Although still in its infancy, cryptocurrencies have gained astonishing popularity amongst investors. Every investor, experienced or novice knows about the digital currency bitcoin and how to trade it. There is plenty of material in the form of white papers, newsletters, charts and more that offer you an idea of what bitcoin trading is all about.
But what about how to sell bitcoin in Australia? Knowing how to trade is extremely important but doesn’t let you use the profits you make over time. Imagine how frustrating that can be, particularly when large amounts of money are tied up.
Here we discuss different methods of selling bitcoins and realizing your profit. You can choose faster methods such as exchanges or more private but barely slower methods such as P2P markets and bitcoin ATMs.
Regardless of the method you choose, it is important to note that selling only converts your bitcoins into fiat currency. You need additional steps to withdraw it to your bank account or in cash.
- Getting Started: Prepare before buying or selling
Before you start trading bitcoins, you need three basic items specifically an exchange, a wallet and sufficient knowledge to trade bitcoins. In terms of knowledge, many resources are available online. You can even be part of the bitcoin community that’s actively discussing bitcoin 24/7.
The other two things are exchanges and wallets. An exchange provides you with a platform where you can purchase or sell bitcoins while a wallet is a repository where you can store your coins for a longer time.
You choose exchanges and wallets based on customer support, cost, and most significantly reliability and security. Wallets are broadly classified as hot and cold. Cold wallets are expensive physical devices that store your coins offline. While hot wallets are software that stores your coins and they’re often free.
- Multiple solutions to sell bitcoins
Once everything is set up, buy your bitcoins, and wait until you find the right time to sell your coins, it is time to choose a method to sell. Each sales method has its pros and cons and you need to choose the one that best suits your case.
- Through exchange
The easiest and fastest way to sell bitcoins is through an exchange. You do not need to set up anything and sell through what you normally buy. Transactions are virtually instantaneous.
However, exchanges charge some fees for transactions, limit payment methods, and have some sort of centralized monitoring of transactions. For that reason, some investors do not like them.
- Through online P2P trading
Peer-to-peer exchanges offer you more freedom in choosing payment methods with minimal hassle. This platform helps you find buyers who are willing to pay your asking price.
It is up to you and the customer to choose the payment method. There is no clear monitoring but the P2P market can still find out your identity.
- Bitcoin ATMs
Bitcoin ATM devices are similar to regular ATMs. This device lets you withdraw cash against your sales without prying eyes. However, it’s often difficult to find one near you that can leave your transaction far behind the fast paced crypto market.
