How To Buy Cryptocurrencies With PayPal

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PayPal is now the world’s largest online payment platform, with over 244 million active customer accounts as of July 2018. The platform processed 7.6 billion transactions in 2017, and its convenience and intuitive user interface is likely to see even more transactions completed via PayPal this year. Combine that with the burgeoning cryptocurrency industry, which has seen many investors around the world seek to get involved with buying and selling digital assets such as Bitcoin, and it’s easy to see why people are wondering if it’s possible to buy the top cryptocurrencies using their PayPal e-wallet.

PayPal is starting to find its feet in the cryptocurrency industry

Source: mohamed_hassan, Public Domain

The fact of the matter is that it’s not as easy as you might think to buy Bitcoin, Ethereum or any other alternative cryptocurrency through PayPal. The reason? PayPal chargebacks. Cryptocurrency scammers have stung many PayPal users who buy Bitcoin from legitimate people using their PayPal account, only to later claim they didn’t receive the Bitcoin they paid for. As PayPal cannot check whether the cryptocurrency transaction has actually taken place, the platform was forced to side with the scammer on most occasions; much to the dismay of legitimate cryptocurrency sellers.

The good news is that it’s getting easier to buy Bitcoin and other crypto coins with PayPal, you just have to be a little more creative. The slow emergence of PayPal in the cryptocurrency space is mirrored in the iGaming industry too. It’s unclear whether iGaming brands don’t like PayPal or if PayPal dislikes iGaming brands, but online casinos that accept PayPal are not as common as you might think either. In fact, it’s more common to find iGaming brands that accept Bitcoin rather than those that permit PayPal deposits and withdrawals.

So, without further ado, let’s consider the easiest ways to buy Bitcoin and various other cryptocurrencies using a PayPal account.

Use the VirWox exchange

The VirWox virtual currency exchange is a great starting point. It doesn’t allow you to buy Bitcoin and other digital assets directly using fiat currency from a PayPal account. Instead, you have to use your fiat currency to buy SLL tokens and exchange these in the VirWox exchange for your chosen crypto coin. They offer a ‘PayPal Express Checkout’ that allows you to connect your PayPal and VirWox accounts together for instant deposits. Do bear in mind that VirWox only accepts fiat currency deposits in USD, GBP, EUR and CHF.

Try a peer-to-peer marketplace like LocalBitcoins

If you want the freedom to find the price that you wish to pay for your chosen cryptocurrency, you might like the idea of a peer-to-peer marketplace such as LocalBitcoins. This platform connects buyers and sellers of Bitcoin. If you wish to use PayPal to buy Bitcoins from a seller on the marketplace, you’ll need to create a LocalBitcoins account and then on the ‘Quick Buy’ market screen, choose PayPal as your desired payment method on the drop-down menu.

This will filter out all other payment methods. You can also place your own ad, outlining your preferred payment method as PayPal and the amount you wish to buy. The main drawback with LocalBitcoins is that you won’t always find a seller that accepts PayPal immediately, so it might not be a very quick process.

Buy the ‘price’ of cryptocurrencies using eToro

Instead of worrying about physically buying and storing cryptocurrencies after a PayPal transaction, there is another way you can attempt to profit from the likes of Bitcoin and Ethereum. By ‘buying’ and ‘selling’ the price of a cryptocurrency like Bitcoin using a contracts for difference (CFD) broker, such as eToro, it’s possible to trade the price moves of BTC and take a profit based on the opening and closing orders you place in the market.

For instance, if you place a ‘buy’ order on Bitcoin at £5,000 and you place a ‘sell’ order on Bitcoin at £5,100, you can lock in an instant £100 profit. eToro is a social trading community that allows cryptocurrency investors to discuss crypto trading angles with fellow members – of which there are over six million worldwide. More importantly, it accepts PayPal as a method of deposit into your eToro account to help you get started.

In summary, although it’s possible to buy cryptocurrency with a PayPal account, that doesn’t necessarily mean it’s the best payment method. The shortage of sellers that accept PayPal payments and the high transaction fees invariably involved mean that e-wallets are still not the ideal form of payment when acquiring new digital assets.

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