- Bybit: Tether, Bitcoin, USD Coin, Ethereum.
- Gate IO: Tether, Bitcoin, Ethereum, Dogecoin.
- Kucoin: Tether, Bitcoin, Ethereum, KuCoin Token, USD Coin.
If you pick the peso, Polish zloty, or Canadian dollar, the list of available cryptocurrencies might change.
☝️ The P2P market has its own pitfalls. Some buyers or sellers can try to change the deal terms in their favor or send you misleading SMS messages about money transfers. Here are 3 handy tips to keep your P2P services secure:
1. Do not fall for any attempts to change the terms determined in the deal card 💳
2. Always double-check the funds coming in yourself 👀
3. Never click on links in private messages 🙅
Method 2: Crypto exchange
Many crypto exchanges also support direct crypto-fiat swaps. To cash out your crypto, you will have to pick a trading pair like Tether/USD, sell the coins, and the dollars will end up in your exchange account. You can then withdraw the funds to your card. Just keep in mind that exchanges usually charge an operation fee.
Method 3. Money exchanger
Compared to crypto exchanges, exchangers have easier registration but offer less features. Those might be a great solution if you need everything quick and simple — for instance, to conduct a crypto-fiat exchange.
You can find a suitable exchanger through the BestChange aggregator. Just select coins you want to exchange in the "give" section and pick the fiat currency in the "get" section. If you are trying to exchange crypto for cash, specify your city.
Take a note that there are scams in the exchangers market. To avoid them, pay attention to the reviews, conditions, fee policies, and licenses. Online forums like Bitcointalk, Investing, and Reddit can provide valuable insights about exchangers.
Along the way, there are alternative ways you can also consider. For instance, you can strike a deal with members of the local crypto community through crypto chats and forums. However, this is not safe as there are no guarantees.
In some countries, you can find ATMs that allow you to swap crypto for fiat. Coinatmradar, coinmap, and bitcoin.com can help you find these machines. Note that crypto ATMs can charge a large fee for cashing out.
In many countries some regular currency exchange offices offer crypto-fiat swaps, although they might not openly advertise this service due to local laws. This method comes with high risks and no safety guarantee as well, so you should only use it in emergencies when there are no other options available.
What to choose?
The best way to cash out cryptocurrency is through popular crypto exchanges' P2P platforms. They do not charge fees and allow direct transactions with other users, eliminating intermediaries.
However, be aware that crypto exchanges and money exchangers can charge large fees for cashing out. ATMs, exchangers, and personal agreements should be looked upon like emergency solutions because of the possible pitfalls and lack of safety.
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This article is not an investment recommendation. The financial transactions mentioned in the article are not a guide to action. Itez is not responsible for possible risks. The user should independently conduct an analysis on the basis of which it will be possible to draw conclusions and make decisions about making any operations with cryptocurrency.