Venmo is one of the favourite P2P applications in the United States. It ranks as the fourth most downloaded in the country and seventh in the world. It is fast, secure and very efficient in service. It is a complete platform that simplifies your payments and banking transactions. Being an important application and reference in finance, since 2021, it has been able to offer the purchase of cryptocurrencies.
The mobile payments app allows users to buy and sell cryptocurrencies within its platform. It is valid to buy from $1 in cryptos up to the amount you need. The purchasing and selling process is very easy and gives you access to this currency exchange from your mobile.
How to buy cryptocurrencies in Venmo?
Venmo adjusted to its mobile platform the possibility to buy and sell cryptocurrencies. The process is simple, and you only need to follow the instructions below:
- Go to the “Crypto” tab
- Choose the cryptocurrency you want to buy or sell.
- Enter the dollar amount of your purchase and click on “review”
- The application shows the number of cryptocurrencies you are buying and the fees
- Click on “Buy”
What you need to know to buy cryptocurrencies in Venmo
To buy cryptocurrencies on Venmo, you can use your available balance in the app, your current bank account or your debit card. You cannot use a credit card or Venmo credit card to buy cryptos.
Users have a weekly cryptocurrency purchase limit. They are allowed to pay or sell a total of $20,000 weekly. Another limitation allows buying up to $50,000 for a year.
If you want to buy bitcoins with Venmo, be sure about the transaction you will make. After you have purchased the crypto, you cannot reverse the transaction. It is impossible to cancel, stop, or request a refund. You must receive the cryptocurrency and then sell it on the market to get dollars back.
What cryptos can I buy on Venmo?
The platform buys and tracks four types of cryptocurrencies: Bitcoin, Ethereum, Litecoin and Bitcoin Cash. In addition, to buy crypto with Venmo, you can set up price alerts for any of the above cryptocurrencies when any change by five to ten per cent in a day.
If you keep Bitcoin or any other crypto in a different wallet, you will not be able to transfer it to the P2P Wallet. You only have the cryptocurrencies you buy from the app, and it is impossible to send or receive them from other wallets.
Does Venmo charge a fee for buying crypto?
Yes, the fee charged by Venmo is within your transaction. It is between the market price and the US dollar exchange rate. When you buy or sell crypto assets, the platform will indicate the applicable exchange rate and the number of fees charged for the transaction.
The exchange rate usually has a difference of 0.5%. But this percentage can be higher or lower, depending on the conditions set by the market. When you create your Venmo account, you agree to pay all these transaction fees.
If you use a checking bank account or debit card to buy cryptocurrencies, your bank will charge the fees specified for that transaction, including overdraft and insufficient funds fees. Venmo is not responsible for these bank fees.
Can you use a Venmo card for crypto?
No, you cannot buy crypto assets with your Venmo credit card; transactions via Venmo credit card and a traditional bank-issued credit card are prohibited. You can buy crypto from three sources of income: your Venmo available balance, your current bank account or debit card.
Before buying a cryptocurrency on Venmo, we recommend you consider the pros and cons of making the transaction.
Advantages of buying crypto on Venmo
Buying cryptocurrencies at Venmo has many advantages. Among them, we reveal the most important ones:
- Easy to use: the P2P application itself is very simple to use. It has an intuitive system that is easy even for novices. The purchase of cryptocurrencies has the same intention, where the agility of the process is easy even for beginners
- Economic: The platform manages a super-competent price rate that allows you to buy from $1
- Minimal fees: The fee in Venmo is simple. A small commission is charged to the Bitcoin you buy or sell without paying additional fees, compared to other similar applications that request different charges for a transaction
The disadvantage of buying crypto on Venmo
The platform for buying and selling on Venmo also has some disadvantages that we are going to break down below:
- Weekly purchase limit: Although there are thousands of cryptocurrencies, on Venmo, you can buy the following four Bitcoin, Ethereum, Litecoin and Bitcoin Cash. Although Bitcoin and Ethereum are among the most widely used, there are other very popular ones to which you do not have access
- No transfers: Some wallets allow you to convert your bitcoins into any other crypto and transfer them to other wallets, but in Venmo, you cannot move them to any wallet or transfer your balance to other accounts
- Certain limited features: Payment features are limited on Venmo. Some platforms allow users to withdraw money on any medium and request cash at specific kiosks