PayPal is one the most popular online payment platforms that offers individuals and businesses low-cost services. Read more about the latest updates on how to deposit Bitcoins with PayPal and what other platforms you can use to convert PayPal funds into Bitcoin.
Deposit bitcoins with PayPal
As of November 2020, PayPal users in the US can buy, hold and sell cryptocurrencies including Bitcoin directly through the platform. PayPal will allow purchases of Bitcoin, Ethereum, Bitcoin Cash and Litecoin within the PayPal digital wallet. The company also stated that users in the United States will soon able to use cryptocurrencies to buy products from its 26 million merchants worldwide. Payments will be converted into fiat at the point of sale. These features will roll out to “select international markets” in the first half of 2021.
How to buy bitcoins with PayPal
Firstly, you need to set up a PayPal account. If you don’t have one, you’ll need to set one up with your credit card or bank account and an email address, at PayPal.com.
Secondly, use either the PayPal website, or the PayPal app to buy some BTC. For this tour, we’re using the website. On the homescreen select the “Buy Bitcoin and more” banner, displayed toward the top of the page.
Additionally, you can select a preset amount of Bitcoin to purchase, or tap “Buy” to select an amount of your choice. The minimum users can buy is little as $1.00 worth of Bitcoin. Below the purchase option, PayPal includes a brief description of the asset being purchased.
Before you can continue, you will need to confirm some information and agree to PayPal’s Cryptocurrencies Terms and Conditions.
Then, enter the amount you’d like to buy (for example $10) and select Next to move on to the next screen.
The bank account or credit/debit card your PayPal account is associated with appears. You can add other cards or bank accounts, at this point, too.
After selecting “Next,” review your purchase. The transaction fees on PayPal are fairly reasonable for consumer-facing exchanges. They range from 50 cents for purchases under $25, to 1.5% of the transaction for purchases over $1,000. Select “Buy Now” when you’re ready to purchase.
After the purchase is complete, the account will be updated to reflect the amount of crypto purchased and the current value.
What is the cheapest platform for converting PayPal funds to Bitcoin
You must have a PayPal account and a digital wallet to be able to use PayPal for Bitcoin transactions on other platforms. There are a few options you can choose from and the cheapest one is eToro.
The cheapest way to deposit Bitcoins with PayPal is using eToro. Firstly, you need to register for an account for free. Then click on Deposit money, verify your identity, enter the amount you want to deposit and select your currency. After that, choose PayPal as the payment method. Besides Bitcoin, you can also purchase Ethereum, Ripple, Ethereum Classic, Bitcoin Cash, Dash, Litecoin, NEO, Stellar and EOS with PayPal.
Other than PayPal’s platform, this is currently the easiest method to buy Bitcoins with PayPal. All other methods are much more expensive or require more effort. Learn more about them below.
What are the other platforms for buying Bitcoins with PayPal
Other more expensive platforms that can be used are xCoins, LocalBitcoins.com and Paxful.
This is another exchange site which started out as a peer-to-peer lending platform that connected Bitcoin lenders to borrowers. It uses PayPal to allow people to exchange money for a “secured loan” of Bitcoins. Any registered user may borrow or lend Bitcoin; xCoins matches a borrowing request with a lender. A borrower then pays the lender a sum plus interest using PayPal. Once confirmed, Bitcoin is transferred between the wallets of the lender and borrower.
LocalBitcoins is a p2p-marketplace where you can buy or sell Bitcoin with multiple payment methods. You trade directly with a person on this marketplace, so you have to check whether this person can be trusted. Always check a trader’s reputation points and read reviews about this person.
Follow the following procedure. Register for an account. Then, find the option to Buy Bitcoins. After that, search for sellers who accept PayPal and do a little research on them. Click on Buy and you have 90 minutes to transfer the money.
Paxful is also a p2p-marketplace just like LocalBitcoins. A lot of people switched to it, because LocalBitcoins has some cons like higher fees, slow website etc.
Here is the procedure to buy Bitcoins with Paypal. Visit Paxful’s site and register an account. Find the option to buy Bitcoins and make a selection of currency (euro) and payment method (PayPal). Then, find a trader with a good reputation. Click on Buy and read the terms and conditions of the user carefully and see the fee you have to pay. Then, press Buy now and you have 30 minutes to transfer the money. Finally, choose Paid when you’ve paid the asked amount.
All in all, we would advise you to carefully investigate all of the above mentioned options and find the one that mostly suits your needs.