Learn Where & How to Buy Bitcoin Cash With PayPal - A Beginner's Guide
Bitcoin Cash (BCH) is a fork of Bitcoin (BTC) created in 2017 and has remained among the top ten investment prospects in the space ever since. BCH is the most popular BTC fork and second-most widely accepted other than Bitcoin. It’s available across many platforms and is easy to purchase using several payment methods, including PayPal.
PayPal is a global payment company that specializes in money transfers. Merchants across the globe rely on this payment method, assured by its advanced encryption technology for incredibly secure transactions. As of 2020, many cryptocurrency exchanges accept it for crypto purchases.
Steps to Buy Bitcoin Cash With PayPal
PayPal currently allows its users to buy cryptocurrencies using their accounts, making it easy for anyone looking to buy Bitcoin Cash with PayPal.
Below we outline the simple steps to buying BCH using funds in your PayPal account. Are you looking to buy Bitcoin Cash with PayPal in a more secure way? Follow the steps below:
- Create a PayPal account: During the registration process, you will provide your personal information. Since PayPal has strict security policies, it is advisable that you provide valid and verifiable documents, including your photo ID. Then, fund your account.
- Create Bitcoin Cash wallet: This is the next step in buying BCH using funds in your PayPal account. Creating a wallet allows you to securely receive, transfer and store the coins. A good example of where to create a BCH wallet is at bitcoincash.org. However, there are several options recommended as the best Bitcoin Cash wallets. Once you have your wallet set and secured, the next step is to buy the crypto asset.
- Register with a Bitcoin Cash trading platform: There are so many crypto exchanges and brokerage firms that allow you to buy and sell Bitcoin Cash. Register for an account with one and complete the process. Once done, go ahead to the buy page and choose PayPal if the platform accepts this as a payment method. Follow the guidelines to complete the purchase.
Another simple way of buying BCH with PayPal is to go to a peer-to-peer marketplace and find a trusted person willing to accept the funds paid via the above payment method. Before you complete a P2P trade, do some due diligence on the trader in question — especially by reviewing their profile to gauge if they are trustworthy.
Best Places to Buy Bitcoin Cash With PayPal
There are hundreds of cryptocurrency exchanges, trading platforms and brokers that accept PayPal. The problem is that some of them might turn out to be scams or too expensive, which means that anyone looking to use these platforms needs to be extra careful.
Also, as we mentioned in the beginning, some Bitcoin Cash exchanges do not work with PayPal.
You should take your time to assess the marketplace, especially with regard to their reputation, team and fees. But we are saving a great deal of that time by offering a list of places you can securely buy Bitcoin Cash with PayPal. Check out the following places and make an informed decision based on the information and your own research.
Pros and Cons of Buying Bitcoin Cash With PayPal
What Are the Transaction Fees on PayPal?
Despite the fact that PayPal is one of the most secure and widely used means of payment, a major drawback comes down to the overall high fees one can incur by the time the transaction ends. When you want to buy Bitcoin Cash through PayPal, you need to bear in mind that your crypto trading platform will charge you for the service. In addition to this, PayPal will require you to pay them too. If your platform does not use the USD dollar, you will pay a 4.5% conversion fee above the standard exchange rate.
PayPal will charge you, as the buyer, when you transact. You receive the amount equivalent with your Bitcoin Cash minus the fees. The charge ranges from 2.5% to 3.4%. In addition to these amounts, you will pay a flat fee amounting to $0.3. If the money is transferred to the bank, you also pay bank transfer charges, depending on your service provider.
Another cost that one might pay is losing their money. If you are working with a fraudulent crypto platform, it might send the money and then reverse the transaction later. So, you need to take precautions to minimise these risks. That is the only way you can find PayPal to be the most beneficial way to buy Bitcoin Cash.
BCH to PayPal: Can I Transfer Bitcoin Cash to PayPal?
Bitcoin Cash is a digital currency, while PayPal funds are online money. The latter refers to an online form of legal tender. If you have Bitcoin Cash and want to send it to PayPal, you have to use an indirect method. The first step is to register on a Bitcoin Cash exchange, sell the crypto and transfer the money to your PayPal account.
As we have said, one demerit of PayPal is that it allows the users to reverse their payments. This means if you are working with an unethical company, you could be tricked to send the funds. After the transaction is complete, they can reverse it. As such, when it comes to choosing a crypto platform, you have no option but to make the right decision. Once you are ready, you send your Bitcoin Cash and wait for the platform to transfer the fiat currency to your PayPal account.
PayPal to Bitcoin Cash: Is It Possible to Convert My PayPal Funds to BCH?
Given the differences in the design structure of PayPal and cryptocurrency platforms, you cannot directly convert your PayPal funds to BCH. The security features are also fundamentally different. So, if you have fiat currency in your account and want to use PayPal to Bitcoin Cash, you need to look for the right crypto platform that accepts PayPal payments. Take some time to assess the advantages and disadvantages of as many crypto platforms as you can.
After finding the best trading platform, signup, and follow their specific rules to start the conversion process. It is almost the same as transferring Bitcoin Cash to PayPal. However, in this case, you start by sending the amount to the company’s PayPal account. Once the platform receives the money, they also send BCH to your crypto wallet. Given that these companies use escrow services, the buyers and sellers are fully protected. You have to confirm that you are satisfied with the escrow’s service to release the money to your wallet.
Frequently asked questions
Yes, you can buy BCH instantly with PayPal. There are crypto platforms that are time conscious. Since many of them take time to verify the transactions, a CFD broker could be your best solution. They always tailor their services to meet the specific needs of their clients.
Yes, PayPal does not currently have a crypto wallet. It also does not directly engage in the buying or selling of digital currencies. So, you need to create a cryptocurrency wallet where your platform will send your BCH. At the same time, if you want to convert your Bitcoin Cash to PayPal funds, you need to send the assets to the exchange’s wallet. They will send the money to your PayPal account.
PayPal is one of the safest means of payment across the world. But that can only mean something to you if you follow all their rules and are working with a reputable cryptocurrency platform. Otherwise, if the company notices any risky behaviour in your account, they are likely to freeze it, which increases the risk of losing money. This means you might lose your money. In other cases, they may put your money on hold for up to 21 days. At other times, PayPal asks for evidence of product delivery before allowing users to access their funds. What’s more, if you are working with an unreliable party, they could reverse the money after the transaction is complete.
First, it is important to note that PayPal ID is incredibly easy to get. The account opening procedure is simple and free. But if you do not have a PayPal ID for any reason, you still have nothing to worry about. Look for a Bitcoin Cash exchange that offers the services to customers like you. You can also turn to the peer-to-peer marketplace, as they are always more flexible.
Verified PayPal accounts have higher transaction limits. The verification also sends a signal to the company’s algorithms that you are a trustworthy customer. Remember that advanced security technology can mistake innocent mistakes for signs of fraudulent activities and freeze your account. So, as with any other investments, other than verifying the account before starting transactions, you should remember to transact an amount that you can afford to lose.