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PayPal is a global online payment system that supports online money transfers. It has become a widely accepted method for secure transactions on various platforms, including on cryptocurrency exchanges. Are you wondering how to buy crypto with PayPal? You’re at the right place! You can now buy crypto either directly through PayPal or on an exchange and choose PayPal as your payment method.

Set up a PayPal Account

If you don’t already have one, you will need to set up an account on their website or app. You’ll also be asked to provide some information such as your full name, email address, and home address, and find a secure password. Then you will be prompted to verify your account and link a bank account or a payment card.

Note that, in some regions, you may be required to opt in or enable cryptocurrency transactions.

Buy Crypto Directly on your PayPal Account

Once your account is set up you will be able to buy crypto on your Paypal account. There are several articles for you to learn more about crypto before investing. Here are some of the topics covered:

• Protect yourself from scams
• Getting started with crypto
• Crypto on PayPal FAQs
• Crypto and taxes
• And more

Depending on your country of residence you will be able to buy different cryptocurrencies. In the US (apart from Hawaii), you can buy the following assets: PayPal USD (PYUSD), Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH).

You can pay for your crypto with your PayPal account balance, with a payment card, or with a bank account. To start buying, click on ‘Finances’, then on ‘Crypto’, and select ‘Buy’. Choose your asset, the amount you wish to buy, and the frequency of this transaction (or select ‘One-time’). Select a start date, confirm your amount, and choose your payment method. You will then need to validate your transaction.

Asset Ownership on Paypal

When you buy cryptocurrency through PayPal, it’s important to understand that you don’t own the underlying asset in the traditional sense. This is because PayPal retains control of the private keys associated with the cryptocurrency, not the purchaser. Essentially, without the private keys, you do not have full autonomy over the digital coins you’ve bought. Therefore, although you can use PayPal to transact or invest in crypto, the adage “not your keys, not your coins” applies.

Pay with PayPal on Crypto Exchanges

The option that will allow you to buy even more cryptocurrencies will be to buy through an exchange. Because the cryptocurrency industry evolves constantly, regulations change quite frequently too. Some exchanges used to accept PayPal such as Binance, but they don’t anymore today. Others, like Kraken, have more recently implemented PayPal as a payment method. So, make sure to always do your research.

Here are some centralized exchanges that accept Paypal as a payment method:

• eToro
• Coinbase
• Cex.io
• Crypto.com
• Kraken
• Bitstamp

eToro

First, we have eToro, a leading social trading and investment platform that enables users to trade a wide range of financial services. These include stocks, cryptocurrencies, commodities, and other currencies. Here are the details regarding the PayPal payment method on this platform:

• You will receive your funds instantly
• They support the following currencies when paying with PayPal, USD, GBP, EUR and AUD
• PayPal payment method is restricted in some countries such as in the United Kingdom, the Seychelles, Algeria, Antigua, Barbuda and others
• Maximum single deposit is $10,000
• Withdrawal available

Coinbase

Coinbase is another widely recognized cryptocurrency exchange platform too, that has a user-friendly interface for buying, selling, and managing a diverse range of cryptocurrencies.

In order to use PayPal, US residents will need to have a valid payment method linked to their account. They won’t be able to use their PayPal account balance or any other credit or prepaid card.

Coinbase recommends using PayPal for the following:

• Best for small investments and cashout
• Buying cryptocurrencies
• Adding cash
• Cashing out
• All transactions are instant

Cex.io

Next, there is Cex.io, a global exchange that provides a secure and intuitive environment for buying, selling, trading, and storing a wide variety of cryptocurrencies. The PayPal payment method is only available to US customers. It is advised to link your PayPal account to the exchange before placing any purchase. Only one PayPal account can be linked at a time. 

Crypto.com

Crypto.com is another comprehensive Cex (Centralized Exchange). They have a wide range of financial services, including trading, investing, staking, wallets, and a visa card that allows spending crypto as fiat currency.

There is the option for US residents to top up their Crypto.com card with PayPal. Just like most platforms, it is only possible to link one PayPal account at a time. There are different fees and limits depending on the Crypto.com card you are using:

• Midnight blue Visa Card: Top-up fees are 2.1%, the day limit is 1,000 USD, and the month limit is 5,000 USD
• All other Visa Card: Top-up fees are 2.1%, the day limit is 5,000 USD, and the month limit is 15,000 USD

Kraken

Kraken is a prominent crypto exchange established in 2011. Known for its extensive selection of cryptocurrencies and fiat currencies, it caters to a global audience with advanced trading features like margin and futures trading.

They stated on their platform that although transactions may be instant with more traditional payment methods, it isn’t with PayPal for withdrawals. Here are the requirements to be able to use Paypal to buy your cryptocurrency:

• Have your Kraken account verified up to Intermediate or Pro level.
• Have a PayPal account set up
• The name on both accounts (PayPal and Kraken) must match
• Only available to UK and European Union residents (Except from Hungary and Croatia)

Bitstamp

Bitstamp, one of the longest-standing cryptocurrency exchanges too, was established in 2011. They have a secure and straightforward platform for trading a variety of major cryptocurrencies. It caters to both individuals and institutional clients, providing advanced trading options, high-security measures, and a user-friendly interface.

The PayPal payment method is accepted for both US and European Union residents. They can pay in USD, EUR, and GBP.

Here are the requirements and details when using PayPal on their platform:

• Day limit is 2,500 USD
• Month limit is 20,000 USD
• Fees are 4%
• The name on both Bitstamp and PayPal must match

These are just a few exchanges where you have the option to buy your assets with PayPal. However, as mentioned earlier, make sure to do some research as there may be new platforms and new ways of buying crypto with PayPal. On the other hand, some exchanges may stop working with PayPal in the future.