Fiat currency can be said to be legal money because the government of a particular country backs that. The currency has legal sanctions by the government but it is not supported by any physical commodity like gold or silver. The money’s value lies in the government’s trust in it. So, its sole valuation lies with the government’s trust and acceptance of it. So, naturally, the government has primary control over it as they give it its legal sanctity. As there is a governing body controlling this Traditional Investments system, they are not so volatile, unlike cryptocurrencies controlled by a blockchain system. Though trading in cryptocurrencies brings higher values, people still believe that the future belongs to fiat money.
How To Earn Bitcoins?
You can earn your Bitcoin by either mining it or you can receive them in exchange for certain commodities or services. But you may or may not know that Bitcoins can also be exchanged for fiat currencies as in the US Dollar or the Japanese Yen, and it can be exchanged for other cryptocurrencies. And earning a fast buck from Bitcoins can also be done by trading it on the Bitcoin Era.
How To Exchange Bitcoins For Fiat Currencies?
There are a number of ways that you can exchange cryptocurrencies with fiat currencies.
1. Exchange of Cryptocurrency
Travelling to a different country requires the currency to be exchanged for that country’s in the first place. This system of crypto exchange for fiat currency is similar, and this means you have shifted to the legal currency of that country you are in.
2. Bitcoin Debit Card
If you have a Bitcoin Debit Card, you can easily exchange your Bitcoin for that fiat currency. The user has to deposit his Bitcoins online, and the entire process is completed, wherein he gets the fiat currency online into his account.
3. Peer-To-Peer Exchange
You can transfer your Bitcoin to another person who will give you fiat currency in return, and this is a very easy process. Since Bitcoin transactions cannot be reversed, you have to be careful about whom you exchange your coins with.
4. Bitcoin ATMs
Similar to the traditional ATM, you can withdraw from BTM. Here you can sell also. You can take your cash out from your wallet super-fast.
5. Metal Pay
This is one app that allows Bitcoin holders to take out cash in exchange for their Bitcoins. Once you give your KYC to the bank, you can use your account to exchange cryptocurrencies. You can exchange 24 varieties of cryptocurrencies via this method.
The Leading Fiat Currencies That Can Be Traded For Bitcoins
The leading fiat currencies that you can exchange your Cryptocurrency for are as follows:
1. U.S. Dollar
It has a market share of 85.5% and ranks as the leading fiat exchange for cryptocurrencies. Their leading position comes from the fact that many people have accepted the method and thus the country quickly accepted this form of money. Anyone who cannot accept it will not be able to embrace the system. People in India first need to buy dollars to buy Bitcoins, and thus the process becomes tedious.
2. Japanese Yen
Japan has a 5% share in the global market. Japan was the leader in the early years because of China’s ban on it. The Japanese system adopted this method very quickly and thus became one of the top fiat currencies accepting Bitcoins in exchange.
3. Euro
Euro holds the third slot globally with a share of 4.75% in the market. Its only drawback is that it is restricted to certain regions only, and certain countries Germany, the Netherlands and Belgium, have adapted to this.
4. Korean Won
With a share of 3.2% in the global market, it ranks fourth. But it is facing a decline because of the country’s regulations.
Conclusion
So instead of trying out your Bitcoin exchanging luck alone, if you are a newcomer, you can do this in consultation with people who can offer you advice on the same. It may help you if you have Bitcoins or are planning to buy some and then further exchange them for fiat currencies.