How to Buy Bitcoin with PayPal – Beginner’s Manual
PayPal has become the most flexible payment platform providing access to its users to buy, transfer, and sell cryptocurrencies, which includes types of crypto like Ethereum, Bitcoin, Bitcoin Cash, and Litecash.
Not only this, Bitcoin can be used as a medium of payment where it gets accepted. Bitcoin can be sold for cash on PayPal’s crypto market platform.
Due to rules and regulations, Know Your Customer (KYC) verification is required. KYC verification involves submitting documents that verify user identities like Passport. Verification may involve submitting a copy of any government-issued ID. Users must also submit a W-9 tax form as well.
7 Ways to Buy Bitcoin with PayPal
If you are looking to buy Bitcoin with PayPal, the first thing you should go for is to find a preferred trading platform that suits your needs. If you are already a PayPal account holder, here are some ways to buy Bitcoin using the PayPal app-
When it comes to choosing the trading platform for crypto exchanges, the most preferred platform is eToro, with over 24 million users across 140 different countries. eToro gives its users a browser-based platform to invest in Bitcoin and also an app facility for both iPhone and Android. Follow these steps to buy Bitcoin with PayPal at eToro-
Sign up for an account: In order to use the eToro app, you need to open an eToro account. For this, all you have to do is fill in the details and create an account. Deposit Funds: Choose PayPal as your preferred method and deposit a minimum amount of $10. BTC: In the search bar, enter BTC and click on Trade. Buy Bitcoin: Choose the amount you would like to buy the Bitcoin of and click Deposit. Click on Open Trade to confirm.
Coinbase is the largest cryptocurrency exchange in the US, known for its beginner-friendly design, and it can be used on both web and mobile devices. Follow the steps to buy Bitcoin from Coinbase with PayPal-
Login to PayPal and select Crypto. Select the Crypto coin you want to purchase. Click on the Buy button to complete your process. Enter the amount of Bitcoin you wish to buy. Select your PayPal account as your Payment method.
Once done with your purchase, you will be taken to a confirmation screen, and check your coins reflected in your PayPal account dashboard.
CEX.io is a London-based crypto exchange, here, not only Bitcoin, but you can also buy a wide range of cryptocurrencies using your PayPal account. Read the steps below to know how-
You will need to create a CEX account first. Open the Wallet dashboard on the CEX.IO website and click Buy next to the currency you would like to buy. Select PayPal as your payment method. Log in to your PayPal account to complete the account linking. After linking your PayPal account, you may go back to CEX.IO Wallet and proceed with the purchase.
Bitstamp web platform can be used to buy bitcoin through a PayPal account. To enable purchases, you will first need to link your PayPal account to Bitstamp. To do that, select PayPal as your payment method while buying Bitcoin and you’ll be directed to the PayPal login screen. Follow the steps further –
First, select the cryptocurrency of your choice. Choose your preferred amount. Then, click on Buy with PayPal.
If you don’t wish to go through any other trading platforms for buying or selling cryptocurrencies, you can do the same through the official PayPal app or website. Read the following steps to complete your process –
Go to the Finances section at the bottom of the screen. Select the Buy Bitcoin option Make Payment through your PayPal account.
At LocalCoinSwap, the crypto buyer deals with an actual person, and the crypto buyer has a wide variety of making deals around the world, however, dealing with individuals might gain risk possibilities. If you’re planning to buy Bitcoin through LocalCoinSwap using PayPal, here’s what you’ll need to do –
search criteria, if you want to buy or sell a Bitcoin > pick a Seller > and make a Payment.
Another platform to buy Bitcoin using PayPal as your payment method. You can even buy a Bitcoin in Paxful using an Amazon Gift Card, or Skype credits. And also, the steps are very simple –
All you have to do is to create an
Account > Choose a desired amount > Choose the Seller > and Choose PayPal as your payment method.
These are a few trading platforms that can be used to buy Bitcoin with PayPal as a payment method and also buy Bitcoin straight through PayPal.
Last year, PayPal started offering to buy and sell cryptocurrencies. In April 2021, Venmo, which is owned by PayPal, also added a
feature to buy and sell xlm on crypto trading platform.
Since these are two of the most popular payment apps, being able to use them for crypto purchases is convenient. Sadly, there are some drawbacks that make a crypto exchange a better option.
Pros and Cons of Buying Bitcoin with PayPal
We learned above how we can use the PayPal app to buy Bitcoin without using any other trading platform, now we’ll discuss the benefits and limitations of using PayPal as a medium for buying Bitcoin.
Pros Buying Bitcoin or any other crypto is faster and easier on PayPal. Unlike any other trading platform, here you can convert your money into crypto in a few clicks. The minimum amount you can buy, sell or send on PayPal for crypto is $1. You can keep your eye on market movements in price, as the app’s buying and selling procedure is sorted and easy to follow. PayPal has built up a high level of security for its users, preventing hackers or any fraud on transactions. The procedure of buying Bitcoin using PayPal is made much easier
thanks to PayPal’s user-friendly app. Also, the transaction charges on cryptocurrency are meager on PayPal. In conclusion, anyone who is a novice in the crypto world and doesn’t like to take many risks can go for PayPal as a medium to buy Bitcoin or any other cryptocurrency.
PayPal makes dealing in digital currencies easy. Purchasing Bitcoin with PayPal is a breeze for most users living in eligible countries. However, there are several essential catches that users should be aware of before they choose to use the platform for their crypto purchases.
“PayPal manages the wallets, which means that you don’t necessarily hold your bitcoin,” said Mike Bucella, general partner at BlockTower Capital. Generally, when you buy bitcoin, you will be given two things to make that ownership official: A public and a private key pair. The public key will be your wallet address, and the private key will give you control of that wallet. While the company controls the private key, you can access your public address. So, basically, you don’t own Bitcoin, you just hold a share of it, and it’s still Company owned. Most of the crypto exchanges are not even accepting PayPal payment today. The fact that you don’t own your Bitcoin for real, PayPal doesn’t allow you to move it, you can either hold on to it or trade it.
There are always two sides to the same coin, before investing in Bitcoin or any other cryptocurrency with PayPal, go through all the perks and drawbacks it comes with.
PayPal – History & Facts
If you are a PayPal account holder, you might already know all the good things about this payment platform. PayPal basically is an American multinational financial technology company used in more than 140 countries.
Today, PayPal holds 435 million active consumer and merchant accounts, with a $1.36 trillion total payment volume and $22.3 billion in payment transactions; it allows its users to send and
receive money on PayPal within a few clicks. And not just that, it even lets the users get their refund in case of any trouble with the end user.
PayPal has around 30,000 employees all over the globe, with more than 1,000 offices in different countries.
PayPal was established in 1998 to develop software security for hand-held devices. On this date, PayPal has acquired over 25 companies including Venmo, Happy Returns, and more.
So, these were a few facts about PayPal, now move forward to know more about Bitcoin as well.
Know More about Bitcoin
In case you are planning to invest or have already invested in Bitcoin, you must have researched a lot about it. However, if you want to dig a bit deeper, here are some details you should consider.
Registered in August 2008 under the domain name bitcoin.org, Bitcoin is the world’s largest cryptocurrency by market capitalization. Bitcoin is constructed, disseminated, marketed, and stored using a decentralized ledger system known as a blockchain (A blockchain stores information electronically in digital format, every transaction that includes Bitcoin is stored in the blockchain).
Documentation services, where miners keep the blockchain integrated, and consistent by regularly grouping newly performing transactions into a block, which is all at once published to the network and verified by beneficiary nodes is Bitcoin mining. (fixed)
It isn’t necessary that you have to buy an entire bitcoin: you can buy just a portion of one if that’s all you desire or need.
Ans: Yes, PayPal allows the transmission of cryptocurrencies between PayPal and other wallets and exchanges. Ans: Below are some steps are given to do so –
Open your PayPal app.
Tap on Finances.
Select your existing crypto holdings, then select Sell.
Enter the Amount you wish to sell.
Finally, tap Sell. Ans: PayPal crypto fees start with –
Transaction Cost PayPal Fee $1 – $5 $0.49 $5 – $10 $0.99 $10 – $25 $0.99 $25 – $50 $1.99 $50 – $75 $1.99 $75 – $200 $2.49 $200 – $1,000 1.8% Over $1,000 1.5%