Your financial portfolio contains a decent amount of Solana coins. If their value is surprisingly high at this point, it’s a good reason to sell. Perhaps you are looking to reshape your portfolio and divert funds into other assets. Maybe you even lost trust in Solana or crypto and are looking to leave this market altogether. Whatever the reason, you’ve decided to convert SOL to USD and now need the best option to do that.
Our experts present the top ways to perform a Solana to US dollar conversion effortlessly. We also discuss the important things to consider before you go ahead with this trade.
The good news is you can choose between multiple methods when swapping Solana for the US dollar and other fiat currencies. In the sections below, we analyzed each option and made some top suggestions in each category!
Crypto exchanges are the most common place for a Solana to USD conversion. It’s important to understand the difference between centralized and decentralized exchanges and choose the type that fits you best.
Here are our top two platforms to consider:
Paybis. The service is available in 48 US states and across 180+ countries. It’s been around for almost a decade and complies with relevant regulations. Paybis offers simple transactions when selling Solana and other crypto to fiat currencies. Users appreciate transparent pricing and 24/7 customer support.
SimpleSwap. SimpleSwap is among the most reputable crypto exchanges that support thousands of currencies. It’s non-custodial and doesn’t require signing up. The exchange offers to sell Solana for USD at floating rates.
A payment processor is a company that manages digital transactions on someone’s behalf. Some gateways support selling crypto, which you use when converting Solana. Here are the top options:
MoonPay. You’ll notice the simple form to buy or sell crypto is available right on the homepage. Thanks to MoonPay, it’s easy to manage all your digital assets and execute the desired trades. The company offers individual and business accounts and works with over 300 partners to secure the best possible service.
Simplex. It’s another payment gateway offering services to web3 brands. They support hundreds of digital and fiat currencies and ensure global coverage.
BitPay. You can purchase, manage, and swap crypto by using this app. It’s also possible to get a card that enables spending digital assets, which means there might be no need to even convert to USD.
Source: https://pixabay.com/illustrations/dollar-hands-shake-panama-papers-1319601/
These are platforms offering direct P2P trades between two users. That means you’d sell your Solana coins directly to another user, and receive US dollars in return. Unfortunately, not many options exist on the market. Paxful doesn’t include SOL support, but you can sell other cryptos. LocalCryptos has closed, and Bitquick and similar private communities require an invite. That makes it hard to find a viable P2P platform for this exchange.
Solana has been attracting a lot of attention lately. Many experts try to answer the question “is Solana finally an Ethereum killer, and does it have a more promising future than ETH?” If you are among those who don’t believe that will happen, it’s now time to go ahead and sell SOL.
Different factors could affect total profits when you swap Solana for a fiat currency. Those include variable transaction fees and tax implications, while it’s also important to understand AML regulations. Here are the top things to consider before the trade.
The charges you pay when converting Solana to USD might vary on the provider. Apart from paying them for the services, the Solana network might charge gas fees. That means the actual sum converted might end up being smaller than expected.
Network congestion plays an important role in gas fees. If the network is crowded, it could take more time to finalize the transaction, and it will be more expensive. If you time the conversion properly, it enables saving something on gas fees, which can be relevant when converting large sums.
According to the Internal Revenue Service, cryptocurrencies are digital assets and are subject to taxes. Even if you convert Solana to USD or another fiat currency, that is a taxable event. Many governments consider that a capital gain, so you need to pay the related tax. The rates depend on the country, but they can go as high as 25%.
You have some legal ways to reduce the tax bill. That includes offsetting potential gains by selling cryptos at a loss and cashing out in low-income years. It’s best to consult a legal professional to ensure you do everything by the book while potentially minimizing the tax bill.
The reports are worrying since they indicate that criminals laundered $8.6 billion in 2021. It’s why crypto regulations become harsher over the years, especially for cashing out digital currency and trading cryptos. The most common part of regulatory compliance includes meeting the Anti-Money Laundering (AML) regulations and honoring the Know Your Customer (KYC) program.
KYC standards order financial platforms to require users to confirm their identities. That means you’ll have to provide a valid name, proof of ID, and address before you convert crypto to fiat.
Solana and the US dollar belong to two different currency categories. Selling crypto for fiat isn’t the easiest thing to do out there. Fortunately, many reputable platforms and services support this transaction. It’s important to pick a reputable and recommended provider that can handle the trade efficiently.
You also want to check if it’s the right time to sell Solana. Consider relevant fees and whether SOL has any chance of gaining value soon. Once you confirm that it’s the best move for your portfolio, it shouldn’t be hard to transfer SOL to USD by using one of our suggested services.
