How to Buy Bitcoin on Cash App | Where, How and Why
Bitcoin’s market capitalization has surpassed the $1 trillion mark during the recent bull market, because of the easy accessibility of cryptocurrencies in present times. When Bitcoin last experienced a parabolic bull run in 2018, investors had very fewer options for buying and selling digital currencies.
Bitcoin can now be purchased on exchanges such as Kraken, Coinbase, Gemini, etc. online brokers such as Webull, and Robinhood, and peer-to-peer transaction apps such as CashApp. Each platform offers various cryptocurrencies and charges different fees and commissions, but the availability of the largest assets such as Bitcoin and Ethereum is no longer an issue. The Cash App was one of the first peer-to-peer services to offer cryptocurrencies to customers, and today in this article, we’ll look at How to buy Bitcoin on Cash App.
Let’s get started!
About Cash App
Cash App is a mobile peer-to-peer transaction service developed by Square (listed on the Nasdaq under the name $SQ). The Cash App was first released in 2013 as Square Cash and works similarly to PayPal or Venmo, but with a few extra features. You can choose a username (called a $cashtag) and send cashless payments to other users with no costs, similar to Venmo. Cash App even allows users to send money to non Cash App users as long as they have a debit card.
Cash App can also be used as a bank and an investing account. Users can fund the app from an external bank account or debit card in order to invest in stocks and Bitcoin. While Cash App does not have the same stock choices as TD Ameritrade or Robinhood, it does allow clients with little sums to purchase fractional shares.
Buying Bitcoin on Cash App
One of the platform’s key goals is to simplify money for a user base that lacks strong financial literacy. Cash App doesn’t offer sophisticated charting tools or multilegged options trades to investors. However, it does offer a full platform for clients to send, save, and invest money in assets like stocks and cryptocurrency.
Cash App charges two distinct fees i.e service fee and an exchange fee on Bitcoin purchases, both of which are very reasonable and are applied to all transactions. The exchange fee fluctuates according to the volatility of the BTC price among US exchanges. Large Bitcoin purchases can be impacted more in turbulent markets, while smaller purchases will have costs equivalent to crypto exchanges like Coinbase or Gemini.
Follow these 3 simple steps to buy Bitcoin using the Cash App.
Step #1: Download or Open Cash App
Cash App is available on both the Apple App Store and Google Play Store. If you haven’t created an account yet, you’ll need a few pieces of information to get started. Your account application will require the following information:
- Email address
- Phone number
- Bank account or debit card number
You’ll then need to provide your full name and select a unique $cashtag. This will be your username, which will be unique, and you will need it in order to receive payments. In addition, you will earn a referral code here. You can share the referral code with your friends or family members to gain a bonus when they sign up using it.
Step #2: Fund Your Account
You must have funds in your Cash App account, or else you’ll be unable to purchase Bitcoin. So, go to the home screen and click on Add Cash, then enter the amount you wish to add. You must next verify your identity, social security number, birth date, and residential address. After you have loaded all of these data, you are ready to add funds to your balance. To confirm transactions, you’ll also need to generate a PIN, and create a PIN of your special number so you won’t easily forget (or write it down).
Step #3: Buy Bitcoin
Navigate to the “Investing” tab. This will allow you to select between equities and Bitcoin. Select Bitcoin, and the price chart with the most recent performance will appear. There will also be a BUY button. When you click on the “Buy,” button you will be able to pay for the bitcoins all at once or set up regular transactions. Choose how much Bitcoin you want to buy by picking a fixed USD value or setting a bespoke order.
After you’ve decided on an amount, press “Next”, and an order overview screen will appear Check thoroughly all the details and ensure that everything is in order, and hit on the “Confirm” button.
When it’s finished, click on “Done.” You can now check your Bitcoin balance by going to the Home tab. To deposit or withdraw Bitcoin, a user’s wallet address will be presented. You can avoid giving your Bitcoin to a third party by withdrawing the assets to a personal wallet. This ensures that you have complete ownership of your Bitcoin.
Auto-Investing in Bitcoin
Users of the Cash App who wish to invest in bitcoin should avoid fluctuating emotions and decision-making responsibilities. Cash App offers the Auto Invest feature to their users.
Auto-investing automates your bitcoin purchases. Purchases are made automatically, in the amount and on the schedule that the user specifies. A weekly purchase of $10 or $20 can grow an account by a significant proportion over time.
Here’s how to set up bitcoin auto-investment on Cash App:
- Open the bitcoin window
- Click on the “Buy” button
- Select “Standard One-Time Order” from the drop-down menu
- Select the frequency of your Auto Invest, whether you wish to buy daily, weekly, or bimonthly
- Tap on “Done”
- Select a regular investment amount from the drop-down menus or enter your own. Auto Invest requires a minimum purchase of $10
- Click on “Next” and “Confirm”
How to Sell Bitcoin on Cash App
The secret to profiting from Bitcoin trading is to strike while the iron is hot. On Cash App, you can sell Bitcoin whenever you want or set up automatic sales when the price rises.
- Tap the central “Sell” button on the Bitcoin tab.
- The app defaults to a one-time sale, and you’ll be asked to enter a selling price in USD. As with the buying options, you can select a predetermined value or enter your own.
- After you’ve decided on a price, you will be prompted to enter your PIN and confirm the transaction. And there you have it! Your Bitcoin has been transferred, and the transaction will be reflected in your Bitcoin and USD balances.
- You can also set up sales to occur when the value of Bitcoin hits a certain threshold. Instead of selecting a one-time selling price when you first press “Sell,” select the “Change Order Type” option.
- Tap “Custom Sell Order” on the following screen.
- The following screen contains a graph that tracks the value of Bitcoin (you can look at it by day, week, month, or year). You can select a Bitcoin price that will cause a sale using the slider.
- When you’ve decided on a value, press the “Set” button.
- When that threshold is achieved, you will be asked how much you wish to sell for. Again, you have the option of selecting a preset sum or entering a custom quantity.
- You will now be asked to choose an expiration date for this trigger from a choice of options. Setting up automated sales might be beneficial if you pay close attention to the market, but remember that what you set is what you get. Even if the value rises more, the transaction will be completed promptly once your target price is met.
- Once you’ve selected an expiry date, Cash App will ask you to enter your PIN and confirm the data before proceeding with the automated sale.
- You cannot change these rules after they have been set up, but you can cancel them and create new ones. Scroll down to the Bitcoin tab’s “Activity” section to see what automated sales you’ve set up.
Reasons to Buy Bitcoin Using Cash App
The main reason you should consider Cash App for purchasing Bitcoin is the same reason most people use Cash App for other things: It’s simple & easy.
It is a user-friendly financial app, and also one of the best apps for buying Bitcoin. To buy Bitcoin using your Cash App, go to the Bitcoin option on the main screen, click on “Buy BTC”, choose or enter the amount, and complete the transaction. It’s that simple.
Cash App also makes it simple to send Bitcoin to other individuals (or to another Bitcoin wallet you control) as well as to receive Bitcoin. Sending Bitcoin to other Cash App users is a quick and easy process, and sending it to external wallets by QR code or Bitcoin address is also very simple.
Is There a Fee For Buying Bitcoin on The Cash App
When buying or selling Bitcoin on Cash App, keep in mind that you will be charged a fee. This fee will be displayed on the trade confirmation screen before you complete the transaction. If you don’t agree with the charge, you can simply refuse to proceed. During Bitcoin transfers, Cash App will charge two types of fees: one is a service fee, and the other is an additional cost based on price fluctuations across US exchanges.
Risks of Bitcoin
Bitcoin isn’t without risks. It’s been around a little longer than Cash App and is accepted by a lot of large corporations. However, bitcoin has yet to establish itself as a popular method of buying and selling goods. Because the price of bitcoin fluctuates constantly, trading and investing in bitcoin remains risky.
Digital currencies may someday gain traction with banks, retailers, and private consumers. However, they can never really challenge the supremacy of the dollar, yen, euro, and other established currencies.
In recent years, Cash App has grown in popularity, and many users prefer to use it not only to send and receive money but also to conduct Bitcoin transactions.
Cash App is great for these sorts of transactions, and it is simple to set up and purchase Bitcoin. Simply download the app, register with your personal information, and buy bitcoin to start your own Bitcoin operations with Cash App. Just be aware that some fees will apply to the transactions, so be prepared to pay them before proceeding.
You can also visit our CoinStats blog to learn more about wallets, cryptocurrency exchanges, portfolio trackers, tokens, etc., and explore our in-depth buying guides on buying various cryptocurrencies, such as How to Buy ApeCoin, What Is DeFi, How to Buy cryptocurrency, etc.
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