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Buying Bitcoin With PayPal Explained: 2020 Update

Stefan by Stefan
26/10/2020
in Bitcoin News
Reading Time: 2 mins read
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In our latest Bitcoin news today, we will explain the process of buying Bitcoin with PayPal as it could be ubiquitous as a payment system but there are few options that exist for buying BTC using this platform.

PayPal lets users request a chargeback in the event of a fraudulent transaction that can be abused by BTC scammers. There are some exchanges and peer-to-peer marketplaces that support buying Bitcoin using PayPal. At the start of the month, PayPal announced that it will introduce options for crypto buying and selling via the new partnership with Paxos Crypto Brokerage. It will also allow purchases on BTC, ETH, Bitcoin Cash, and Litecoin with the digital wallet.  PayPal noted that the crypto in the accounts cannot be transferred to other accounts on or off PayPal. Whether that feature will be added at a later date, or what the impact will be on other services will enable buying and selling through PayPal is unclear.

Today, we are announcing the launch of a new service that will enable customers to buy, hold and sell #Cryptocurrency directly from their PayPal account. https://t.co/QS6JRmG9hs pic.twitter.com/uHBatfZkbF

— PayPal (@PayPal) October 21, 2020

The main reason is that PayPal like other credit companies lets buyers request a chargeback in an event of fraudulent transactions. This opens up a chance for someone to falsely dispute a transaction and get their money back and still receive the Bitcoin that they purchased.  While coming crypto exchanges like Coinbase will let you link a PayPal account in most cases it’s limited a withdrawals not purchases but there are some exceptions. eToro allows payments for Bitcoin using this platform and allows crypto to be transferred to a wallet. Buying BTC on eToro using PayPal is simply a matter of logging into your account and you will click on Deposit Funds selecting PayPal as your preferred payment method and choosing an amount. Once the funds are deposited, you are free to buy Bitcoin.

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xCoins is another exchange site that started out as a peer-to-peer lending platform and connected BTC lenders to borrowers. It uses PayPal to allow people to exchange money for a secured loan and any registered user could borrow or lend BTC. The platform matches a borrowing request with lenders. The borrower then pays the lender a sum plus interest with the platform and once it is confirmed, Bitcoin is transferred between the wallets of the lender and borrower. You can use a peer-to-peer marketplace to purchase Bitcoin with exchanges like Paxful and LocalBitcoins. These exchanges allow sellers to set their own exchange rates and payment methods but not all sellers accept the financial services however you can filter a search of online sellers by payment method to pick one who does.

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DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at editor@dcforecasts.com

Tags: BitcoinBitcoin buyingBUY BITCOINbuying bitcoinpaypalpaypal purchase
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Stefan

Stefan

Stefan has been writing articles for DCForecasts since 2016 in-house full time. As one of our main cryptocurrency writers, he focuses on covering the latest cryptocurrency news, technical charts, price analyses of coins and press releases. When he is not exploring and covering the latest topics in crypto, you can find Stefan playing basketball, tennis or cycling.

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