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How to Buy Cryptocurrency With PayPal

Last updated 26th Sep 2022

PayPal has thrown its hat into the cryptocurrency ring, offering major cryptos on its platform. PayPal lets you deposit fiat money into cryptocurrency brokerages and exchanges, so all you need to do is make a deposit. The issue of chargebacks, however, has limited the integration of PayPal as a funding option in many crypto exchanges.

This guide explains how to buy crypto on PayPal and alternative platforms and methods crypto investors can use Paypal.

Top Cryptocurrency Brokers That Accept PayPal

Here are the best brokers investors can buy crypto with PayPal:

Minimum Deposit
Exclusive Promotion
User Score
More than 3,000 assets, including currencies, stocks, cryptocurrencies, ETFs, indices and commodities
Buy crypto, or trade cryptocurrencies via CFDs
This ad promotes virtual cryptocurrency investing within the EU (by eToro Europe Ltd. and eToro UK Ltd.) & USA (by eToro USA LLC); which is highly volatile, unregulated in most EU countries, no EU protections & not supervised by the EU regulatory framework. Investments are subject to market risk, including the loss of principal.

What Is a PayPal Cryptocurrency Broker?

A PayPal crypto broker accepts PayPal as a funding option. The broker facilitates the trading and exchange of crypto for fiat currencies. The investor can fund their account from a Paypal balance directly to their broker account.

A crypto broker acts as a middleman between the investor and the crypto market. They offer various ways and make it easy to buy and sell crypto.

What Crypto Platforms Accept PayPal?

Platforms, especially exchanges, avoid integrating PayPal as a funding option due to the chargebacks. Other platforms such as Binance only allow PayPal as a cash-out option. PayPal, however, is popular on peer-to-peer platforms.

These are the popular platforms that allow for crypto purchases through PayPal:


It is worth mentioning that the PayPal platform allows the direct purchase of four cryptocurrencies. You can buy, sell and hold Bitcoin, Litecoin, Bitcoin Cash, and Ethereum. Investors can purchase these cryptos with a balance in their PayPal wallet.

PayPal users can purchase crypto for as low as $1. The e-wallet promises to pay back any crypto lost on its platform due to hacking. On the downside, users cannot transfer their crypto assets out of the platform.

P2P Marketplaces

P2P marketplaces match cryptocurrency sellers and buyers. PayPal is a popular payment option on many of these platforms. Payment is direct from the buyer to the seller; therefore, the P2P acts as a non-custodial intermediary.

P2P platforms do not hold any funds or cryptos. The vendors on the platform advertise their cryptocurrency, including the number they have and trading terms. Buyers need to browse and filter for cryptocurrency they wish to buy. Investors can select platforms that have an escrow service to secure their funds when conducting the purchase.

Some of the top P2P marketplaces that include PayPal as a funding option are Paxful, Binance P2P, Kucoin P2P Localcryptos, and LocalBitcoins.

Cryptocurrency Exchanges

These are central custodial platforms that match sell and buy orders on the platform. They facilitate the exchange of fiat for crypto.

PayPal now seems to be in direct competition with crypto exchanges, especially on 4 significant cryptos with a huge trading volume and substantial market cap.

The top crypto exchanges that accept PayPal are Coinbase, eToro, and FTX. PayPal is a preferred choice for people who avoid linking their bank accounts or credit accounts to exchanges. Notable exchanges that do not support PayPal as a funding option include Kraken, Coinfloor, Gemini, and CEX.io.


Brokers are best known for the trading instruments they offer. Traders can speculate on the prices of cryptos, especially Bitcoin, to try and make favorable bets.

What comes out clearly for most brokers is that they only accept PayPal in some regions. For instance, eToro supports PayPal deposits only from the USA. Other brokers who support PayPal as a funding option include Avatrade and Plus500.

How to Buy Cryptocurrency With PayPal?

Here is a quick step-by-step guide on how to buy cryptocurrency using the PayPal platform, P2P marketplaces, and exchanges.

Paypal Platform

The feature is only available for US and UK customers. This will require you to have funds in your PayPal wallet. The wallet can be funded from a bank account, credit, or debit card.

  • Step 1: Open a PayPal account or login to your account.

  • Step 2: Tap on the buy crypto tab.

  • Step 3: Select the crypto you wish to buy from the cryptocurrency option and click on buy (There are only 4 crypto options).

  • Step 4: Specify the amount you wish to spend (e.g. investors can buy Bitcoin worth as low as $1).

  • Step 5: Complete the purchase.

Buyers should note that Payal does not allow for the transfer of crypto from their platform. You can only HODL or sell.

P2P Marketplaces

Step by step instruction on how to buy cryptocurrency with PayPal on a P2P marketplace:

Step 1: Open an account on the platform
Step 2: Browse for the sellers
Step 3: Initiate a trade
Step 4: Finalise the trade
Step 5: Transfer your crypto

Cryptocurrency Exchanges

Step by step instructions on how to buy cryptocurrency with PayPal on an exchange:

Step 1: Find a suitable exchange
Step 2: Fund the account
Step 3: Place the order
Step 4: Confirm the order
Step 5: Safe storage

How to Deposit and Withdraw via PayPal


The process to deposit funds with PayPal is generally the same for most brokers and exchanges. Here are the steps:

  • Step 1: Locate the funds’ management/deposit link.

  • Step 2: Choose PayPal as the mode of payment and specify the amount you want to deposit.

  • Step 3: You will be redirected to a new PayPal login page. This will require you to log in and approve the payment.

  • Step 4: Confirm that your account has been credited with funds.


After the successful sale of your crypto, we advise moving your cash out of the platform. To complete a PayPal withdrawal, follow these steps:

  • Step 1: Link your exchange/broker account to PayPal.

  • Step 2: Click on the withdrawal or funds management link.

  • Step 3: The available funds will be displayed.

  • Step 4: Enter the amount you wish to withdraw.

  • Step 5: Check the transaction details and confirm.

  • Step 6: Confirm that the funds have hit your PayPal account (Please note that funds processing may take close to 48 hours in some instances).

What Should I Look for in a PayPal Cryptocurrency Broker?

Low withdrawal and deposit charges:

  • These charges are dependent on the platform you use. For instance, eToro does not charge for a PayPal deposit but levies a $5 withdrawal fee. Plus500 does not levy any charges on deposits and withdrawals, although limits apply. Note that PayPal may charge a 4% processing fee for deposits into exchanges.

Regulatory approval:

  • Regulated crypto brokers are likely to care for your funds and crypto-assets much better. To avoid losing your funds and credit card information to scammers, we recommend signing up to crypto brokers who are regulated. Plus500 eToro and Avatrade are heavily regulated brokers in the UK, USA, and Australia.

Ease of use:

  • Most investors prefer to use brokers with simple and intuitive interfaces. A well-designed interface makes it easy to trade and use the tools provided effectively. The Tradeview, payment options, indicators, charting tools, and risk management options should be easily accessible. Platforms we believe are simple and well designed are eToro, Plus500.

Risk management:

  • Using trading instruments such as CFDs is risky with the probability of losing over 70% of your capital. A good broker will offer automated features to mitigate significant risks and losses to your investment. Such features include Stop Loss, Guaranteed Stop, and Take profit when trading CFDs. eToro and Plus500 avail such features for traders, although they may be deactivated by default.

Variety of trading options:

  • For those seeking to trade crypto assets, especially Bitcoins, there are a variety of trading instruments such as Bitcoin futures on some exchanges/brokers. Some of the popular trading options are CFDs and spread betting.

Should I Buy Cryptocurrency Using PayPal?


Secure – PayPal is an online payment service provider with high standards of security. Some of the features that ensure protection include 2FA, data encryption, and 3D passcode.
User friendly – Buying crypto directly on PayPal is easy. Those who have used PayPal before to pay merchants online will find it easy to connect with crypto exchanges. It is friendly to USD and GBP crypto purchases.


Processing fees – PayPal may charge up to 4% depending on the exchange/broker.
Limits – Exchanges like Coinbase impose a daily limit to how much users can spend and withdraw using PayPal.
Ownership – PayPal is a custodial crypto platform; therefore, users cannot transfer their crypto away from PayPal.
Availability – PayPal as a funding option is not as widespread in exchanges compared to bank transfers.
Limited – There are only 4 cryptocurrencies that users can buy directly on the PayPal platform. This is dismal compared to exchanges like Coinbase, which offers 10s of cryptocurrencies.

Is Using PayPal the Best Method to Buy Cryptocurrency?

Buying crypto directly on PayPal may not be the best option. Users can expect considerable fees, and the crypto is retained on the platform. Here is a fee schedule investors can expect on PayPal.

Adoption of PayPal as a funding option is not widespread on exchanges. This is due to the issue of chargebacks. Vendors on P2P platforms typically charge a premium to cater to PayPal fees.

What Are the Alternative Payment Methods to Buy Cryptocurrency With?

Apart from PayPal, users can take advantage of other alternatives ranging from e-wallets to bank transfers.

Bank Transfers

They are widely adopted across a majority of brokers, exchanges, and P2P platforms. Investors prefer bank transfers because they are mostly free or attract a minimal charge. On the downside, bank transfers may not be instantaneous and can take several days to reflect, depending on the exchange and jurisdiction. Some of the popular bank transfer modes globally include:

  • SEPA – Europe

  • ACH transfers – USA

  • Faster payment – United Kingdom

Wire Transfers

FedWire and SWIFT are some of the standard wire transfer methods. They are widely adopted on many tier 1 exchanges. They are preferred for larger investments. Transfers may take 1-3 days.

Credit Cards

Financial institutions provide credit cards for the account holders to purchase crypto on credit. Transactions are quick and may help investors take advantage of a volatile crypto market. The main disadvantage with credit cards is the high, multiple fees which negatively impact the investment.


Investors can expect to find Skrill, Payoneer, or Apple Pay as a payment option in some brokers and exchanges, depending on the jurisdiction. The methods are easy to use, although some fees may be levied on deposits and withdrawals.

Final Thoughts

PayPal is now in direct competition with exchanges and brokers, offering four top cryptocurrencies, including Bitcoin. There are many disadvantages to using PayPal so if other options are available to you, you should consider those.

P2P exchanges and brokers also provide their users with PayPal as a funding and withdrawal option. It is less popular in exchanges, but Coinbase and FTX are some major platforms that offer PayPal as a payment option.


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Amala Pillai

Amala Pillai

Amala is custom content and news editor based in London. She is a former financial journalist based in Singapore with 7 years of experience covering a range of business and financial topics. Now she focuses on crypto and macro-economics. She has also covered feature profiles, tech, business politics and ESG— she was the Environment Editor for the Solutions Newspaper, 2016 and worked in an editorial capacity at both News corp (Dow Jones) and JBN. She also has experience as a content creator, strategist and brand editor for various financial institutions and banks.