From Cryptocurrency to Cash: How to Bank Your Digital Coin | Personal Finance


How to try cryptocurrency banking

To start using these kinds of banking services, you must first purchase cryptocurrency, such as bitcoin, litecoin, ether or any other currency that you would like to invest in. Cash App, Coinbase and PayPal are just a few companies with apps that have made it easier to purchase and sell cryptocurrency, even in small amounts, and store it in a digital wallet.

If you want to spend your balance easily, you’ll need to open an account with a firm that offers cryptocurrency debit cards and uses the kind of digital currency you own. Coinbase, for one, has a special debit card that lets customers spend any Coinbase assets they own and earn cryptocurrency rewards, but there’s currently a waitlist for new customers. BitPay, another firm, offers a prepaid Mastercard debit card that customers can use to spend their digital currency. There are others, but it’s not a widespread bank offering.

In the future, cryptocurrency could have the potential to be a source of peer-to-peer loans, where individuals can quickly and securely process loans to each other, according to research from CB Insights. It’s a huge area of untapped potential but for right now, the world of cryptocurrency banking is limited to a small pool of players with some very new products and services.



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