So you’ve completed lots of tasks on the Microwork App, you’ve earned Ether for every single one, and now you want to start spending your earnings…
The number of stores that accept cryptocurrencies is growing, but for now the easiest way to use your Ether will be to exchange it to a traditional currency.
Below is a step-by-step guide for converting Ether into Euros using a Coinbaseas the exchange. There are many other exchanges available such as Kraken or Bitstamp.
1. Coinbase is currently supported in the countries shown on this link.
2. Bitstamp has a slightly bigger country offering. See their full list here.
3. African users, I spoke with Alex, the founder of Bitcoin Africa about the best exchanges in Africa. He wrote this blog post which with his recommendations.
Registering with Coinbase is easy. Just follow the onscreen instructions. As part of the KYC (Know Your Customer ) procedure you will be asked for lots of information to confirm your identity including a form of ID (passport, driving license or ID card).
Also you will have to confirm your telephone number to allow for two-factor authentication (therefore adding to the security of your account).
Select ‘Accounts’ at the top of the page, choose ETH Wallet (which should be set up by default), and then select Receive.
This will allow you to copy your private wallet address. Keep this safe and don’t share it publicly.
Login to your current Ether wallet and somewhere there’ll be an option for ‘Send and Receive’ or something similar. I used My Ether Wallet and on their site it’s called ‘Send Ether & Tokens’.
Most of the process looks similar to your typical online banking. It asks for a ‘To Address’ (which in this case is the private address I just copied from Coinbase) and also it asks you to input the amount you’d like to send.
But then you’ll notice something a little unexpected. What on earth is a Gas Limit?
Consider this as the fee for processing your transaction. To go into detail about exactly how it works would take a whole new blog post, so for now we recommend just keeping it at the default 21000.
Then click ‘Generate transaction.’
With the Ethereum network, transactions are not immediate. You should expect to wait approximately 30 mins or so for your transaction to show in your Coinbase wallet.
First it will show as ‘pending’ before successfully transferring to your wallet.
Once you’ve received the Ether into your Coinbase ETH wallet, it’s time send it to your Euro wallet on Coinbase. This will automatically be set up in your country’s currency if it is one of those supported by Coinbase.
***If you need to change your country you can do this in settings. Make sure you do this BEFORE transferring to your Ether to traditional wallet.***
Transferring Ether to your Euro wallet is easy. Select sell, choose the relevant wallets, choose the amount to sell, and then click the button to sell.
Coinbase charges a fee of 1.49% per transaction (or 1 euro if your transaction is small) so you can maximise your earnings by selling bigger quantities on a less frequent basis.
Note: Some people have the option to sell directly to their bank account. For me, this option hasn’t been enabled yet so I had to sell to a Coinbase Euro wallet before sending it to my bank account.
Finally, the end is in sight, you’ve nearly got your hands on the Ether you’ve earned. There’s just one more obstacle you’ve got to contend with…
The first time you send money from your Coinbase wallet to your bank account, you also need to verify your bank account by sending a small amount of money to Coinbase. They don’t specify a minimum amount but your online banking provider may.
I transferred 2 euros which then gets added to your Coinbase balance once the transaction has been processed.
Unfortunately, this verification isn’t instant either and in fact will usually take 1–2 working days.
Once your bank account is verified you can finally make that transaction! For that, simply click on accounts at the top of the page, scroll down to your Euro wallet (or whatever your local currency is) and then select ‘Withdraw’.
2–3 days after choosing to withdraw your money finally hits your bank account! You can now finally buy that pizza you wanted to buy almost a week ago!
Okay, so currently the process has many more steps and takes longer than traditional banking, but blockchain technology is still in its infancy. There are hundreds of companies that are experimenting with new ways to use it and integrate it into our everyday life.
And you, as a Microwork App user, are an early adopter in this new technology. So whether you decide to keep your earnings in Ether or switch them to your local currency, we hope you enjoy playing such an important role in this new technology.
Still wondering what the hell cryptocurrency even is? We might be able to help you out. Click here to read our beginner’s guide.