How do I upload a file that will create a cut?

[Jules]

A bitmap is a raster image, and is made up of pixels. There is no cutline path for the laser to follow when it cuts.

If you want to cut something out that is a bitmap, you can perform an Auto-Trace on the file in a program like Illustrator, Inkscape or CorelDraw and save that as an SVG file. The stroke colors of the outline is what the laser will follow to cut it out. Or you can use the Trace function in the Glowforge interface to do the same thing.

But if you leave it as pixels, yes, the only option is engraving.

(Oh and an SVG file can contain a bitmap image.)

If you are new to Inkscape - there are a lot of beginner tutorials in the Matrix.

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Go to the link for the 2D Vector Programs.