As intimidating as cryptocurrencies may seem in the beginning, they quickly start to make sense once you decipher the basics. In reality, the technology behind Bitcoin is not harder than that behind your email box. Owning crypto is not too different from having fiat currency in your bank account, except it’s more legitimate, intriguing, and empowering.
It is arguably quite easy to join the crypto club these days: depending on your location and other special preferences, there is always a good choice of options for buying cryptocurrency with your credit card, making the whole process as quick and convenient as your regular online shopping.
However, just like with getting stuff from online retailers, it seems that returning or reselling the goodies is a perplexing affair. The majority of platforms and services were made to get you into crypto, but getting back to the world of fiat can become a headache.
Selling Crypto In Person
Surely, the simplest and quickest way would be to execute the deal in person but there are three huge drawbacks to that.
- First, let’s be honest, it’s not that often that you meet people willing to buy a mystical digital currency from a total stranger.
- Secondly, you’ll have to negotiate the price and unless you’ve got a bargainer spirit, that might become uncomfortable.
- Lastly, when taking your digital business to the offline world, you’ll have to mind your safety twice as much.
Until cryptocurrency goes mainstream, we are at the mercy of intermediaries. Usually, it is slightly easier to withdraw Bitcoin than any alternative crypto to your credit card due to its popularity and widespread use, but other cryptocurrencies can be sold nevertheless.
So let’s elaborate on the three mainstream ways to cash out your crypto.
Crypto to Credit Card via Exchanges
A good old cryptocurrency exchange is usually the first gateway that the majority of people turn to whenever they want to buy or sell crypto. Unless you take your anonymity seriously, a solid, well-established exchange can serve you just fine.
Most crypto exchanges are easy to use, and they make sure you get what you’ve paid for as the trades are matched and executed automatically.
But before you rush straight into the KYC procedures, double-check if the exchange of your choice actually works within your country of residence and, most importantly, whether you will be able to withdraw the fiat funds to your local credit card.
Also, check what the withdrawal fees are for credit cards as sometimes you’ll be forced to pay an unreasonably high flat fee that won’t work for smaller transactions.
If everything looks good, you’ll need to upload your ID and sometimes other documents for security purposes, and sometimes it can take a few days.
Once your account is fully registered, you’ll be able to make a crypto deposit and withdraw the funds in fiat via the exchange.
Security tip: do not store your cryptocurrency on the exchange platform, it’s common practice to transfer your funds to safer storage.
Crypto to Credit Card via ATMs
Everything’s great about Bitcoin ATMs (the speed, the anonymity, the simplicity) except for one thing – they aren’t there when you need them. But leaving jokes aside, crypto ATMs aren’t the most trendy way to sell your Bitcoin, although the option does exist.
And one more thing. Technically, you won’t be able to withdraw crypto directly to your credit card via ATM, you’ll receive cash instead and topping up your credit card balance will be your responsibility.
The machines are primarily used for buying cryptocurrency, but things get complicated when you wish to sell it. Depending on the ATM provider, you might be asked to register an account, which would mean providing your mobile phone number, ID, and a fingerprint. On top of that, the machine will take your picture via the ATMs’ cam, and you can wave goodbye to your anonymity. The KYC procedures are different and it all depends on the operator, but in all cases when you want to sell crypto via ATM, prepare to prove your identity.
Once that’s clear, you’ll need to send your crypto to the address the machine provides and wait for confirmation before you are able to get your cash.
Crypto to Credit Card via Special Trading Platforms
Selling crypto to strangers can also be safe as long as an almighty third-party controls the process. Platforms like Local Bitcoins (there are more but hardly any of them works with credit cards) act as an intermediary and allow you to trade your crypto with another person.
To sell your Bitcoin (and it only works with Bitcoin), you need to open an account on Local Bitcoins and send your funds to their built-in wallet and choose a credit card payment option. You’ll be shown a list of potential buyers and your job is to choose the one that has a better reputation, open a trade, wait until they send the funds and then release your Bitcoin.
Unfortunately, there aren’t too many options to choose from, if any, and since we’re dealing with people, not automated processes, it can be rather time-consuming.
Easy Way to Sell Crypto?
Lumi Wallet is about to introduce its brand-new feature – withdrawing Bitcoin to VISA credit cards in the EU area. The transaction initiating process takes less than 10 minutes and the KYC routine can hardly be any faster or easier.
If you hold your funds in Lumi Wallet already, you won’t even have to transfer them elsewhere: just tap on the Sell icon and we’ll guide you all the way through the selling process.
Stay tuned for further updates, keep your mnemonics safe, and never hold your coins on exchanges!