Let’s take a closer look at how to convert Bitcoins to USD and EUR
Although there are pretty legitimate ways to exchange your hard-earned BTC for anything tangible from a cup of coffee to a house, it’s quite hard to find retailers and service providers who seamlessly accept crypto.
Unless you live in one of the most crypto-friendly cities of the world, of course. Since the majority of people don’t travel to crypto hotspots every day, let’s discover how to transform digital assets into something universally acceptable like fiat money.
In particular, all crypto owners need to know how to convert Bitcoins into USD and EUR or transfer BTC to one’s traditional bank account.
BTC to USD
Greenback is the most popular currency in the international market, so you won’t have any problems with finding a crypto exchange that supports it. However, not all the exchanges would offer the same price for your BTC. It would be useful to make a comparison before placing a selling order. After that, there comes a standard trading process: the exchange matches you with prospective buyers and your tokens get sold. Again, the technical details depend on the web resource. In some cases, you’ll have to only enter the number of tokens you’re willing to exchange, and the system will do the rest. In others – you will directly browse the buying offers and make a P2P deal.
The rules of cashing out crypto can differ from one exchange to another. For example, Coinbase only allows you to sell into your Coinbase fiat wallet, not directly to your bank account. Hence, you need to initiate a withdrawal after a successful sale. Coinmama, on the other hand, transfers the payout amount right to the bank account you provided. Binance Cash Gateway also offers a simplified way to directly convert BTC into a range of fiat currencies.
You can also convert Bitcoins to USD via the network of Bitcoin ATMs that support such a function. To do that, select the Withdraw function on the screen. Choose the needed currency pair and the number of Bitcoins you’re going to convert. Next, send BTC from your mobile wallet to the QR code provided by the ATM. You’ll receive your cash and pay a transaction fee (usually about 5%). While few ATM manufacturers allow anonymous withdrawals and deposits, many will ask that you provide an ID or scan your fingerprint to confirm the transaction.
BTC to EUR
Although the euro is not as omnipresent as the US dollar, it’s one of the strongest currencies in the world. Therefore, major exchanges like Coinbase, Coinmama, and Binance support BTC-EUR conversion. Local P2P crypto exchange services also let you convert Bitcoin to euro by selling your coins to people living nearby. Yet, you have to be careful if you decide to finalize a transaction in the offline mode. Some examples of local exchanges are LocalBitcoins.com, Paxful, and Bitquick.
Bitcoin ATMs are quite widespread in Europe, so you probably can find one nearby. The process of withdrawing cash has been already described above.
Another way to convert Bitcoin to euro is via a Bitcoin prepaid/debit card. Issued by fintechs like Wirex, these cards can be funded via selected cryptocurrencies. You load the card with Bitcoin from your Bitcoin wallet and then use it to get cash out at ATMs or to pay for goods in a shop. Some charges are applicable. By the way, Wirex also supports USD conversions although it doesn’t function in the US.
To exchange currencies in your Wirex account:
- Select the account to exchange from and click Exchange on the left-hand side. In a mobile version, select the desired account and tap the Exchange icon on the dashboard.
- In Exchange from, select the source crypto account.
- In To, select a target traditional currency account.
- Enter the sum either in crypto or the card’s currency. Click Use maximum amount (Max in mobile) to calculate the maximum sum available for the transaction.
- Click Exchange, review your transaction details and click Confirm.
BTC transfer to a bank account
If you use a crypto exchange that allows direct payouts, fiat money will land in your bank account once the transaction is complete. You will just have to link a desired account to the platform. Not all the transfers are immediate, though. It may take a couple of business days for your payment to reach the given destination.
At Coinbase, the withdrawal into a bank account is not available in every country. However, it works for Europe and the USA.
To withdraw euros from your Coinbase account to your bank account, follow these steps:
- Select Portfolio on the left side of the page
- Select EUR Wallet
- Select the Withdraw button at the top-right
- Provide the information for your bank account if requested
- Confirm the withdrawal
Such withdrawals typically take 1-3 business days to complete. To avoid any loss due to conversion rates, please ensure that the bank account receiving your withdrawal is denominated in EUR.
For US customers, Coinbase uses the ACH bank transfer system for payments to your bank account. The ACH bank transfer system typically takes 3-5 business days to complete after initiating a purchase.
To link your bank account:
- Visit your Payment Methods page
- Select Add a payment method > Bank Account > Continue. You’ll be presented with a screen where bank logos are displayed
- Type in the name of the bank account you would like to link
- Enter your bank’s login credentials
Optionally, you may manually link your bank account using the deposit verification process:
- Visit your Payment Methods
- Select Add a payment method > Bank Account > Continue. You’ll see a screen with bank logos
- Scroll down to Don’t see your bank? Search instead
- Searching for a non-listed bank will display an option to Link your bank manually
- A new prompt will appear. Select Get Started
- Enter your bank’s routing number, your bank account number, the name on the bank account, and the type of account being linked (Checking or Savings). Enter your banking details and full name then select Verify Account
- Note that the name on the linked bank account must match the verified name on your Coinbase account. If you would like to use a business bank account instead, please consider applying for an account on Coinbase Prime.
The deposit verification procedure will initiate two small test deposits to your account. Only enter the “cent” portion of the amounts. For example, if the amounts on your bank statement are $1.10 and $1.20, enter:
Once the deposits have reached your account (generally in 2-3 business days), you can verify the amounts by selecting the verify button for your bank account on the Payments Method page.
When your bank account is linked correctly, you may use it for buying and selling crypto.