USDC is fiat-collateralized, meaning that it is pegged to a fiat currency. In this case, it is USD, with the USDC value pegged at 1:1 to USD. Because of that, USDC may be a good backup plan for emergencies. 

If you are in dire need of money, you can easily convert your USDCs to traditional cash. Below, you can learn how to do it on various platforms.

1

Use Cryptocurrency Exchanges

This is probably the most popular way of converting USD Coins to traditional money. There are various cryptocurrency exchanges where you can exchange the two.

A cryptocurrency exchange lists trading pairs, like USDC/GBP or BNB/USDC. These pairs show the various assets which you can exchange to receive USDCs. Check if the fiat currency you are looking for is listed by the exchange. If yes, go ahead and exchange your tokens.

There are two types of cryptocurrency exchanges: centralized and decentralized.

Centralized exchanges use a third-party broker to mediate the transactions between two parties. You need an account on these platforms to use them.

Decentralized cryptocurrencies don’t have third-party interference in the transactions. So, you don’t need to create an account to conduct transactions on these platforms. Instead, you connect your wallet to the crypto wallet on the platform. You can then change your USD Coins for any fiat currency.

2

Sell USDC to Another Person

Another method quite popular among crypto enthusiasts is selling USDC to another person. Simply specify that you wish to be paid in traditional money. You can conduct a peer-to-peer transaction or use a broker.

3

Use USD Coins ATMs

USD Coin ATMs are gaining popularity these days. USDC ATMs are like regular ATM kiosks, except that these deal in cryptocurrency. They enable you to buy or sell USD Coins for fiat currency. Just follow these steps to exchange the two:

  • Enter your mobile number and other required details in the ATM kiosk.
  • You will receive a verification code after you have entered the details.
  • Once you enter the verification code, you are set to conduct your transaction.
  • The screen will display several actions you can undertake. Select the option that says “Sell USD Coin”.
  • Transfer the USDC to the crypto wallet address of the person buying them.
  • The machine will dispense the amount of cash that you have fetched by selling your tokens.

FAQ

What is fiat currency?

A fiat currency is traditional money issued by the government of a country. A central authority overlooks the production and distribution of this currency. 

How is fiat currency different from cryptocurrency?

Unlike fiat currency, cryptocurrency is not issued by the government. Moreover, the distribution of cryptocurrencies is not monitored by any central authority.

How do crypto exchanges work?

Crypto exchanges list various commodities you can exchange for specific cryptocurrencies. You can choose what asset you wish to exchange to get USD Coins. 

What is a USD Coin ATM?

A USD Coin ATM is like a regular ATM, which allows you to buy and sell USD Coin using traditional money. 

Can I sell my USD Coins to other people?

Yes, you can sell your USD Coins to other people. 

What is a centralized cryptocurrency exchange?

A centralized cryptocurrency exchange has a third-party figure that mediates all the transactions. 

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