Top 7 Cryptocurrency Converter Tools for 2023

Converting cryptocurrencies into fiat currency requires careful consideration to choose the best crypto exchange platform. Cryptocurrency converter tools are online platforms that allow users to convert digital cryptocurrencies into fiat currencies or other cryptocurrencies. They offer a user-friendly interface and support various cryptocurrencies and fiat currencies. Users can easily enter the desired amount and type of cryptocurrency for conversion, and the tool calculates the equivalent value. However, users should be aware of the fees charged for the conversion. These tools play a crucial role in making cryptocurrencies more accessible and usable in everyday financial transactions.

While many exchanges accept fiat currency for crypto purchases, the process of converting back to fiat and withdrawing funds can be challenging. In this article, we will explore the top 7 cryptocurrency converter tools for 2023 and discuss essential factors to consider when selecting the right platform.

Cryptocurrency vs. fiat currency

Before diving into the converter tools, it’s crucial to understand the difference between cryptocurrencies and fiat currency. Cryptocurrencies serve as digital money and a medium of exchange, allowing direct transactions without intermediaries. On the other hand, fiat currency is government-issued legal tender without intrinsic value, unlike commodity money like gold and silver. Are crypto and fiat similar? Cryptocurrencies and fiat currency share similarities as mediums of exchange and stores of value. However, crypto’s decentralized nature makes it different from traditional money.

What to consider when choosing the best crypto to fiat converter

When selecting a converter tool, several factors play a significant role:

Withdrawal limits

Crypto exchanges typically impose daily withdrawal limits for security purposes. Opt for platforms with multiple withdrawal options and minimal fees.

Fee structure

Look for exchanges with transparent fee structures and no hidden transaction fees to avoid surprises.

Intuitive platform

User-friendly interfaces and smooth transaction processing are essential for a seamless experience.

Customer support

A reliable customer support system is vital for addressing any issues that may arise during the process.

How to convert crypto into fiat currency

The process of converting crypto into fiat can be done through exchanges, debit cards, peer-to-peer exchanges, and ATMs. Focusing on exchanges, let’s explore the conversion process.

Using cryptocurrency exchanges

Most people convert cryptocurrencies into fiat currency through exchanges. The exchange converts the crypto into the local currency. However, this method may involve delays of up to five business days.

Top 7 cryptocurrency exchange tools for 2023

Coinbase

Coinbase is a popular exchange for beginners in the crypto trade due to its user-friendly interface and availability on both iOS and Android platforms. It supports fiat currencies such as USD, EUR, and GBP, allowing users to cash out from crypto to fiat with ease. However, Coinbase is known for its relatively steep fees for crypto conversion, ranging from 0.50% to 2%. Additionally, the platform requires stringent verification, which may deter some users from complying.

Pros:

• Vault protection feature for added security
• Provides crypto insurance
• Offers a simple but effective interface

Cons:

• Steep fees for crypto conversion
• Limited range of supported altcoins

CoinSmart

CoinSmart is considered an ideal platform for converting crypto to fiat, especially Bitcoin to fiat, with guaranteed same-day deposits. The platform supports 16 cryptocurrencies, including Bitcoin, Ethereum, Litecoin, USDC, and Stellar Lumens, and fiat currencies such as USD, EUR, and CAD. While CoinSmart boasts fast verification and relatively low trading fees, it falls short in terms of the number of supported crypto assets and fiat currencies.

Pros:

• Fast verification process
• Low trading fees
• 24/7 customer support

Cons:

• Limited range of supported crypto assets
• Limited number of supported fiat currencies

Okcoin

With its establishment in 2013, Okcoin has been expanding primarily in North and South America. It enables trading, deposits, and withdrawals in currencies not supported by other exchanges, such as USD, EUR, SGD, and BRL. The platform allows users to convert crypto into US dollars via ACH without any withdrawal fees for amounts above $10. However, Okcoin has its limitations, with a relatively restricted selection of crypto assets and languages supported.

Pros:

• Geared towards new investors and pro traders alike
• Competitive trading fees
• User-friendly interface

Cons:

• Limited range of supported crypto assets
• Limited languages supported

CEX

CEX is known for being a secure and trusted platform for crypto trading, buying, selling, and more. It supports a wide range of cryptocurrencies and offers various withdrawal methods, including Visa, Mastercard, PayPal, Sepa, and ACH. However, users may face withdrawal fees depending on the chosen payment method. CEX’s verification process may not be the most beginner-friendly, as it requires further verification for increased withdrawal and deposit limits.

Pros:

• Reliable security measures
• Licensed in multiple countries
• Allows users to earn crypto via crypto staking

Cons:

• Not the most beginner-friendly for first-time users
• Needs additional verification for increased withdrawal and deposit limits

Kraken

Kraken is a preferred exchange for converting crypto into fiat due to its high withdrawal limits, which vary based on verification levels. It supports a wide range of altcoins and allows users to withdraw fiat currencies in USD, EUR, GBP, CAD, CHF, AUD, and JPY. However, Kraken’s verification process can be slow and extensive, and it has relatively high withdrawal minimums for some users.

Pros:

• Wide selection of supported cryptocurrencies (100+)
• Operates in numerous countries
• Suitable for advanced traders

Cons:

• Slow and extensive verification process
• Relatively high withdrawal minimums

Coinmama

Coinmama is suitable for both crypto to fiat and fiat to crypto conversions, but it only supports Bitcoin cash-outs. Users need to convert their other crypto into Bitcoin first before cashing out. Coinmama does not charge additional fees for deposits or withdrawals. However, it does have relatively higher fees for its services, and it lacks a built-in crypto wallet.

Pros:

• Streamlined verification process
• No additional withdrawal fees

Cons:

• Relatively higher fees for services
• No built-in crypto wallet

Bitstamp

Bitstamp has become a favorite crypto converter tool for many, mainly due to its unlimited withdrawal amounts. It supports fiat currencies in USD, CHF, EUR, AUD, GBP, CAD, and JPY. Although Bitstamp has a reputation for trustworthiness, its list of supported currencies could be expanded to offer more options to users.

Pros:

• User-friendly interface
• 24/7 customer support
• Various methods for deposits and withdrawals

Cons:

• Supported currencies’ list could be more extensive
• May not have the lowest fees compared to other exchanges

In conclusion, each cryptocurrency converter platform offers its unique set of features and benefits, but they also come with certain drawbacks. Users must carefully consider their specific needs and priorities before choosing the platform that best aligns with their goals for converting digital assets into fiat currency.

Best peer-to-peer exchanges

Peer-to-peer exchanges provide an alternative method for exchanging cryptocurrencies for fiat currencies, offering unique advantages that traditional exchanges may not have. These platforms enable direct transactions between buyers and sellers, allowing users to interact globally and access a diverse range of crypto enthusiasts. Moreover, peer-to-peer exchanges often provide increased anonymity, making them appealing to those seeking privacy in their transactions.

LocalBitcoins

Operating since 2012, LocalBitcoins is one of the pioneering platforms in the peer-to-peer space. It specializes in facilitating the buying and selling of Bitcoin directly between users. One of its standout features is its user-friendly interface, which makes it easy for both beginners and experienced traders to navigate the exchange. LocalBitcoins charges a 1% fee for completed trades, which is a reasonable fee for the services it provides. Users can engage in transactions using various payment methods, making it convenient for traders from different regions to participate.

Pros:

• Long-standing reputation and reliability in the market
• Global access to buyers and sellers
• Diverse payment options supported

Cons:

• Limited to trading only Bitcoin
• Relatively low selection of cryptocurrencies available

LocalCryptos

LocalCryptos is another popular peer-to-peer exchange that stands out for its emphasis on privacy and security. The platform operates on smart contracts, ensuring a secure and trustless environment for transactions. One of its key advantages is supporting over 40 payment methods, making it convenient for users worldwide. With its focus on anonymity, LocalCryptos has become a favorite among privacy-conscious traders. Users can engage in peer-to-peer transactions without the need for extensive verification, enhancing the platform’s accessibility.

Pros:

• Strong emphasis on user privacy and security
• Extensive support for various payment methods
• No registration or personal information required for trading

Cons:

• Limited to a selection of major cryptocurrencies.
• Smaller user base compared to larger exchanges.

LocalCoinSwap

LocalCoinSwap sets itself apart by offering a user-friendly and intuitive platform for both beginners and experienced traders. This peer-to-peer exchange supports over 190 local currencies and an impressive 300 payment methods, making it one of the most versatile exchanges in the market. Users can access a wide variety of cryptocurrencies and engage in direct transactions with other users. LocalCoinSwap also provides an escrow service to ensure a safe and secure trading experience.

Pros:

• Extensive range of supported local currencies and payment methods
• User-friendly interface and straightforward processes
• Escrow service for secure transactions

Cons:

• Some countries may have limited accessibility
• Smaller selection of less popular cryptocurrencies

Conclusion

Converting cryptocurrencies into fiat currency is a crucial aspect of the crypto trading process. By considering factors like withdrawal limits, fee structures, and customer support, you can choose the best converter tool for your needs. Additionally, exploring peer-to-peer exchanges offers alternative options for cashing out your cryptocurrencies, providing flexibility and convenience in the crypto world.