How to Spend Your Cryptocurrency in 2022 and Beyond

Posted on October 26, 2022 by Dylan Callaghan

Cryptocurrency has taken the world by storm over the last few years. An ever-increasing number of people are beginning to acknowledge cryptocurrencies as a promising technology and investment. This has led to more intensive scrutiny over digital money and how it is used. 

While many crypto bears are holding their ground that crypto is an unsafe investment and that you’re always closer to failure rather than success and economic gain when trading it, this hasn’t stopped millions of investors from owning it.

While cryptocurrency is more often known for its investing capabilities, at some point we're likely going to want to spend some of it. It is digital currency after all. But many people really don't know how they can spend cryptocurrency. Instead, it just sits in their digital wallets. In this piece, we'll go over a few ways in which you can spend crypto.

Retailers 

More and more retailers are beginning to accept cryptocurrencies as a form of payment, right next to fiat currencies. There are a plethora of retailers that will accept cryptocurrency at the time of writing this article, but as more and more corporations and small businesses adapt, there could be more in the future. 

The broader acceptance of crypto has begun after PayPal’s endorsement, after which a growing number of retailers have started welcoming payments in both Bitcoin and altcoins.

Some of the big names that allow Bitcoin payments as of 2022 are Starbucks, Home Depot, Whole Foods, and Baskin-Robbins. While not every single one of their physical locations will allow cryptocurrency payments, there are many that will.

Paying with crypto will surely be a unique experience the first few times you do it, but it’s a good reminder that Bitcoin is a real asset, not just a digital holding that bears no influence on the real world.

Naturally, even more companies allow you to pay in cryptocurrency through their online stores. Given that the internet powers digital currencies, it’s much easier to carry out payments. Microsoft, Shopify, AT&T, and Twitch are just a few of the platforms where you can spend some of your crypto holdings.

Make it cash 

Just because a retailer doesn’t allow Bitcoin payments doesn’t mean you can’t still use it for purchases. You’ll just have to take a few detours along the way before you can. 

Turning your crypto into cash is one of the fastest ways to do this. There are currently close to 40,000 crypto ATMs worldwide. These electronic kiosks allow you to turn digital coins into a wide variety of currencies, including the Canadian dollar. They don’t, however, operate like traditional ATMs. The machine provides you with a QR code to perform a cash withdrawal. After sending your coins to it, you wait a few minutes and then retrieve your money.

When you want to convert your BTC to cash, make sure to check the current Bitcoin price USD. As a general rule, you want to avoid converting Bitcoin during times of volatility or when the prices are unfavorable.

If prices are rocky, it may be best to wait it out. Crypto is not like a traditional currency in which daily fluctuations are fractions of a percent. One day you could be paying 5% in either direction due to price movements, especially with smaller coins.

Charity donations 

Donating to charities is one of the best ways to spend your money. If you’ve got cash to spare, it’ll make you feel good to know that you’ve put it towards something that can help people in need.

There are quite a few charities nowadays that accept payments in crypto, so if you’d like to pledge some of your digital currency in support of a worthy cause, you've got options.

The UNICEF CryptoFund is the most notable example. Since starting in 2019, the charity has invested donated crypto in emergency response, financial services, and business startups in Kenya, Rwanda, and Argentina, respectively.

The Rainforest Foundation, seeking to protect the bio-diverse regions of our planet, is able to protect over 2.5 square miles of forest grounds with only 0.07 BTC.

You can also make donations to your favorite streamers or blogs.

Gift cards 

Gift cards are a gift that rarely makes people unhappy. This is primarily because almost every single retailer has the ability to purchase a gift card, so you can find the perfect retailer for your recipient. But did you know you can also purchase them using your Bitcoin? You may be wondering how that is possible, given the fact that not all stores and websites accept crypto. 

The answer is that there are specialized platforms that allow you to purchase a wide range of gift cards that can be used for many goods and services. Among the companies are Amazon, PlayStation, and Spotify. So, even though some of these platforms do not directly accept cryptocurrency payments, you can still purchase gift cards through an intermediary with your cryptocurrency. It's a great way to spend your crypto during the holidays!

Holiday plans 

Everyone likes to travel. Visiting new places and seeing new things is always exciting, no matter where you go, and a change of scenery can be a breath of fresh air these days.

Because tourism is such a popular industry, it is one of the first that has decided to incorporate crypto into its transactions. As a result, you can now use BTC to book hotel accommodations and purchase flights.

Crypto commonly gets a reputation as an investment asset that’s not truly “real”. Many investors are suspicious of its actual value, as well as its potential to help build wealth.

But those that have taken the plunge and become investors are more than aware of the many ways it can be utilized in both the short and long-term.

Disclaimer: The writer of this article or employees of Stocktrades Ltd may have positions in securities listed in this article. Stocktrades Ltd may also be compensated via affiliate links in this post.

Dylan Callaghan

About the author

Dylan is the co-founder of Stocktrades.ca and an avid self-directed investor. He holds a portfolio of Canadian growth and dividend growth stocks, and believes that anyone, regardless of financial status, stands to benefit from investing in the stock market. His ultimate goal with his writing and the continual development of Stocktrades.ca is to create a resource that helps Canadians, and investors from around the world, make more money and retire earlier.

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