“HOW TO REDEEM CRYPTOCURRENCY PROFITS”
Now, for the fun part! Cashing out to take a portion or all of your gains can be exciting! Coinbase has made the process very simple and straightforward. Before we dive into the process of cashing out, I would like to make this one point. If you prefer not to convert your coins to cash, I recommend converting your coin to a stable coin.
A stable coin is a cryptocurrency designed to minimize the volatility of the price of the stable coin, relative to some “stable” asset or basket of assets. A stable coin can be pegged to a cryptocurrency, fiat money, or to exchange-traded commodities (such as precious metals or industrial metals). Using Coinbase to convert a coin into a stablecoin is very simple:
- Select the Trade tab.
- Select the Convert tab.
- Input the dollar amount you would like to be converted.
- Select the coin you would like to convert
- Select the coin you would like the selected coin to be converted to.
- Click on the Convert button and confirm the final amount was convert according to your request.
- You can at that point leave your coin on the exchange or transfer the stable coin to a hardware wallet (I recommend transferring to a hardware wallet.
To cash out of Coinbase to your bank account, view this great Youtube video for reference:
- Select the Sell option.
- Select the coin you would like to sell.
- Select the coin you will be putting the proceeds of the sale into. This will also be a Stable coin.
- Input the amount you would like to sell.
- Review the sell summary, then confirm sell. The system will provide a sell status once order has been processed.
- Once funds have settled into the Stable coin. Select the Withdraw feature for the Stable coin.
- Select the bank account you wish to withdraw to
- Select the withdrawal amount.
- Select Continue and verify the withdrawal summary to ensure the amount and account selection is correct.
- Select Confirm then check your account within a few days to ensure the funds have successfully deposited into your bank account.
The process is very simple. However, with everything crypto make sure you confirm and verify every transaction before you click the confirm button. Unlike tradition asset transaction you cannot reverse a crypto transaction once executed. Thus, be very careful when transferring cryptocurrency. With that said, have fun learning about and investing in the world of crypto. I hope the steps I have shared with you will play a huge role in your understanding and successful crypto investing.