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How to Withdraw Money From DeFi Wallet to Bank Account

Jay Leonard

Written by

Jay Leonard

June 3, 2024

Reviewed by

Ciaran Lawler

[key_takeaways title="To withdraw money from a DeFi wallet to a bank follow these steps:"]

  1. Select a platform: Choose a platform that supports your chosen fiat currency and offers the tools you require.
  2. Create and verify an account: Create an account and complete the KYC verification process.
  3. Initiate withdrawal: Paste your deposit address into your DeFi wallet, preview the transaction, check fees, and confirm the withdrawal.
  4. Swap crypto for fiat: Once the funds land on your chosen platform, sell your crypto for your desired currency, withdraw to a bank account, or use the platform's spending tools.


Withdrawing money from a DeFi wallet to a bank account can be confusing. There are lots of different methods, each tailored to a particular use case.

Our step-by-step guide details the withdrawal process, explains what a DeFi wallet is, highlights popular wallets and answers frequently asked questions, such as how long a withdrawal should take. Let's get started.

What is a DeFi wallet?

A Decentralized Finance (DeFi) wallet is a non-custodial, decentralized wallet that stores cryptocurrencies and connects to Web3 applications like PancakeSwap. 

DeFi wallets can store many cryptocurrencies, including smaller assets built using another project's underlying architecture.


Can I withdraw money from a DeFi wallet?

Any DeFi crypto wallet that can store your funds will support withdrawals. Typically, you can only withdraw on-chain to an external wallet to remove your assets from the platform. 

When withdrawing your funds, you should ensure that the wallet address you input matches the target destination to avoid losing your funds.


How do you withdraw money from a DeFi wallet?

It helps to be aware of the entire process when withdrawing money from a DeFi wallet to a fiat bank account or another platform. While there are many ways to withdraw money from a DeFi wallet, the core steps remain the same.

Step 1: Select platform

Before withdrawing money from a DeFi wallet, you must consider which platform to send it to. It's essential to think about what you need the money for and how you want to use it. 

For example, if you're going to move money for long-term storage, you may transfer it from a DeFi wallet to a hardware wallet, but if you want to use the funds for trading, you will transfer them to an exchange.

There are many different platforms available, each tailored to specific activities. 

Exchanges like Binance, Kraken, and Coinbase are perfect for swapping assets or trading, while platforms like Nexo Crypto work great for receiving a crypto-backed loan, and all-in-one platforms like swissmoney provide the tools to manage and swap between fiat and cryptocurrency.

📚Read More: How to Choose The Right Crypto Wallet

Step 2: Initiating the withdrawal process

To withdraw money, you must paste a withdrawal address that matches an external wallet or exchange address you control into your DeFi wallet. 

You also need to ensure enough crypto to cover network fees arising from the transfer. Afterward, you can preview fees and confirm the transfer to begin your withdrawal.

Step 3: Withdrawing

When withdrawing crypto from a DeFi wallet, you can transfer the assets to an external wallet like MetaMask via on-chain transfer. Alternatively, you can withdraw directly from your wallet to a centralized or decentralized cryptocurrency exchange like Binance or SushiSwap. 

While withdrawing to a non-custodial wallet is suitable for storage, exchanges offer tools to convert crypto to fiat money.

📚Related: How to Cash Out Large Amounts of Bitcoin


Why withdraw money from a DeFi wallet to a swissmoney account

A DeFi wallet is perfect for storing cryptocurrency, either for the long or short term. But, it will lack tools to convert crypto to fiat or manage your fiat currency balances. 

Transferring your crypto to the swissmoney platform allows you to access several powerful features that help you get more from your money:

  • Crypto wallet: All swissmoney users can access a built-in wallet to store several cryptocurrencies, like Bitcoin or Ethereum. Moreover, you can buy, sell, trade, send, and receive crypto on swissmoney. The platform is ideal for people seeking control over their finances or those requiring a crypto off-ramp platform.
  • Crypto debit card: swissmoney provides users with a debit card for spending crypto in everyday places. You can fund using cryptocurrency or fiat stored on swissmoney, which is convenient. The crypto debit cards come in virtual or physical form and can be used anywhere that accepts Visa or Mastercard.
  • Dedicated IBAN accounts: swissmoney provides users with dedicated IBAN accounts for GBP, EUR, USD, and CHF. Unlike a trading platform, swissmoney offers users the tools to manage fiat currency as well as crypto. Using swissmoney's IBAN accounts, you can send and receive international payments and direct debits.

How to withdraw money from a DeFi wallet to a swissmoney account

swissmoney is one of the most versatile crypto platforms available. It supports crypto/fiat deposits, withdrawals, and trading. 

Moreover, the platform boasts a built-in crypto wallet and, for most users, an automatic onboarding process that takes just a few minutes to complete.

📚Related: Money Stuck In DeFi Wallet

Here's how you can withdraw from a DeFi wallet to the all-in-one swissmoney platform:

Step 1: Create and verify swissmoney account

Before withdrawing money to swissmoney, you must create and verify an account on the platform. The process is fast and requires inputting a name, email address, and password to create an account. 

To complete Know-Your-Customer (KYC) verification, you'll need to verify a phone number, scan a photo ID using a mobile phone, and answer a few questions.


  • swissmoney's onboarding process is usually automatic and can be completed within a few minutes. As such, the platform is ideal for people who want to withdraw funds as soon as possible.
  • Although you can choose to complete verification after creating an account, you won't be able to use swissmoney's features before verifying.
  • swissmoney can store some of the most popular cryptocurrencies, including Bitcoin, Ethereum, Tether, USD Coin, and Tron.

Step 2: Initiate transfer

You can begin the withdrawal process once you've set up your swissmoney account. 

Click the asset you want to deposit on swissmoney to find its wallet address, then paste that address into your DeFi wallet, decide how much to send, and preview the transaction fees. 

Ensure all details are correct; otherwise, your funds will be lost.

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  • You'll need the asset's base currency to cover network fees. For example, ETH for ERC-20 assets and TRX for TRC-20 cryptos.
  • The costs involved with a withdrawal can vary substantially. Therefore, you should preview fees and check network congestion before transferring to avoid spending more than expected.
  • Sending cryptocurrency via the wrong network will result in you losing funds.
  • You may need to wait an hour or two to transfer to a newly added withdrawal address.

Step 3: Complete withdrawal

Once the funds have arrived, tap on the arrow [→], select 'Sell,' enter the details, select limit or market, and press 'Sell' to swap your crypto for fiat.

The time required to confirm a withdrawal will vary depending on the asset, platform, and network congestion, but it usually is completed within a few hours. 

You can verify the withdrawal was successful when the money arrives in your swissmoney account. 


  • swissmoney is an all-in-one platform. As such, you can easily swap cryptocurrency for your selected fiat currency to spend in real-world establishments.
  • Check network congestion beforehand to get a rough idea of how long a withdrawal could take.
  • Once the funds have arrived in your swissmoney account, you can swap them for fiat. You can send the money to one of the platform's IBAN accounts or the swissmoney crypto debit card for spending.

Alternative ways to withdraw money from a DeFi wallet to a bank account

While withdrawing your crypto from a DeFi wallet to swissmoney is straightforward, convenient, and fast, there are several other withdrawal methods you can utilize:

  1. Crypto exchange: For people who don't mind using a centralized exchange, you can send funds to a platform like Kraken. Then, you can swap the assets for fiat and withdraw to a bank account. However, fees can be quite high.
  2. Transfer to a friend: If you don't want to withdraw to a centralized platform or complete ID verification, you could send a friend or family member the crypto, and they could transfer funds to a bank account or fiat wallet. However, you'll have to work out the fees involved together.
  3. Crypto loan: If you want to withdraw money to a bank account without selling crypto, you could use your holdings as collateral for a crypto loan on a platform like Nexo. By taking this approach, you won't trigger a taxable event.

📚Read More: How to Withdraw Crypto to Bank Account

Things to consider before withdrawing funds from a DeFi wallet to a bank account

It can be tempting to rush ahead with a withdrawal without performing the proper considerations. It can seem like withdrawing from a DeFi wallet to a bank account is a straightforward task. 

However, there are several things you should consider before beginning the process.

Personal requirements

An often overlooked consideration when withdrawing funds is your requirements. 

You should consider the state of your finances, why you want to withdraw crypto, which withdrawal methods suit you, and how much you'll pay in fees. 

Once you know which direction you're going, it's much easier to select the best route.


You must review the fees before transferring funds from a DeFi wallet to a bank account. 

Check network fees, trading fees on the exchange, withdrawal costs, and whether your bank will charge any fees for the transaction. 

It's worth researching a few platforms to determine which affords you superior value.

What's best for you

While you might think that withdrawing funds to a bank account is right for you, consider whether alternative methods may yield greater convenience or value for money. 

For example, if you can pay for a good or service with crypto directly, you'll likely save money versus sending the funds to an exchange and then to a bank account.


What security measures should I take when transferring funds from a DeFi wallet?

While withdrawing is relatively safe, you can take several steps to avoid losing funds when transferring crypto from a DeFi wallet:

Unique login information

When using a reliable intermediary service, it can be easy to overlook the importance of using unique login information for all platforms. 

The average website has much worse security than a platform in the financial sector. As such, if you share passwords between platforms, your login information for an exchange could be exposed by another site.

Wallet security

To avoid losing funds due to an attack, you should always aim to use the safest ways to store crypto. 

You should use an up-to-date crypto wallet with a track record of safety and avoid wallets or platforms that bad actors have frequently hacked.

Real platform

One of the most common scams in the cryptocurrency industry involves creating a fake version of a legitimate platform and promoting it via adverts. 

You should always compare the URL of a platform to ensure it's correct. Also, it helps only to access financial platforms using a bookmark set to the correct page.

📚Read More: Cryptocurrency Security Guide



Our guide has discussed the ins and outs of withdrawing from a DeFi wallet to a bank account, including security practices, the best platforms to withdraw to, and some popular crypto wallets. 

We've also provided a step-by-step guide detailing the entire withdrawal process.

Our testing and research found that withdrawing crypto to a bank account is reasonably straightforward. However, popular platforms like Kraken or Nexo typically have limited fiat management features or high fees.

swissmoney, on the other hand, is an all-in-one platform tailored to crypto and fiat, making it highly versatile and an excellent all-around solution. 

The platform makes conversions between crypto and fiat a breeze and provides users with spending tools, making it an excellent choice for people who value the simplicity of managing multiple asset classes on one platform.


How do I withdraw my DeFi tokens?

To withdraw your DeFi tokens from a wallet, you'll need to transfer to either a deposit address provided by a platform or your external wallet address. 

Just enter the target address into your wallet and confirm the transaction. While withdrawing, you should take care to use the correct wallet information.

What are the fees for withdrawing money from a DeFi wallet to a bank account?

The fees for withdrawing money from a DeFi wallet to a bank account will vary based on the asset and platform. However, you'll usually have to pay transaction, withdrawal, and trading fees. 

Network costs are typically around $1 to $10, withdrawals usually cost around $5 to $15, and trading fees usually range between 0.1% to 0.25%.

How long does withdrawing money from a DeFi wallet to a bank account take?

The time required to withdraw from a DeFi wallet will vary based on network and platform congestion. You can transfer assets from your wallet to a crypto exchange account within one to two hours. 

However, you'll have to wait between 15 minutes and 24 hours longer to transfer money from the cryptocurrency exchange to your bank account.

How do I withdraw money from my Binance DeFi wallet?

You can easily withdraw money from a Binance DeFi wallet (now called the Binance Web3 wallet). 

Just click the withdrawal button, enter a wallet address, double-check the details, and confirm the transaction. The Binance Web3 wallet is unavailable in select regions, including the UK.

How do you transfer money from a DeFi wallet to a bank account?

If you want to transfer money from a DeFi wallet to a bank account, you must transfer the assets onto an exchange. 

Then, you can swap the crypto for a fiat currency supported by your banking provider and initiate a withdrawal. 

Usually, you'll have to pay a small fee for the service, and withdrawals are typically completed within a few hours.

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