Step 6: You will gain direct contact with the seller. Step 2: Use the respective site’s search tools to select the amount of Bitcoin you want to buy (or USD you want to spend), with PayPal as your preferred payment option.
Step 1: Head to the homepage of LocalBitcoins or Paxful and sign up for an account. To buy Bitcoin with PayPal on either service, follow the steps below: Both offer many payment methods for Bitcoin, from gift cards to cash, but PayPal is a popular choice. Two other main websites for conducting these kinds of transactions are LocalBitcoins and Paxful. Since 2018, the popular exchange Coinbase partnered with PayPal to purchase Bitcoins via credit and debit cards and transfer funds from Bitcoin sales to PayPal wallets.
However, buyers and sellers should choose their exchanges with care and ensure their choice offers features like identity verification, enhanced privacy, and information security. Websites that facilitate these kinds of peer-to-peer transactions help put you in touch with someone looking to sell Bitcoins who accepts PayPal as a payment method.įor example, there are many Bitcoin Cash sellers (BCH) who might be willing to accept payment via a PayPal transaction. Daniel Martin/Screenshot Method 2: Direct tradeīecause cryptocurrency exchanges don’t allow you to buy Bitcoin with PayPal, the best way to do so is direct trade. You can either do it directly from PayPal’s mobile app and selecting Crypto or log in via a web browser, then proceed to buy any of the previous cryptocurrencies for as little as $1 with no middlemen or exchange fees to deal with. The company has also announced plans to allow cryptocurrency as a funding source for users to make purchases on any PayPal merchant. Method 1: Use the PayPal appĪs of November 11, 2020, eligible PayPal users can hold, buy, and sell cryptocurrencies, including Bitcoin, Bitcoin Cash, Ethereum, and Litecoin. You can only cash it out by converting to fiat currency first.Ī popular Bitcoin mantra comes to mind with this: “Not your keys, not your coins.” If you don’t have direct ownership over the wallet that the Bitcoin is stored in, you don’t really own Bitcoin.Īs much as Paypal does now allow you to use funds to invest in cryptocurrency in some sense, the lack of direct control over your investment is worrisome and may mean it’s better to buy Bitcoin by more traditional means. You can buy and sell Bitcoin on Paypal, but you can’t withdraw your Bitcoin to another wallet of your choosing. Should you buy Bitcoin with Paypal?Īs much as Paypal makes buying Bitcoin easier, you don’t do it in the same manner as you do on exchanges or direct trades you effectively buy a Bitcoin IOU. Once you do that, you’ll be ready to move ahead and start buying Bitcoin with PayPal. Before you can receive any Bitcoin, regardless of payment method, you need to have a Bitcoin wallet set up, as well as a PayPal account. However, it is possible to use Paypal to buy Bitcoin, even if it’s less advisable than using an exchange directly. That would be an improper and fraudulent way to buy Bitcoin - even when using the services below - so it’s not encouraged in any manner. Major exchanges won’t allow PayPal transactions because it would be too easy for people to buy Bitcoins, then use PayPal’s support system to chargeback their purchase and receive their original purchase fee back. One of the main reasons why it’s difficult is the potential for chargebacks. Fitbit Versa 3īuying Bitcoin is much easier today than it was in the past, but it would still be easier if you could just use your Paypal account, wouldn’t it? It turns out if you try to do that, it’s a bit more tricky - and much more expensive.