Cash App is a peer to peer money transfer app similar to PayPal and Venmo that allows users to purchase Bitcoin. Although it is an easy alternative to a crypto exchange, its platform only allows you to purchase and sell Bitcoin. For investors looking to buy other digital assets, they will need to look elsewhere.
To purchase Bitcoin with Cash App, follow these steps:
Open a Cash App account
You will need to download Cash App and create an account if you don’t have it. The app will guide you through the enrollment process. You’ll need to create a username, and password. Next, link your Cash App account with your savings or checking account. You’ll be able make purchases once your bank account has been linked to the app.
Click on the ‘Buy Bitcoin’ screen
Tap “USD” to purchase Bitcoin. The bottom of the screen will display a menu. Choose the option “Buy Bitcoin .””
The dollar amount that you wish to buy, along with your PIN, will be entered. Finally, confirm the transaction. You’ll be able to see the amount of fees that your purchase will incur at the last confirmation screen.
Cash app fees are based on the transaction size and are included in your purchase price. If you tell the app that you wish to buy $200 in Bitcoin, you will get $196 in Bitcoin and $4 in fees.
Spreads are also included in the app. This means that you will pay slightly less than market value for Bitcoin and that you will sell at slightly lower market value. Additional fees may apply to withdraw with expedited settlements.
You can instantly send and receive bitcoin with Cash App when you transact with other Cash App users. First, you will need to know the username of the recipient on Cash App. This is also known as a $Cashtag in Cash App. Once you have the recipient’s username, switch to the Bitcoin screen and enter the amount and $Cashtag of the recipient. Then, press “Pay.” ”
You can store Bitcoin in a crypto wallet. You will need to:
Click on the Bitcoin tab in the application.
Tap on the airplane icon and choose “Send Bitcoin.”
Tap in the top left corner for a QR code. Or, press the “Send” button to manually enter your wallet address.
Next, tap on the withdrawal speed you want to choose. Then, click “Confirm and Send” to send your transaction.
Bitcoin can be sent from a wallet to your Cash App by clicking “deposit Bitcoin” in the Bitcoin tab.
Keep your Bitcoin on Cash App
Cash App acts as a custodial account for all BTC purchased on the app. Cash App allows you to keep your Bitcoin within the app. Cash App allows you to transfer Bitcoins to any cryptocurrency wallet, unlike Venmo.
It is safer to keep your Bitcoin in a separate wallet. Hackers can target institutions that store or process cryptocurrency transactions.
Cash App suffered a data breach in 2022 that affected many users. Hackers were able gain access to accounts to siphon money out. Although the data breach was not specific to Bitcoin, it highlights the dangers of long-term money storage on these apps.
You will need to visit the Bitcoin tab in the app to sell Bitcoin. Next, click “Sell” and enter the amount that you want to sell. To confirm the transaction, you will need to enter your touch ID or PIN.
The editor and author were not involved in any of the investments mentioned at the time this article was published.