Many crypto users want to know how to buy Bitcoin with Cash App because they need a reliable interface. More than that, it’s possible that the same users will want to avoid bank issues or other incompatibilities.
So, if you want to know how to buy Bitcoin on Cash App, you have come to the right place. Keep on reading our guide to find out how you can quickly purchase BTC through this app.
What Is Cash App?
Cash App was developed by Block (formerly Square), a San Francisco financial technology company that has released mobile credit card readers and many other financial services. The app was created to provide an easy-to-use platform for Bitcoin beginners.
As it facilitates the buying and selling of Bitcoin, users from most states can make dollar and Bitcoin transfers between their peers and businesses that also have Cash App. Other available features include withdrawals, deposits, USD and BTC storage, linking your debit/credit card, and more.
Block’s app allows beginners to buy Bitcoin more easily. It should be noted that Cash App is not for day trading. For that, you can use Crypto Engine, which is a more suitable app.
When it launched in 2013, Cash App was initially used to send money to family and friends for free (like Venmo), pay for goods and services, pay bills, etc. But then the app expanded its functionalities by adding in 2018 Bitcoin buying and selling options. This mobile app has gained a lot of traction, enabling P2P transactions with Bitcoin while incurring no fees.
Unlike other crypto financial platforms, your Bitcoins are not stored externally in Block. Instead, the funds are kept in your Block Cash account on your behalf while you make your transfers. You can withdraw your coins when you have completed your purchase or sale.
*Note: You will be required to verify your name, date of birth, and the last four digits of your SSN before you will be able to send more than $250 a week or receive $1,000 a month. After identity verification, the weekly sending limit is raised up to $7,500.
Block limits purchases and BTC deposits to $10,000 per seven-day period. However, you have no restrictions on the amount you can sell. Also, it can take up to several hours for the transactions to be confirmed on the blockchain.
Residents of 50 United States can only use Cash App with the expectation of Puerto Rico, Guam, the US Virgin Islands, American Samoa, and the Northern Mariana Islands. You will not be able to use the Cash App if you travel to other countries or live outside US borders. A version of the app is available for people based in the United Kingdom, Japan, Australia, and Canada.
How to Buy Bitcoin with Cash App: Step-by-Step Instructions
Are There Any Fees for Buying Bitcoin?
- Go to the Google Play Store or Apple AppStore and download Cash App for your mobile device.
- Then, set up your Cash account.
- Enter the code sent to you and confirm your phone number or email address.
- Select if you want to use your account for business or personal matters. If you want to send money only to friends and family, select “Personal.” If you want to send money for goods or services, select “Business.” After you have registered, link your bank account.
- Before you can buy Bitcoin (BTC), Cash App will have to deposit money into your account. This may require additional identification steps.
- Open your Cash App.
- Tap “Cash & BTC” or the dollar amount featured at the top of your screen.
- Swipe left or tap the BTC symbol (if you don’t have the BTC symbol, tap on the following symbol after the dollar symbol) in the lower right corner.
- Tap “Buy” and adjust the price slider or swipe up to enter the sum you want to buy.
- Tap “Buy BTC.”
- Type in your Cash pin or identify yourself via Touch ID.
- Tap “Confirm.”
Cash App does not apply a supplementary percentage or fixed fee. The price of BTC is calculated by averaging the market prices featured on major exchanges, including a margin or speed.
The margin may differ from buying Bitcoin on Cash App and selling it to the app. The price and margin may also vary from the values featured on other exchanges, trading platforms, or marketplaces.
Cash App Fees for deposits and transfers
Regarding Cash App fees, there are no fees applied to debit accounts transactions, but it applies a 3% fee to credit card transfers for the sender. Personal use accounts do not incur fees for sending, requesting, or receiving personal money payments from a debit card, a bank account, or a standard deposit.
Using the instant deposit option will add a fee between 0.5%-1.75% of the amount deposited to your bank account.
If you receive a payment on a business account, the business has to pay a fee of 2.75% of the sum that is being transferred to you.
Withdrawing Bitcoin from Your External Wallet
As we all know, leaving your crypto fund on any online platform is unsafe, and it is best practice to transfer your funds to a secure, external Bitcoin wallet.
Follow the steps presented below to move your Bitcoin to an external wallet:
- Open your Cash App;
- Tap the profile icon on the left part of the screen;
- Scroll to “Funds;”
- Tap on “Bitcoin;”
- You will have to verify your identity before withdrawing;
- After you have passed this step, tap on “Transfer Out;”
- Tap “Confirm;”
- Use the “Use Wallet Address” at the bottom of your screen or scan the QR code from your external wallet;
- Tap “Confirm.”
After the withdrawal from Cash App has been processed, your Bitcoin (BTC) will be deposited into your external wallet. Bitcoin transfers can take up to several hours to be completed, so be patient.
Cash App can also be used as a means of transferring Bitcoin P2P when you opt to buy Bitcoin on online marketplaces, such as Paxful and LocalBitcoins if you have agreed to use this method with the other transitioning party.
Now that you have reached the end of our article, you should know how to buy Bitcoin with Cash App. Also, remember that you must be from the specified US states and countries to be able to use the app.