Bitcoin is slowly gaining in popularity. The number of retailers starting to accept Bitcoin and cryptocurrency as a valid method of payment is ever increasing. Some stores have started to accept stablecoins for its stability, convenience, and low fee. You can learn about stablecoins here. However, the majority of offline and online stores do not accept cryptocurrency as payment. Until cryptocurrency is adopted in all stores across the globe, fiat is still king. If you want to buy anything with cryptocurrency, most of the time you have to convert cryptocurrency to fiat.
If you own a lot of cryptocurrencies and you want to spend these cryptocurrencies to buy anything online or offline, this article will serve you as a guide. Here is how you buy anything with cryptocurrency:
Use a Cryptocurrency Debit Card
Using a crypto debit card is the fastest, most convenient way to buy anything with cryptocurrency. The way these cards work is very simple. All you have to do is top up this card with cryptocurrency and use it just like you would use a regular debit card. When you purchase something, the amount is deducted from the cryptocurrency balance automatically.
You can find so many crypto debit card providers, each with their unique set of perks. Almost every crypto debit card provider allows you to top up their card with different cryptocurrencies. So you are not limited to Bitcoin or Ethereum; you can choose a stable coin during volatile times. Below are some of the most popular crypto debit cards as of today:
If the store only accepts cash, obviously the card won’t work. In that case, you will have to withdraw money from this card using an ATM. Yes! Some of the cards listed here allow you to withdraw money from ATMs. However, if your crypto debit card doesn’t allow ATM withdrawals, you can still convert crypto to fiat using a cryptocurrency ATM.
Use a Bitcoin/Cryptocurrency ATM
Cash is accepted almost everywhere. A Bitcoin ATM allows you to convert Bitcoin to cash or cash to Bitcoin. You can check out the world map of all cryptocurrency ATMs here.
The way you sell bitcoin for cash using a Bitcoin ATM is very straightforward; it is as follows:
- Select the withdraw money option on the ATM menu.
- Enter how much money you want to withdraw.
- Scan the QR code using your phone.
- Send Bitcoin to the given address.
- Wait for the transaction to confirm.
- Withdraw cash from the ATM.
Some ATMs require you to go through KYC (Know Your Customer) before you are allowed to interact with the ATM. Usually, these ATMs ask for some personally identifiable information like government ID, passport, mobile number, etc.
It is important to mention that these ATMs are not limited to just Bitcoin. You can find ATMs for cryptocurrency other than Bitcoin.
The biggest downside to using a cryptocurrency ATM is the fee. These fees can be high as %10 of the transaction. This is because of the limited number of ATMs available worldwide. They can afford to charge high fees for the convenience. The fee is expected to drop in the near future as more and more cryptocurrency ATMs become accessible.
Buy Gift Cards with Bitcoin
All major retailers offer gift cards. There are a few services that allow you to buy gift cards with cryptocurrency. In this method, you are not directly spending your Bitcoin to buy things from a store. You are buying gift cards with bitcoin to later redeem them at a store. These are some of the services where you can buy gift cards with crypto:
- Egifter – Offers 300+ gift cards from various brands around the world. Additionally, you can earn points when you purchase with Bitcoin. Accepts Bitcoin, Bitcoin Cash, Bitcoin SV, Ripple, Ethereum, and Litecoin. Interestingly, Egifter also offers virtual Visa cards. These are prepaid cards that can be used as regular bank cards for online purchases. You can check them out here.
- Gyft – Offers 200+ gift cards from retailers all around the world. Gyft also offers mobile applications for iPhone and Android devices.
- LocalBitCoins – LocalBitCoins is not a gift card platform like Gyft: it is a peer-to-peer exchange where users can buy or sell bitcoin directly from other users. You can find sellers selling bitcoin for gift cards like Amazon, iTunes, and various others. You can find gift cards for very cheap prices; almost certainly below the value of the gift card itself.
- Paxful – Another peer-to-peer Bitcoin exchange where you can find gift cards for very cheap prices.
One problem with this method is that you need to buy gift cards in fixed amounts. It is usually in $10, $15, $25, $50, or $100. If you want a specific amount, you may want to convert bitcoin to fiat; which brings us to the final method of buying anything with bitcoin:
Selling your Bitcoin
This method is very straightforward; sell your bitcoin and use that money to buy things offline or online. The fastest way to sell bitcoin is with the use of a bitcoin brokerage service. Some of these services include:
You can withdraw the amount you sold to your bank account or PayPal account. Bank withdrawals usually take a few business days to process. So if you are in a hurry, withdraw to PayPal.
Alternatively, you can use peer-to-peer exchanges to sell your bitcoin. The best thing about these exchanges is the variety of options when it comes to selling bitcoin. Some of the most popular methods include:
- Bank transfers
- Cash deposit
- Cash in person
- Western Union
Here are some of the popular peer-to-peer exchanges for bitcoin and other cryptocurrencies:
- LocalBitCoins – Bitcoin P2P
- Paxful – Bitcoin P2P
- LocalMonero – Monero P2P
- LocalCryptos – Ethereum P2P
The most convenient way to buy anything with bitcoin is to use a bitcoin debit card. However, Bitcoin debit cards are only available in a limited number of countries. If these cards are not supported in your country, you can still use other methods mentioned in this article to buy anything with bitcoin.