If there’s one trading platform that almost everyone knows, that’s Coinbase. It’s a central, key player in the cryptocurrency world, providing its users with a simple, fast and effective tool for buying, selling and storing cryptocurrency.
But how do you go about withdrawing money, particularly from the FIAT you’ve just converted after reselling your cryptos? You’ll find everything you need to know in this article, which is specially dedicated to the various steps you need to take to do a Coinbase cash out, in order to transfer money from the platform to your bank account. For more details on this exchange, read our Coinbase review.
Coinbase Background
After Binance, Coinbase is the second largest crypto trading platform in the world, launched in 2012. It is the brainchild of Brian Armstrong and Fred Ehrsam. The company quickly established itself as an essential gateway for people wishing to invest in cryptocurrencies. At the time, it was virtually one of the few platforms in the world that allowed buying Bitcoin.
Today, it is used by nearly 30 million people around the world. Coinbase offers access to a wide range of cryptocurrencies, including Bitcoin, Ethereum, Litecoin and many others. But why such success? Quite simply because the platform is so easy to use. If we add its status as the ‘history’ of the cryptocurrency market, boom—we have an explosive cocktail.
But that’s not all, and thankfully so. Coinbase offers its users quite a bit of security. The platform guarantees cold storage, two-factor authentication (2FA) and data encryption. On top of that, it offers excellent liquidity. This is an essential point for trading platforms. If you can place your orders and see them validated fairly quickly, it’s always more pleasant.
Coinbase
- Regulated exchange
- An easy-to-use platform
- Free crypto training offered
Coinbase
Finally, Coinbase is highly transparent, with clearly stated fees and a proactive disclosure policy. You can buy, sell or even stock (and stake) your digital assets. Another feature is Coinbase Pro, which is a trading platform for the most experienced traders. So there’s something for everyone, especially as the exchange:
- has recently entered the world of NFT (non-fungible tokens);
- is venturing into the DeFi (decentralised finance) sector.
In short, Coinbase, like Binance or Kraken, is a comprehensive platform that offers access to the entire web3 ecosystem. An accessible platform that meets all security criteria and we at Tokize recommend using, even though this is in no way investment advice. Read our Binance review.
Always remember to do your own research. The cryptocurrency world is extremely volatile. The potential for capital losses is quite high, and it is not unheard of for investors to lose all or part of their initial investment.
How do I Cash out on Coinbase?
Withdrawing money from a platform to a bank account can sometimes be complicated, so it’s best to have all the information you need at hand. That’s why Tokize has put together a comprehensive guide on the subject.
Selling your Tokens on Coinbase
Do you have cryptocurrency on Coinbase that you want to sell to top up your bank account? The first thing you need to do is sell your digital assets in order to convert them into fiat. To do this, you need to log into your Coinbase account, to access your wallet.
The second step is to select the cryptocurrency you want to sell. For example, if you want to sell Bitcoin, click on BTC – Bitcoin directly in your integrated wallet. You will then have the choice between “Sell” or “Convert”. All you have to do is specify the amount of Bitcoin you want to sell or convert into FIAT.
You must then confirm the transaction. Once this has been done, the sale will be carried out automatically, and you will receive your euros or dollars in your Coinbase account. However, this is only the first step in the withdrawal or conversion process.
Coinbase
- Regulated exchange
- An easy-to-use platform
- Free crypto training offered
Coinbase
Withdrawing your Money from Coinbase
So what do you do once your euros, dollars, etc. are credited to your Coinbase wallet? In just 5 easy steps, you can send your money from Coinbase to your bank account. Here’s how:
- Log in to your Coinbase account and click on the “Wallet” tab. This will give you access to all your accounts and money on the platform. You then need to search for the line “EUR” or the currency you desire.
- Once you’ve found the account you’re looking for, you need to select it. It couldn’t be simpler: just click on it.
- You will then have a choice of several options. You will need to click on “Withdraw” or “Send”, which will allow you to transfer your EUR funds to your bank account.
- You will then need to set the amount you wish to withdraw. If you wish to withdraw 100 euros, simply enter “100” and then select the destination bank account.
- Confirm the transaction details, including the amount and destination account, then click “Withdraw” or “Send” to finalize the transfer.
Please note that the withdrawal process varies depending on the country you are in. Coinbase will offer more or less advanced withdrawal options. Finally, always remember to check or double-check your bank account details to ensure that everything is displayed correctly.
What about large money transfers from Coinbase to your bank account? The platform complies with financial and anti-money laundering regulations, which may require additional checks before you can make large withdrawals to your bank account.
Basic Precautions before Withdrawing Money from Coinbase
As we all know, Coinbase is part of a fast-changing ecosystem where things can happen very quickly. If you want to withdraw money from Coinbase to your bank account, there are a number of basic precautions to take. Here’s a summary to help you limit the risk of error and loss of capital.
Check the Accuracy of the Information
Are you about to make a withdrawal? Before going any further, make sure that the information (all of it) you provide is correct and up to date. If you make a mistake, you should be aware that the money sent will not be recoverable, whether in FIAT or cryptocurrency, as part of a transfer.
Activate Two-factor Authentication (2FA)
If you absolutely want to strengthen the security of your account and give yourself one last chance to check everything, two-factor authentication (2FA) is something you should set up. You’ll receive a confirmation SMS or email, with all the details of your transfer request and a validation code. So it’s likely to help you see things a little more clearly and check the final settings before final validation.
Check Processing Fees and Times
Before withdrawing your funds, remember to take a look at the fees charged by Coinbase. This information is usually displayed when the transaction is validated. Coinbase charges €0.15 for fiat withdrawals via SEPA. Finally, don’t forget to take account of processing times, which may vary depending on network saturation or your country of residence.
Declare your Income
Cryptocurrency is taxable in the UK. A tax of 10-20% is imposed on capital gains over the £6,000 tax-free allowance, and 20% to 45% for additional income from crypto over the personal allowance. The total amount you pay will vary based on the transaction made, the applicable tax, and your income tax bracket.
By following these few rules (in addition to the basic security rules, such as using a secure connection or storing your information, such as your personal codes, securely), you can considerably reduce the risk of errors. In fact, you can simply withdraw your funds and transfer them from Coinbase to your platform.
Coinbase Withdrawal Fees
On Coinbase, the fees are fairly reasonable. Firstly, if you wish to deposit FIAT money on the platform, this will be completely free of charge by SEPA transfer. Transaction fees then apply. These fees vary from 0.5 to 1% (sometimes even more) depending on the cryptocurrency… Whether you buy or sell.
If you want to resell your tokens and send your euros back to your bank account, the platform only charges €0.15 per FIAT withdrawal (SEPA only).
Withdrawing Money from Coinbase to your Bank Account—our Conclusion
So now you know how to withdraw from Coinbase. The beauty of cryptocurrency is that you remain in control of your money. So, at any time, you can sell your digital assets and change them into FIAT currency, which you can then transfer from the exchange platform to your bank account. The great thing about Coinbase is that the transfer is really simple.
In just a few simple steps, you can send your newly converted euros directly to your bank account. However, you should always be careful about what you set up and what information you enter. It is quite possible to enter the wrong number or the wrong letter, which could ultimately result in the loss of all your capital.
Finally, make sure that Coinbase is the platform you really want to use. It’s entirely possible that the tool we’re talking about simply doesn’t suit your needs. In the cryptocurrency world, it’s absolutely essential to do your own research and testing. You can then easily determine which tool is best suited to your needs.
Coinbase
- Regulated exchange
- An easy-to-use platform
- Free crypto training offered
Coinbase
