If you have ever tried to buy crypto with PayPal, you know it’s not easy. In order to buy cryptocurrency to begin with, you need to decide where to do so.
The alternatives you have are basically (i) going to a cryptocurrency exchange, or (ii) using a regular market place connecting buyers and sellers (sort of like eBay). When doing one of the foregoing, you will notice that the available deposit methods or payment methods rarely include PayPal.
PayPal’s is an expensive payment method to accept for the platforms
PayPal is accepted by many major online merchants. But not all. And the same goes for cryptocurrency trading platforms. The following are the current fees charged by PayPal:
Source link: https://www.paypal.com/ca/webapps/mpp/merchant-fees
In spite of the fees, there are certain cryptocurrency trading platforms that still accept PayPal as a payment method/deposit method: most notably Paxful and eToro.
This trading venue is a peer-to-peer Bitcoin marketplace. Simply select your preferred payment method and type in how many bitcoins you need. Nothing more, nothing less. However, you can buy Bitcoin using a record-breaking number of different payment methods. You can pay with over 300 different payment methods (PayPal included). In the history of Paxful’s existence, more than 40,000 Bitcoins have been sold/bought. This is a very impressive feature of this peer-to-peer marketplace.
eToro was originally not a cryptocurrency exchange, but rather a general trading platform. It comes from the United Kingdom and launched as early as 2007. Technically, it is not an “exchange” per se. Rather, it is a broker. The platform enabled cryptocurrency purchases/sales in January 2017. But even prior to that, since 2013, it had offered CFDs for Bitcoin. Now, it aims to be your number one platform for cryptocurrency trading.
There are also a few others, such as CRXzone and Unichange that also accept PayPal-payments.
Then there are a few additional ones that accept payment of cryptocurrency with credit cards. And, if you have a credit card connected to your PayPal-account, this indirectly means that you can buy crypto with PayPal at these exchanges as well. One such exchange is the world famous Coinbase. A thing with Coinbase that could potentially be a bit of a nuisance though is they require KYC. Also, they issue a form 1099-K for US customers who have received at least USD 20,000 in cash from selling cryptocurrencies during the calendar year.
Advertisement Based Trading Platforms Accepting PayPal
There are also places like LocalBitcoins and LocalEthereum that allow PayPal-payments for cryptocurrency purchases. These sites are however a bit different from the sites mentioned in the paragraphs above. This is because these sites allow users to post advertisements where they state exchange rate and payment methods for buying or selling Bitcoin or Ethereum (normally PayPal is accepted). You reply to these advertisements and agree to transact with the person you have replied to. The seller puts the relevant crypto in an escrow account, and when the parties have transacted and the seller has confirmed payment to the platform, then the platform releases the crypto from the escrow to the buyer. All of these steps are more or less automated at the exchanges mentioned in the above paragraphs, and – different from LocalBitcoins and LocalEthereum – all typically occur within a matter of seconds.
A place where you can find all of the exchanges where you can buy crypto with PayPal is in Cryptowisser’s list of cryptocurrency exchanges. In this list, they compile more than 400 cryptocurrency exchanges, which is more than any other site in the world. All of the exchanges in this cryptocurrency exchange list are equipped with individual reviews, information on fees, deposit methods, and even user ratings.
Source link: https://www.cryptowisser.com/exchanges/