How to cash out from Phantom Wallet? Read this guide and learn how to withdraw from Phantom wallet to bank account!
Phantom wallet is a very important factor in the decentralized Solana ecosystem. Moreover, where the Solana blockchain network is designed to handle transactions fast, Phantom wallet is the place to store your tokens.
With this in mind, the Phantom wallet is one of the available tools on Solana to use. Additionally, Phantom wallet acts as a simple browser extension(Chrome, Brave, or Firefox) and therefore turns your browser into a crypto wallet. To start browsing on the Solana ecosystem Phantom supports you with the following functionalities:
- Non-custodial – Your funds, private keys, and private data are stored on your device and cannot be accessed by a third party.
- Token swaps – Phantom uses a built-in DEX to safely swap tokens at the best prices
- NFTs and collectibles – Smooth user interface for storing your favorite NFTs
- Ledger support – You can store your private keys offline by simple connecting to a Ledger hardware wallet
- Web3 support – Phantom also functions as a dAPP browser that interacts with the Solana blockchain
- SOL staking – Earn additional SOL on your funds by just holding them in your wallet.
Probably you are already using Phantom on a daily basis and are familiar with the functionalities mentioned above. Also, you might have some crypto funds in your wallet and want to cash out from Phantom Wallet. In fact, turning crypto into fiat currency is a common issue when dealing with decentralized wallets.
By continue reading this guide you will get all the answers you are looking for regarding Phantom wallet:
- How to withdraw from Phantom to bank account
- Know what to do before making crypto withdrawals
- Best alternatives to transfer and swap crypto for ‘real‘ money
Understanding the Phantom Solana Address
As mentioned earlier, Phantom wallet is supported by the Solana blockchain network and is one of the popular crypto wallets to use there. In other words, tokens or NFTs that are using Phantom are backed by the SPL protocol which can be compared with the Ethereum ERC-20 tokens.
Remember that Phantom can store all kinds of SPL tokens where SOL is just one of them. Each Solana compatible token stored on Phantom can be managed through the Solana network.
On top of that, the Phantom wallet is using a decentralized environment and you(the user) are in full control of all assets.
However, if you want to withdraw your funds through a withdrawal process, can you directly do it?
Can You Directly Withdraw Money from Phantom Wallet?
Unfortunately, there isn’t a direct way to transfer your funds from Phantom to an external bank account. The main reason for this is that Phantom is connected to smart contracts and runs autonomously. At the moment, banks can’t deal with decentralized technology or non-custodial wallets.
As a result, it’s necessary to send your funds from Phantom to a major cryptocurrency exchange to cash out from crypto. In other words, ‘to get money out of my Phantom wallet‘ you need a centralized crypto exchange like Binance.
Simply put, the Phantom Wallet is a crypto wallet but doesn’t deal with fiat money like EUR, USD, or GBP.
How To Withdraw From Phantom To Bank Account
Again, when you want to withdraw money from Phantom wallet by starting a money transfer process, you need to send your funds elsewhere.
Particularly, as Phantom is running on the Solana blockchain network you need to swap your tokens to SOL first. Additionally, the SOL cryptocurrency is part of the top 10(*) biggest cryptos in the world. Therefore, it’s safe to say that almost any major crypto exchange in the world can swap your SOL for money.
To continue with this guide, I’ll use Binance as a practical example, however, it’s up to you to decide what kind of exchange to use here.
Step 1: Create an Account at a Crypto Exchange(Binance)
First of all, you need to open an account which shouldn’t be a complicated step. On top of that, you can use this link to open a free account at Binance.
Based on daily(24h) trading volumes, Binance is the biggest cryptocurrency exchange in the world. Also, it has millions of cryptocurrency traders using its platform on a daily basis. Besides trading, Binance offers several other feature-rich products, including custodian wallets, crypto margin trading, lending service, and earning rewards with staking.
Remember that crypto exchanges use custodian wallets for holding crypto and are subject to attack by hackers all the time. As a result, security is a top priority for them and withdrawing to a bank account requires you to verify(KYC).
In short, an account verification(KYC) process consists of the following:
- Upload official documents(passport, identity card, driving license, or else)
- Take pictures of both sides of the document
- Make a selfie
Step 2: Send Funds From Phantom Wallet
After you have finished the signup process at Binance it’s time to use your newly created profile in order to withdraw money.
As the plan we have is to swap Solana(SOL) for money you need to send your SOL funds from Phantom to Binance here. How to do this? Below are the necessary steps for Binance:
- In Binance go to ‘Wallet‘
- On top on the right click ‘Deposit‘
- Tap ‘Coin textbox‘ enter SOL in the pop-up
- Tap ‘SOL‘ coin and choose ‘SOL Solana‘ as the network
- Finally, copy SOL address to the clipboard
Next, go back to your Phantom wallet, enter the password to log in, and find your SOL funds. Besides, if you don’t have SOL make sure you swap the tokens in the wallet to SOL first.
Consequently, in order to transfer, click on ‘Send‘. Now tap on your Solana funds and paste the Binance SOL address from the clipboard into Solana’s recipient address.
Finalize the withdrawal of funds from Phantom by giving the amount of SOL and approve the transaction.
Step 3: Sell Solana on Centralized Exchange
As the Solana blockchain processes transactions very fast it’s just a matter of seconds waiting before funds arrive in the Binance account. Just make sure that you have received the Solana funds by going to your wallet on Binance.
On top of that, Binance will send you a notification message when the SOL funds have reached their platform.
The next step will be to sell your SOL funds for money like USD, GBP, or another currency. Particularly, Binance has the following fiat currency trading pairs for SOL available:
If you need another currency to transfer your funds to a bank account you should sell your SOL for Bitcoin first. The next step will be to use the Binance P2P portal to find a party that will buy your Bitcoin in your local currency. More information on how to use Binance P2P portal here.
Selling funds on Binance is a very smooth exercise because of the high volume in the order books. Therefore, after finalizing your order your funds(money) will be available in your account for transfer straightaway.
Step 4: Select Binance Withdrawal Methods
The withdrawal method fully depends on your situation as a customer of Binance. Additionally, if you already have a bank account connected to Binance then you can transfer money to it right away.
For instance, if you are living in the European Union Area you can withdraw EURO instantly. However, to accomplish this an additional verification step is required.
In general, to withdraw money from Binance to your bank account go to ‘Fiat and Spot Wallet‘ first. Then click ‘Withdraw‘ and from here you can start the process. If you have further questions you can also try to contact Binance support here.
Step 5: Receive the Money On Your Favorite Payment Method
This is the final step and if everything went ok you just need to wait for the funds to arrive. Mostly verified users will have the money the same day into the bank account.
All in all, this is the fastest way to cash out crypto from Phantom wallet to your bank account. Maybe you might find it a little bit risky, but it’s actually pretty easy!
Let’s go through the entire process one more time:
- Swap to SOL on your Phantom wallet
- Create an account at a centralized crypto exchange(like Binance)
- Get your Binance Solana address and sent SOL from Phantom to Binance
- Start the withdrawal process to your linked bank account
- Receive money directly into your bank account
And this is how you withdraw from Phantom wallet to bank account! Enjoy your profits and don’t forget to share this guide if it was helpful 🙂
How to withdraw from Phantom Wallet to Bank Account – FAQ
Definitely yes! In this guide, we used the Binance exchange as a practical example. Additionally, you can use the exact same procedure for money withdrawals to Coinbase as well.
Yes, Phantom is designed to be the decentralized wallet for the Solana blockchain network. Solana(SOL) is the currency being used to handle transactions and can also be stored, staked or sold within the Phantom wallet.
Phantom is a self-custodial wallet. Your private keys are encrypted on your device by your password and are never shared with anyone. Meaning, you are in charge over your funds and this makes it a safe way to store crypto.
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