If you take a look at the history of Bitcoin, you will see that its evolution is nothing short of exceptional. For instance, when it was launched back in 2009, it was worthless. However, its mysterious investor Satoshi Nakatomo predicted that it will be one of the most important methods of payment in the future. If you take at the situation now, you will see that this mysterious Japanese man was right.
Sure, we are not sure if this is just a pseudonym. Nevertheless, this prediction turned out to be a good one. Not only that we have BTC as a well-established cryptocurrency, but we can also see that there are many more of them available on the market. Surprisingly enough, some of them like Ethereum and Ripple are now among the major players in the market.
Furthermore, some of these have made it possible for many people to have some healthy profits over the years. That wouldn’t be possible without software, which makes trading possible. If you would like to take a look at one of these, check thebitcoincode.io. Despite Bitcoin being so popular, there are many uncertainties about how it works. Especially when it comes to withdrawing large sums of money. That’s why we would like to elaborate on this topic in this article of ours. Without further ado, let’s begin.
Are There Any Limits?
If you have at least some experiences in this market, you will know that there are some limitations on how much a trader can withdraw. Basically, these limits depend on the crypto exchange the trader chooses. When it comes to the range, it needs to be said that it is hard to determine the right amounts. On average, we can see that limits can go from a couple of hundreds to a couple of thousands.
For instance, some of these exchanges will allow you to withdraw up to $10k per day. However, we feel obliged to say that some of these provide their clients with an opportunity to upgrade their accounts. It means that these levels can be even higher than the initial one. Naturally, only a couple of exchanges in the world offer this possibility. A majority of them stick to the first limitation.
Do I Need to Pay Taxes?
When we’re talking about crypto taxes, we are talking about one of the most complex questions. It needs to be said that no miner is obliged to pay some taxes. However, when you withdraw your money, you will need to pay a certain percentage. You are paying a tax on the conversion from crypto to fiat currencies. For many years, there were no taxes on the conversion.
However, we can see that many countries have found a way to collect taxes. But it needs to be said that not all countries can do that. Since we are not talking about traditional transactions, these can’t fit inside the current financial systems of many countries. Some traders are still lucky enough not to pay taxes on the conversion. We will just have to see how much it will last.
How Can I Withdraw?
Now, we would like to provide you with a couple of methods you can withdraw large sums of BTC and convert it into your local fiat currency.
1. The ATM
The simplest way you can perform this process is to go to the local crypto ATM. So far, they can be found only in the largest cities in the world. However, we do not doubt that they will become much more accessible in the future. We are talking about an ATM, pretty similar to traditional ones. You just need to find one closest to the area you are living in.
Many different companies can provide you with this kind of service. There are multi-national companies, and there are some local companies. Before you go to one of these, be sure to check the rates. That way, you will not get surprised.
2. Peer to Peer
In case you are not interested in going to the closest ATM, or it is simply too far away, there are always alternatives. One of them is peer-to-peer platforms. Even though the most reliable way to sell your coins is to find the buyer you know, you can be sure that this is a credible way to do it. Pretty much all available platforms are credible and you will have no problems finding someone you can trust.
The reason is that these platforms have pretty strict rules about who can be accepted. Not only that, these platforms will provide you with a way to connect with buyers or sellers, the transaction will be as safe as it can be. In case something unpredictable happens, you will have guarantees that your coins will be returned to you. Even though a vast majority of these are credible, be sure to research before you make a decision.
3. OTC Counter
In case the amount of BTC you are looking to withdraw is too high for your exchange, you will be happy to hear there are alternatives. We are talking about OTC counters. These are platforms that serve as a middleman, and they have the task of connecting two traders who have similar criteria. Plus, the transaction will not be made public. That way, the transaction will remain protected from all attacks.
There is one big benefit of this approach is that the fees are pretty low with OTC counters. Naturally, you will need to check what the rates are with the particular platform you have chosen. But you can rest assured that you will these are not high in most cases. Certainly, we are talking about one of the most efficient ways to withdraw your coins.
The Bottom Line
Many people have prejudice against BTC and how it works because of all the factors. One of the most interesting ones is the withdrawing process. Here, you can take a look at some of the ways you can do that. We are certain you will find these helpful.