There are two main ways to buy cryptocurrency with PayPal in 2025. The first method is to use a crypto exchange that accepts PayPal – examples include Coinbase and Bitstamp. The second method is to use a P2P (peer-to-peer) marketplace where sellers accept PayPal as a payment method.
If possible, we recommend using the first method, as it’s generally safer than using P2P marketplaces. However, we’ll cover both methods to show you all the options that are available right now.
Key highlights:
- There are two main ways to buy crypto with PayPal: using exchanges like Coinbase and Bitstamp, or via P2P platforms such as Paxful and Bybit
- Exchanges are safer but come with high fees, with Coinbase charging 3.99 percent and Bitstamp charging 4 percent for PayPal purchases
- P2P platforms offer more payment flexibility but carry more risk and often worse exchange rates compared to regular crypto exchanges
- PYUSD, PayPal’s own stablecoin, is a simple alternative for US users who just need dollar-pegged crypto, but it doesn’t replace Bitcoin or other cryptocurrencies
- Bank transfers are a much cheaper way to buy crypto, especially for larger purchases where PayPal’s fees can be significant
Method 1: Buy crypto with PayPal on a crypto exchange
The two cryptocurrency exchanges where you can buy Bitcoin and other cryptos with PayPal are Coinbase and Bitstamp. Both are considered very safe and reliable, but please keep in mind that they charge substantial fees on purchases made via PayPal.
Coinbase
Coinbase is one of the world’s top crypto exchanges and probably the best cryptocurrency exchange to use if you are looking to buy crypto with PayPal, especially if you’re based in the United States. If you’re a United States user, you can deposit funds to your Coinbase account via PayPal. Otherwise, you can still buy cryptocurrency with PayPal on Coinbase, but you won’t be able to make a deposit.
It’s worth keeping in mind that Coinbase also gives users the option to cash out to their PayPal account.
In order to use PayPal with Coinbase, go to your account’s “Settings” section and then select “Payment Methods”. The next step is to select “Link a New Account” and choose PayPal from the list of payment options. You will then be guided through the process of linking your Coinbase account with your PayPal account.
However, using PayPal to buy BTC or other cryptocurrencies on Coinbase comes with considerable fees. If you’re directly purchasing crypto on Coinbase with PayPal, the transaction is subject to a 3.99% fee. Meanwhile, USD deposits via PayPal to Coinbase come with a 2.5% fee.
For more information about using PayPal with Coinbase, please refer to the exchange’s PayPal FAQ.
Buy Crypto on Coinbase
Bitstamp
Bitstamp is one of the most trusted cryptocurrency exchanges in the market, as it has been operating successfully since 2011. In 2022, Bitstamp added support for PayPal as a payment method, which makes it possible for their customers to buy Tether with PayPal.
After creating an account on Bitstamp, you’ll need to link your PayPal account to Bitstamp. When making a cryptocurrency purchase, choose PayPal as your payment method. Then, you will be redirected to the PayPal website where you will be able to authorize linking your PayPal account and Bitstamp.
Then, you will be able to buy any cryptocurrency listed on Bitstamp using your PayPal account. However, you must keep in mind that you will be charged a considerable 4% fee on your purchase when buying crypto on Bitstamp with PayPal. You can buy up to $2,500 worth of crypto with PayPal on Bitstamp per day, or $20,000 per month.
Buy Crypto on Bitstamp
Method 2: Buy crypto with PayPal on a P2P marketplace
The second way to buy Bitcoin and other cryptocurrencies with PayPal is to use a P2P cryptocurrency marketplace. P2P (peer-to-peer) cryptocurrency trading allows you to buy or sell cryptocurrency like Bitcoin and USDT directly with other users, using an agreed-upon currency and payment method.
Buying crypto on P2P is less convenient than using a standard crypto trading platform, and you unfortunately have to be on the lookout for scams, as some degree of trust between the buyer and seller is ultimately required. Still, P2P trading can be a solid option if you have very specific requirements about which payment methods you would like to use.
Please keep in mind that when you’re using P2P marketplaces to buy crypto, you will often be offered a worse exchange rate compared to using standard spot markets.
Bybit’s P2P marketplace
Bybit is a traditional cryptocurrency exchange, but it also offers a P2P marketplace where crypto buyers and sellers can arrange trades directly with one another. Sellers on the Bybit P2P marketplace can choose to accept a huge variety of payment options, which also includes PayPal.
After creating your Bybit account, head over to the P2P section. In the settings bar towards the top of the interface, select “Buy” as the trade type, choose your desired cryptocurrency, your local currency as the desired payment currency, and “PayPal” as the payment method. Then, you will be able to see all the sellers that are currently looking to sell their crypto and accept payments via PayPal.
Buy Crypto on Bybit P2P
Paxful
Paxful is another P2P crypto trading platform where some sellers accept PayPal. Simply use the platform’s filtering system to find sellers accepting PayPal. You can also input how much you want to spend, which will filter out sellers that are only offering small amounts of crypto. The “Offer Tags” section will allow you to set more specific parameters. For example, you can filter out users who require a photo ID.
Buy Crypto on Paxful
Alternative: Buy PYUSD on PayPal
If you’re just looking for a stablecoin and don’t necessarily need Bitcoin or other cryptocurrencies, there are additional options available to you as a PayPal user.
Recently, PayPal launched its own stablecoin called PYUSD in partnership with Paxos. PYUSD works on the Ethereum blockchain and can be considered an alternative to other stablecoins, as it is pegged to the US dollar. However, only PayPal customers from the United States can buy PYUSD on PayPal at the moment.
FAQs
How to buy crypto with PayPal?
You can buy crypto with PayPal in two ways. You can use a cryptocurrency exchange that lists the crypto you wish to buy and accepts PayPal as a payment method — examples include Coinbase and Bitstamp. Alternatively, you can use a P2P cryptocurrency marketplace such as Paxful, where sellers accept PayPal. However, using PayPal is not the best option for buying crypto, as you will be paying a substantial amount in fees.
How to convert crypto to USD on PayPal?
It is currently not possible to convert crypto to USD on PayPal. If you are a PayPal user in the United States, you have the option of converting PayPal’s PYUSD stablecoin to USD.
The bottom line
If you want to buy significant amounts of crypto, we recommend considering a payment option other than PayPal. Cryptocurrency exchanges that accept PayPal charge huge fees of around 4% (for context, that’s a $400 fee on a $10,000 purchase). Meanwhile, it’s hard to recommend P2P marketplaces in general, unless you have very specific requirements.
If you wish to learn the most effective ways of investing in crypto, make sure to check out our ultimate guide to crypto investing.
Source: https://coincodex.com/article/31529/how-to-buy-crypto-with-paypal/