Plus, not holding the actual asset can be a good thing. As cryptocurrency is a decentralised asset, it is not as sensitive to changes in regulation in a way that stocks or other currencies may be. Government policy is an excellent example of this. This means that when you purchase cryptocurrency, it will not be as reactive to certain market shocks as stocks and shares may well be. Crypto has been seen to have a lower correlation to other assets. Investing in cryptocurrency may be a strategy you have wanted to follow to help diversify your portfolio. Is buying crypto through PayPal a good idea?Īll of the above may sound, in practice, like something that you are happy to try out. It is still a relatively new asset class, so many of us may still need education on what it truly entails.

These articles can help you keep abreast of any developments in the cryptocurrency world and let you learn some of the technicalities. For example, PayPal has several articles in a library that is available through your account. You can sell them for a state-backed currency, which you can then transfer to your bank account, but you can never actually transfer the cryptocurrency asset.įinally, the app does provide a good deal of information on cryptocurrency and investing. For that reason, you can never spend or transfer your cryptocurrency holdings off PayPal’s platform. PayPal never gives you the private key and instead keeps it. To take control of it, you need the private key. The public key is your wallet - the one held by PayPal. To own them, you need to have two pieces of information: the public key and the private key. The reason for this is that PayPal is the entity that looks after the wallets that hold cryptocurrencies. Firstly, buying through PayPal does not give you the rights to the actual asset. However, while the notion of buying, selling and holding cryptocurrency through PayPal is not complicated, there are some essential points to grasp before you start trading. The app's buying and selling procedure is highly intuitive and easy to follow. Between buying and selling all or some of your crypto assets, you can hold them and keep an eye on market movements in price. From there, you can manage your buys and sells of your chosen cryptocurrency through the app. To start buying crypto with PayPal, you must have a PayPal account. However, those four are some of the biggest cryptocurrencies - Bitcoin, Ethereum, Litecoin and Bitcoin Cash. However, the bigger issue is the fact they are selling FAKE crypto! This has multiple FTC violations written ALL over it.How does investing in cryptocurrency via PayPal work?įirstly, it's essential to know that PayPal only provides access to four cryptocurrencies, not all of them. On that ground alone, its false advertisement. In fact they literally say ' Buy, sell and trade with crypto through paypal'. No where do they say you are buying a type of made up stock, rather than a currency which can be spent. No where does paypal say, the crypto you are buying, is not real. Each time you do, paypal takes some of it. Paypal is just saying 'just trust us, you TOTALLY have crypto', despite having absolutely NO access to any of it at any time! All you can do, is transfer your money, into the separate fake account, and transfer it back. You do NOT have crypto! You are like, buying a 'promise of cryptocurrency', not actually buying real cryptocurrency. You can not accept crypto from someone else. If it is unable to be traded for products, services or given as a gift to someone else, it is NOT A CURRENCY, and thus NOT cryptocurrency! You don't have a crypto wallet. You are unable to BUY anything using the crypto currency.

What they do, is take your $20, and put it in a separate paypal account (which they write 'CrYpTo' above it to make you believe its real), and then they tie the value of that account, to the price of the 'crypto you totally purchased'. If you go and buy $20 of bitcoin on paypal (which paypal charge you fee for, wow), you DO NOT get $20 worth of bitcoin. Its a fabricated stock/security, completely made up by paypal, that bypasses ALL stock regulations and the stock market. When you 'buy crypto' on paypal, you are actually NOT buying any actual cryptocurrency at all! What you are ACTUALLY buying, is essentially a stock/security which is tied to the price of crypto, that paypal fabricated out of thin air.

I can't even believe the level of fraud a company as large as paypal is engaging in here. Paypal is fraudulently claiming you can buy cryptocurrency, when you in fact, can not.

Buy crypto through paypal