- April 20, 2023
What if you had something really valuable but weren’t sure how to sell it? This is a predicament that those holding Bitcoin, but new to the crypto game, experience often. Bitcoin may be a popular form of cryptocurrency that has seriously grown in value, but it can be confusing figuring out how to sell the Bitcoin that you have. For example, most people use online exchanges to sell their cryptocurrency. But there are times you need to buy and sell Bitcoin right away. And this is where a Bitcoin ATM comes in handy.
Not sure how to sell Bitcoin via ATM? Don’t worry: our guide will walk you through everything you need!
What Is Bitcoin?
Our guide will explain everything you need to know about how to sell Bitcoin via ATM. But if you’re very new to cryptocurrency, you may still be trying to figure out exactly what Bitcoin is.
The (relatively) short answer is that Bitcoin is a form of digital currency that is not issued by any government. Instead, it is entirely decentralized, and more places accept Bitcoin as payment daily.
Why would someone embrace Bitcoin over more traditional forms of currency? There are many reasons. For example, some enjoy that Bitcoin offers low transaction fees, and others like how transparent Bitcoin is because everyone has access to its digital ledger at all times. Others like the more “personal” feel of Bitcoin. You can exchange cryptocurrency and currency on various public exchange platforms and work with other people rather than a bank or a major corporation.
Arguably, the primary key to Bitcoin’s popularity is its value has grown immensely over time. Individual Bitcoins do not have a fixed value like, say, an American dollar has. So investing in Bitcoin now may mean you’ll see a significant increase in value in the future!
The Role Of Your Digital Wallet
When paying for things with cryptocurrency or using a public exchange, you will need a good wallet (such as ByteWallet). But what are these wallets, and why are they so crucial to every aspect of your crypto experience?
It all goes back to the fact that Bitcoin is a digital currency. With traditional currency, you can carry physical dollars and coins in a physical wallet or use different forms of electronic banking to manage your money. However, cryptocurrency is wholly digital and completely decentralized. That means you cannot store it in a physical wallet or use your local bank to store and manage your cryptocurrency.
Regarding Bitcoin and other cryptocurrencies, “wallet” refers to a digital wallet used to store your money. And there are different kinds of digital wallets for you to choose from.
Kinds Of Bitcoin Wallets
The most common kind of wallet is sometimes called a “hot wallet.” The “hot” part is because that wallet connects to the internet. This connection makes it easy for you to receive and send Bitcoin online. While hot wallets help facilitate online Bitcoin exchanges, some users are paranoid about storing their digital currency in a place that a hacker or other malicious person can access. As a result, such users may choose to keep some (or even most) of their cryptocurrency in “cold storage.” Cold storage is an offline wallet that nobody but you can access.
Many users have “hot” and “cold” wallets to enjoy the best of both worlds. For example, you can keep a certain amount of cryptocurrency in a hot wallet to buy things and complete online exchanges for other cryptocurrencies. But as your wealth builds, keeping some of it in a cold wallet with all the benefits of offline storage may be the safest option.
How Do I Buy Bitcoin?
Now you know more about Bitcoin and how to store your digital currency. But before you can start buying, spending, and exchanging Bitcoin, you must know the available platforms.
At first, the idea of buying Bitcoin can seem intimidating. It’s not unlike investing in the stock market. But if you have never done that, Bitcoin buying and selling may be extra confusing.
One way to buy Bitcoin online is through an online exchange. Exchanges connect you with other cryptocurrency users who are willing to buy and sell cryptocurrency. In many cases, these exchanges also allow you to purchase other items and even turn things like unwanted gift cards into cryptocurrency you can spend all over the world.
Another option, though, is to buy Bitcoin via an ATM. Once you locate the nearest Bitcoin ATM, you can use it to buy and sell Bitcoin and other cryptocurrencies, even if you are near your computer.
How Do I Sell Bitcoin Online?
Selling Bitcoin online works the same way as buying it online. You log into an exchange or a Bitcoin ATM to sell. However, the exact specifics of selling Bitcoin online are determined partly by the exchange or ATM you use. For example, different exchanges feature different transaction fees. Similarly, other exchanges may accept various forms of payment from people that wish to buy cryptocurrency, including debit/credit cards, money orders, bank wires, and even those gift cards that we mentioned earlier.
Finally, some exchanges may be centralized (meaning that a particular authority monitors them), and some may be decentralized (meaning that users can trade with each other directly). Which type of exchange you use is primarily a matter of preference. However, many prefer Bitcoin because it is free from government or corporate interference, and like the freedom of trading directly with others in a decentralized exchange.
What Is A Bitcoin ATM?
Earlier, we mentioned that a Bitcoin ATM is one of the ways that you can both buy and sell Bitcoin and other forms of cryptocurrency. But what, exactly, is a Bitcoin ATM?
It’s actually what it sounds like. A Bitcoin ATM is simply an ATM kiosk connected to the internet to facilitate your cryptocurrency exchanges. You can use the details in our guide to connect to an ATM and buy or sell Bitcoin as needed.
One important thing about this kind of Bitcoin kiosk is that not all offer the functionality of a traditional ATM. Some of these machines will let you withdraw cash. Others only work with cryptocurrency tokens, allowing you to send the currency you buy or receive to your digital wallet.
Bitcoin ATM Locations
Many people reading this may have yet to see a Bitcoin ATM before. But that is likely to change in the very near future! That’s because there are currently more than 14,000 Bitcoin ATMs worldwide, and more are being built daily. This is only natural, as the growing popularity of Bitcoin makes these additional ATMs necessary. As a result, some of your favorite businesses may be hosting Bitcoin ATMs before you know it.
Bitcoin ATMs, like online cryptocurrency exchanges, may have different transaction fees and regulations. Therefore, it is essential to know what you are getting into, and it is equally important to understand the limitations of Bitcoin ATMs.
Bitcoin ATM Limitations
If you can’t already tell, we are big fans of Bitcoin ATMs. But they still come with certain limitations, and you should be aware of what these limitations are before you start using the machines.
We already covered the significant limitation: you cannot get physical cash back from all Bitcoin ATMs. Byte Federal offers two-way Bitcoin ATMs in limited locations. At a two-way BATM users can sell their crypto coins for cash. These machines would be the exception to the above-mentioned limitation. Otherwise, if you are looking for some quick cash you can tuck into your physical wallet, you may need to go to a traditional ATM. Additionally, most Bitcoin ATMs have daily sale limits. Byte Federal Bitcoin ATMs have the highest daily limits! The first transaction limit is $300. After successful registration, the limit increases to $29,500 per day. We pride ourselves in keeping our network up and running 99.9% of the time. Some Bitcoin ATMs have different cash limits based on whether you are a registered user. You must register to buy or sell cryptocurrency with Byte Federal Bitcoin ATMs.
Finally, Bitcoin ATMs should require you to present some form of identification (such as a driver’s license) before you can proceed. While this is usually not a problem, some cryptocurrency users may resent presenting a government-issued ID to participate in the largely decentralized world of cryptocurrency.
How Can I Sell Bitcoin Via ATM?
With all that in mind, let’s move on to the big question: how can you sell Bitcoin via one of these ATMs?
You begin by accessing the ATM and requesting to withdraw cash. At this point, you must enter your phone number and present some picture identification (depending on the ATM you are using). You may also have to agree to the terms and conditions to use this particular kiosk.
The machine will text you a verification code. After you type the code in, you can select which cryptocurrency you would like to sell. While this guide focuses on Bitcoin, most ATMs support different kinds of cryptocurrencies (more on this later).
The next step is to indicate how much Bitcoin you wish to sell. Again, specific machines let you put in a custom amount, while others require that you put in specific increments (for example, increments of $20 or $100).
Next, the Bitcoin ATM will print a receipt with a QR code. You can then open a digital wallet app on your smartphone and scan the code on your receipt.
Sometimes, your sale takes a few minutes to register on the blockchain. Once it has registered, though, you can do what you want after you redeem the money. Certain ATMs will let you withdraw your new money as cash, but others will only help you get cash into your digital wallet.
Different Bitcoin ATMs may have slightly different rules and require slightly different steps. But for the most part, this simple guide will help you sell Bitcoin via any Bitcoin ATM you come across!
Alternatives To Bitcoin
Our guide has focused on how to buy and sell cryptocurrency through Bitcoin ATMs. However, despite these machines being nicknamed “Bitcoin ATMs,” you are not limited to using that form of cryptocurrency at most of these machines.
For example, Bitcoin is popular enough that it is usually the cryptocurrency form of choice at most ATMs. But you can also use these machines to buy and sell things like Ethereum, Litecoin, and other types of cryptocurrencies. This accessibility is important because the relative value of any given cryptocurrency may rise or fall over time. So, as with the stock market, savvy cryptocurrency investors can stand to make a lot of money by selling certain cryptocurrencies for significant profit and buying other forms of cryptocurrency before their value jumps up.
Your Next Move
Now you know how to sell Bitcoin via ATM. But do you know who can make the entire experience that much easier?
Here at ByteFederal, we offer a variety of convenient Bitcoin ATMs and a user-friendly digital wallet. Contact us today to see what we can do to improve your next Bitcoin experience!