Best way to withdraw Bitcoin to USD or EUR
In this article, we aim to provide you with the best withdrawal option when it comes to bitcoin trade, expressed in fiat currency. Although the title signifies the USD and EUR, information from this review is applicable to all other currencies as well. We will go through some of the major exchanges including Coinbase, CEX.io, Bitfinex, Bistamp and Kraken.
Stay tuned as we go through different withdrawal methods, such as bank transfers, credit cards, e-payment systems and cash. We evaluate each option in terms of exchange & provider fees, transaction time needed, verification demands and security of funds. We conclude with the best available methods of fiat withdrawal, pointing out situations where each option is most suitable.
Withdrawal Options – Why are They Important?
In the world of crypto investments, it is quite important to hold all necessary details regarding the withdrawals of fiat money. Traders make a profit from selling and buying coins, a notion we agree with wholeheartedly.
We do wish to add one more important ingredient in that statement and that is money flow. Withdrawals come with expenses as well, sometimes lowering down profit margins drastically. The more options available, the more routes would be open should one of them become expensive.
The first indicator on how attractive withdrawal option is the fees. Many exchanges offer one or several; options, thus knowing the cost structure is vital. The option that reigns supreme in this sphere is bank account transfers (wire, international wire, SEPA, etc.).
The costs range from 0% to 2%, depending on the provider. Bitfinex charges 0.1% from the withdrawal value, Coinbase €0.15, CEX.io from €25 to $50, Bitstamp 0.9% while Kraken has it completely free.
Credit cards are more expensive, ranging from 3% to 5%, also depending on the provider. Coinmama thus offers withdrawals for a price of 5%, CEX.io 1.2% + $3.80 while Bitstamp offers its own debit card with $10 to 2% withdrawal costs.
E-payments like Skrill, PayPal, MoneyGram and Perfect Money are rarely available. Regulated exchanges like Coinbase cannot gather enough information about its customers. Fees range from 2% to 10%, depending on the method used.
Cash is probably the most expensive and rare option available. It has many perks to it (mentioned in other sections) but it also makes you pay for it, with fees ranging from 6% to 12%. Bitit is the most popular choice when it comes to cashing out your bitcoin.
Apart from exchange costs, a provider of the withdrawal service also needs to be taken into account. Bank transfers again take the victory here, as they are the cheapest method out here when receiving money. The credit cards, on the other hand, do come with higher fees, especially since they have double providers (MasterCard/Visa + Bank).
E-payments are somewhere in the middle, as Payoneer, PayPal,and many others ranging from 1% to 5%. You should check your provider specifically, as the cost structure is different for regions and currency (USD are usually cheaper than EUR).
Apart from fees, the time needed for transfer to take place is also an important indicator. The fastest way to get your money withdrawn from the exchange is through e-payment systems. It takes usually less than 5 minutes to complete the process with USD/EUR funds reaching your PayPal or Skrill balance.
Credit cards are the second fastest way to withdraw money, which takes about 5 to 10 minutes to complete. In some instances, such as Coinbase, the company would speed up the process if you have verified your identity completely. Thus, CC can also be as fast as e-payments as well.
Cash usually takes between 10 to 30 minutes to complete, as you have to physically go somewhere and pick it up. In many cases, the vouchers would also be available after an hour to ensure all relevant details and security measures have been satisfied.
Bank transfers are the slowest option, as it can take between 2 and 5 business days to complete. Banks prolong the period as they make various security checks.
Many exchanges impose identity verification on traders before they can withdraw their money. Some, like Bitfinex and CEX.io, would allow deposits and trade but not withdrawals for unverified users. In this aspect, options like abank account, credit card,and e-payment systems go in one basket. You have to provide scanned ID and utility bill if you wish to withdraw your fiat funds.
Cash might be the only one that can be considered as private in some cases, such as Bitit. You pick up the withdrawal vouchers and head towards the nearest store or ATM to get the money. Be aware that, although completely anonymous, such transfer also carries large fees, as mentioned in the cost section. You can check out Coinmama’s verification requirements in the picture below.
Another important aspect that you should know about when withdrawing fiat money is the security. Transferring funds comes with information about your external wallet being handed over to the exchange used.
Bank accounts and credit cards are one of the safest ways to transfer money out of the trading platform. Banks take special care with the funds being transferred while credit cards come with safety functions, like Visa’s 3D security, not allowing any other party to control the card.Visa’s 3D is presented below.
Cash and e-payments are less secure. Most platforms would ask you to hand out the access to your Skrill/PayPal while cash vouchers are sent from the platform to you. Thus, both options are completely controlled by the exchange. You should work only with known service providers if you are withdrawing fiat currency using cash or e-payments.
Each of the methods has its advantages and disadvantages when withdrawing USD or EUR funds from crypto exchanges.
Bank transfers are cheapest to use, longest to last and are one of the most secure ways to withdraw money. They are also quite popular in the industry, meaning that you should definitely consider the option.
Credit cards are almost instant but do carry high fees with them. With the help of security features, they are also neck-to-neck when safety is in question. However, they are slightly less popular than bank account withdrawals within exchange market.
E-payments are very similar to credit cards, though they are the fastest way to land you fiat money. They do come with largest fee structure, as both exchanges and providers would charge you while you are withdrawing funds.
Cash payments are the least safe method to use but provide more privacy than other methods. They also come with high fees and moderate speed of transaction time.
To summarize, we deem bank accounts the best way to withdraw money when it comes to security and fees. All others can be sued in different situations if your specific goal is speed or privacy.
The post Best way to withdraw Bitcoin to USD or EUR appeared first on Cryptocoinzone.