PayPal’s new crypto feature lets you transfer cryptocurrencies to an external wallet or exchange. To do so, you need to visit the crypto section of your PayPal account and complete ID verification.
This is a custodial service that doesn’t give you direct ownership of your cryptocurrency; rather, it holds the keys. This may be a turnoff for some users who prioritize self custody.
How to transfer BTC to PayPal?
PayPal is making it easier for its users to move their crypto between accounts. Users can now send their crypto assets to any external wallet through the PayPal app. To do so, they must navigate to the crypto section of the app and select the coin they want to transfer. Once a crypto asset is sent, the recipient must then enter the unique PayPal address into their external wallet or use the QR code. The transaction will then be completed, though the company warns that an incorrect address type could result in irreversible loss of the crypto asset.
The feature is available now and will roll out to all US PayPal users within the next few weeks. It can be accessed through the crypto portion of the app or through the desktop version of the website. In either case, the process is relatively simple. Just remember that blockchain-based transfers are final and cannot be reversed. Also, make sure you select the correct cryptocurrency for each transaction as using a different network could result in losing your crypto assets.
How to transfer BTC to an external wallet
PayPal has added the ability to transfer crypto balances between its own wallets and external ones, one of the most requested features since it launched crypto support in 2021. This is available on its new mobile app, and it’s easy enough to use.
When you open the crypto portion of the app, you’ll see a large button that says “Transfer.” Tap that and you’ll be presented with a list of all the currencies PayPal supports. Each has a separate button that looks like two arrows going in opposite directions.
Once you choose a cryptocurrency, the next step is to provide a unique wallet address that will be used for the transaction. You should always double-check the address to make sure it’s correct, as these transactions are irreversible.
You’ll also get a transaction hash that can be used to look up details on a blockchain explorer. This shows that the transfer was successfully completed, although the blockchain network may take some time to process it.
How to transfer BTC to a third-party wallet
The PayPal app now lets you transfer crypto between eligible PayPal accounts, Venmo and external wallets or exchanges. It also allows you to use crypto to pay at checkout on selected merchants.
The new feature will work on the desktop and mobile apps. You can select the cryptocurrency you want to send, then enter the recipient’s wallet address or scan a QR code. A confirmation will appear. You should always double-check that the address is correct, since crypto transfers can’t be reversed.
It’s worth noting that the PayPal crypto feature is what’s known as a custodial wallet, meaning it holds your private keys and can freeze your funds if needed. This is different from noncustodial wallets like Coinomi, which allow you to hold your own keys. Also, you’ll need to verify your identity to use the feature. That’s because PayPal wants to avoid money laundering and other illicit activities. For more details, check out this blog post.
How to transfer BTC to a bank account
Since it is not possible to store most cryptocurrencies within PayPal accounts, users looking to transfer crypto into their bank account often look to external wallets. Fortunately, PayPal now allows users to send crypto to their external wallets after completing some basic verification steps and ID verification.
To initiate a transfer, users can navigate to the crypto section of their PayPal account and select the cryptocurrency they wish to send. Once the transaction is complete, the recipient will receive a unique crypto address that can be used for the specific cryptocurrency. Users should carefully double-check the address to ensure that it is correct, as a mistyped address can result in irrecoverable losses of crypto.
Once the transfer is complete, the bitcoin network will verify and confirm the transfer. This can take several hours, and transaction fees may fluctuate depending on network congestion and user-chosen transaction fees. This is why it is important to stay up-to-date on current Bitcoin network activity and transaction fees.transfer bitcoin to paypal