Sale of Bitcoin: Should one indulge?

Is it time to place our faith in bitcoins and other likewise currencies for exchange? Many large organizations and companies have validated this currency and the demand is ever-increasing. However, individuals whilst buying bitcoins still ponder over its legitimacy. 

It is true that the buying of bitcoins is usually simpler as compared to its sale, and receipt of sale proceeds. However, the sale of bitcoins has proven to be more productive than minting. With the impetus from Elon Musk, investors wish to take advantage of these new currencies. 

The future looks bright, but some investors apprehend that markets might crash in the future. Therefore, some find an alternative in “shorting the Bitcoin” instead of selling them altogether. 

Sale and Procedure: 

In the light of the present discussions around the world, there is a constant fear lurking among global investors. Did you know that if a government passes a bill to ban the usage of Cryptocurrencies, it could imply an economic disaster for the investors? However, experts opine that even if a government decides to proceed on similar lines, they will allow all investors to liquefy their assets. 

These considerations are important because these currency sales involve: 

• enormous transactions (so the cash must be available for facilitation), 
• the seller should take into account the market situation, 
• the sales being conducted partly or wholly.

Amidst these tumultuous times, it is always beneficial to explore and discuss the routes for sale of bitcoins. Though buying and selling of bitcoins can be done from similar platforms, selling requires a lot of considerations being made. More information regarding sales and regulation click here.

~ Direct Exchange (Peer-To-Peer): Peer-To-Peer (P2P) exchange does not allow any third party to take part in the transmission of currency. The seller exerts more control over the transaction, as he/she can find out all the relevant information about the buyer. This process involves going and selling bitcoin face-to-face in exchange for cash. The process can involve a transaction with an acquaintance, your friends, family, etc. 

Moreover, the procedure is reliable, easier, and hassle-free due to the physical exchange of currency. In a conventional automated exchange system, there are problems of delay in the process. In addition, an automated system will also levy a certain fee for conducting the transaction. So, ideally, one should prefer a physical exchange. 

Furthermore, there are shops in many parts of the world that accept bitcoins in exchange for cash. Only a prior verification of your credentials would suffice the criteria for the shops to conduct the exchange. 

However, physical or P2P exchanges have their own set of shortcomings. A risky venture exists in exchanging currency with a stranger (as you do not know his background). Secondly, without the guidance of an expert, your deal might incur a loss. Also, the market is relatively recent, and most people do not believe in the process. 

~ Automated Exchange: There are a lot of online platforms available to facilitate transactions between the buyer and the seller. The ‘exchange platform’ you opt for, acts as a middleman and conducts the exchange. It implies the security and stability of the process. 

Moreover, the sale through a platform is less tedious and faster than a P2P exchange. After the completion of your account creation on a platform, setting your choices will be the next step. The preferences regarding your payment method, location, currency, etc. After filling in the required details, you need to transfer the Bitcoins you have bought into your Digital Wallet (present in the platform). 

Post the transfer, you can check for various offers enlisted and place an order for the sale of your Bitcoins. Any interested buyer can approach you through the platform and the sale happens. The platform is super efficient in conducting a secured transaction, so that the credentials of the buyers and sellers, is not jeopardized. 

However, online exchange through platforms has a fee involved as compared to direct exchanges. In addition, the process of bitcoins converting to cash takes time. 

Conclusion: 

The Bitcoin market is relatively new and unregulated. A dearth of information regarding the same makes the situation more complicated. Therefore, it is never wise to sell or buy bitcoins in haste. The bitcoin market can be compared to the stock market. So, you should study the exchange rate, the mode of payment, changes in the trends, and other relevant information before investing or selling.