How to Pay Someone with Bitcoin

Why Would you Send Bitcoin?

There are several reasons to send Bitcoin:

  1. To purchase something using bitcoin as the payment currency.
  2. To donate money to a crypto-friendly charity.
  3. To remit funds to friends or family around the world.
  4. To tip or subscribe to a livestreamer on a platform like Twitch or dLive.
  5. To move your bitcoin from one wallet or account to another.
  6. To cash out your bitcoin at select Bitcoin ATMs.

How to Send Bitcoin

In order to send bitcoin to another person or another wallet, you need the public bitcoin wallet address of the receiver. You don’t need the private keys, passphrase or seed phrase for the other wallet, and those should be kept private by the owner at all times.

  1. Paste the receiving bitcoin wallet address in the “To” field, or scan their QR code.
  2. Enter the amount you’re sending.
  3. If applicable, choose your Transaction Fee setting. Regular fees cost less but take longer whereas Priority fees cost more but finish faster.
  4. After verifying that everything is correct, choose “Send Bitcoin.”

How Long Does It Take?

It takes about 10 minutes to create a new block on the blockchain, and each block is made up of multiple transactions. So, if a miner gets to your transaction right away, you’re looking at 10 minutes for everything to complete.

What About Cashing Out?

As I mentioned earlier, the process is the same if you’re cashing out your bitcoin at a Bitcoin ATM. In this case the machine is the recipient, so you scan the machine’s QR code to send your funds to the BTM, which will then dispense your cash.

Here are a few things to keep in mind:

  1. Most Bitcoin ATMs (about 80%) do not allow you to cash out. They only let you buy Bitcoin, but not sell it.
  2. Coin Cloud operates over 60% of the two-way BTMs in the USA. Every single Coin Cloud machine lets you cash out, which no other national company can claim.
  3. If you use a Coin Cloud Bitcoin ATM to cash out your bitcoin, you can speed up the process and make it much easier by setting up your sell in advance. Using the Coin Cloud Wallet app you can choose your BTM, let the app automatically enter your total instead of manually typing it, and reserve your cash for up to 48 hours. When you arrive at the machine, the cash is ready to go with no further wait time.
  4. It’s not just Bitcoin … Coin Cloud machines also let you buy and sell 30 other virtual currencies.

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Coin Cloud

Coin Cloud

169 Followers

The world’s leading operator of two-way Digital Currency Machines (DCMs), more advanced Bitcoin ATMs.