Considering the demand for Bitcoins, people rarely think about how to withdraw Bitcoin. But, you must know how to do it, isn’t it? In this article, we are focusing on withdrawing Bitcoin and the important factors to consider throughout the withdrawal process.
Currently, Bitcoin is the most popular and prominent cryptocurrency in the world, and for almost a decade, it remains at the top of the tree. Anyone can buy and sell Bitcoins without any barriers, and if there are any restrictions, they are forced by the exchanges.
When it comes to withdraws, you can do it via various cryptocurrency exchanges as well as external wallets. But, these service providers do charge a fee for the withdrawals, so you must look for one who is charging a minimal amount as a service charge.
What are the methods to withdraw Bitcoin?
So, you think it’s time for a Bitcoin withdraw. Let’s see the methods you have to withdraw the funds.
- From an Exchange
This is one of the easiest methods to sell your Bitcoins as a massive amount of people use these platforms for both buying and selling. Once you deposit Bitcoin in an exchange, you can easily convert it to cash when the price rises. All you have to do is deposit at least once using your bank account.
The buying process of Bitcoin can be done via an exchange through other cryptocurrencies, or there are no restrictions to use fiat currencies as well. You can either store Bitcoin in the exchange’s wallet or your digital wallet. Usually, the fiat currency withdrawals happen via bank transfers, and the whole process can take up to 5 days, depending on your bank. Many argue this is a time-consuming method, but concerning security, withdrawing funds via an exchange is one of the safest ways you can opt for.
Another drawback is that there are certain daily withdrawal limits associated with exchanges. So, it will take more time than usual in some instances if you have a considerable amount of money to withdraw.
- Peer to peer transfers
If you like to keep everything anonymous, this method can be beneficial for you; also, peer-to-peer transfers are less time-consuming. In this method, you can simply ask the buyers of your Bitcoin to transfer directly to your preferred payment option. That said, this might not be the safest Bitcoin withdrawal method as buyers (fraudsters) may take your Bitcoins without paying for them. However, you can prevent this from happening with you by opting for peer-to-peer exchanges.
In P2P exchanges, you will have to create an account and verify your personal information to do the transactions. There is no middleman in this, so your details and transaction details remain anonymous.
The main benefit of going with a peer-to-peer exchange for withdrawals is that the transaction only gets completed when you (seller) confirm the receipt of the payment. Unlike the previous method, no restrictions are forced on the daily withdrawal amount as well.
- Withdrawing via Bitcoin ATMs
Since Bitcoin is the leader in the world of cryptocurrency, there are more helpful services on the platform; one such feature is Bitcoin ATMs (BTMs). The Bitcoin ATMs functions using the internet and you can connect various types of exchanges and wallets. Buying and selling Bitcoin is super easy thanks to the Bitcoin card, and you can find the nearest BTM by searching for it in Google.
However, this service from Bitcoin is relatively new, and still, it is at its growing stage with less than 10,000 machines worldwide. So, finding one to do your transactions might not be easy as it sounds, but with the huge popularity, the forecasts are clear that the said number will go up dramatically in the future.
The withdrawal process is very simple. Once you insert your card, you can select the withdraw cash option on the interface. Then, you will have to enter the amount you want to withdraw and use the QR code to transfer funds from exchange or wallet. The transaction processes quickly, and once it is done, you can withdraw the cash.
Crucial factors to consider when withdrawing Bitcoin
Alright, now you know how to withdraw Bitcoin. Let’s see some of the essential factors you need to pay attention to while performing the task.
- Keep an eye on the market
The Bitcoin market always fluctuates, so you will have to keep a close eye on the prices when you are trying to sell. It can go down in an instant even when the withdrawal process initiates, and similarly, it can go high as well. So, you have to do thorough market research before you sell or buy.
- Consider the security
Everyone wants Bitcoins, which tells the security is imperative when doing Bitcoin transactions. Hence, you must choose a reliable and legit exchange option for the withdrawals. It would be best if you can select a service provider with an insurance scheme for added protection and stay away from random and unknown exchanges. Moreover, using two-factor authentication for your account is always a must as it prevents unauthorized access in an emergency.
- Time and service charges
All the exchanges do charge a service fee to process your withdrawals, and in our view, it would be ideal if you go with an exchange service with a fee of 0.2% or less per withdrawal. As we previously mentioned, withdrawing via an exchange does take a considerable time for the money to reach your bank account. So, if you are in a hurry for money, you will have to think about the other options we provided.
Withdrawing of Bitcoin must be done with supreme care. Even though we mentioned a couple of fast methods to get cash to your bank accounts, we feel that it is always safe to go with a reputed exchange considering the security factors. Further, do research on the market as well as the exchange service provider before the withdrawal. The final decision is yours, and we wish you all the best!