How to Buy Bitcoin on Cash App
Cash App, a peer-to-peer payment app similar to Venmo or PayPal, offers a simple option for users to buy Bitcoin. However, it only allows buying and selling of Bitcoin, so investors seeking other digital assets will need to look elsewhere.
To purchase Bitcoin using Cash App, follow these steps on How to Buy Bitcoin on Cash App.
- Create a Cash App account:
- Download the Cash App application
- Enroll by setting up a username and password
- Link your bank account to the app to make purchases
- Go to the ‘Buy Bitcoin’ screen:
- Tap “USD” on the Cash App home screen
- Select “Buy Bitcoin” from the pop-up menu at the bottom
- Add purchase details and finalize:
- Enter the dollar amount you want to purchase
- Enter your PIN and confirm the transaction
- Check the final confirmation screen for the amount that goes to fees
- Transaction fees:
- Cash App fees vary based on transaction size and are included in your purchase price
- For example, if you purchase $200 in Bitcoin, you will receive about $196 worth of Bitcoin and pay about $4 in fees
- Cash App also includes a spread, meaning you will pay slightly more than market value for the Bitcoin and sell for slightly below market value
- Additional fees apply for expedited settlements
- Transfer Bitcoin:
- Instantly send or receive Bitcoin with other Cash App users
- To send Bitcoin, you need the recipient’s username (also known as a $Cashtag) on the app
- Toggle to the Bitcoin screen, enter the amount, recipient’s $Cashtag, and press “Pay”
- Transfer your digital assets to a cryptocurrency wallet by:
- Going to the Bitcoin tab on the app
- Tapping the airplane icon and selecting “Send Bitcoin”
- Accessing a QR code or entering your unique wallet address manually
- Selecting a withdrawal speed, confirming, and sending to complete the transaction
- Deposit Bitcoin from a wallet to your Cash App account by selecting “Deposit Bitcoin” from the Bitcoin tab
- Store your Bitcoin on Cash App:
- Cash App acts as a custodial wallet for your purchased BTC
- You can keep your Bitcoin stored within the app or transfer it to another crypto wallet
- Storing your Bitcoin in a separate wallet is more secure, as institutions handling transactions can be a target for hackers
- Note that Cash App had a data breach in 2022, affecting many users and demonstrating the risks of storing money on such apps long-term.
- Selling Bitcoin:
- Go to the Bitcoin tab on the app
- Select “Sell” and enter the amount you want to sell
- Confirm the transaction by entering your PIN or touching ID.