Bitcoins can be withdrawn and traded for fiat money in several ways, including tools provided by cryptocurrency exchanges, Bitcoin ATMs and direct trades with interested parties.
Withdrawing from cryptocurrency exchanges
Some cryptocurrency exchanges provide the possibility to withdraw Bitcoins directly to a bank account or a WebMoney or PayPal accounts. Depending on where the funds are being sent, withdrawing can take varying amounts of time, with processing time ranging from being instant to reaching several days. Users may be required to confirm their personal information such as driver license number or social security number to reduce fraud. The seller specifies the rate and a commision that can range from 0.1% to 1% is taken.
Withdrawing Bitcoin from hardware wallets
Hardware Bitcoin wallets were created to provide the maximum degree of security. Therefore withdrawal process may be more complicated as opposed to online wallets. Some hardware wallets, however, provide first-party software designed to simplify the withdrawal process. Nevertheless, several steps need to be taken to withdraw Bitcoins to an exchange which, in turn, will allow to convert them into a fiat currency. The process may require to involve a software wallet along with a specific browser plug-in.
Withdrawing with exchanger services
Exchanger services are a popular option that allows withdrawing Bitcoins directly to a bank account, WebMoney account or similar. Each exchanger has its rate and commission which reaches as high as 15% in select cases. Withdrawal process takes from a few minutes to multiple days.
Withdrawing in direct trades
It is possible to trade Bitcoins for fiat currencies in direct trades with private parties. However, it should be noted that even tough withdrawing in a direct trade might be most profitable in specific cases, there is no protection against fraud for both parties involved in the deal.