How to Buy Bitcoin on Cash App

To buy Bitcoin (BTC) with Cash App you just have to log in, fund your account, accessing the investing solution, and buy Bitcoin right away

Recently (at the time of writing) Bitcoin's price has been rising, making it a hot topic for investors. But how do you get your hands on some? While traditional investment platforms might seem intimidating, the Cash App offers a surprisingly easy way to buy Bitcoin right from your phone. Cash App is a popular mobile payment service that lets you send and receive money with friends, pay bills, and even invest in stocks. But did you know you can also use it to buy Bitcoin? 

This guide will walk you through the step-by-step process of buying Bitcoin through Cash App, making it easier to jump into the exciting world of cryptocurrency. Whether you're a seasoned investor or just curious about Bitcoin, this guide will equip you with the knowledge to get started quickly and securely.

How to Buy Bitcoin on Cash App in 8 Steps

To buy Bitcoin on Cash App, follow these steps:

• Launch Cash App and Log In: Open the Cash App on your mobile device and log in to your account using your credentials.
• Arrange Funds: Make sure your Cash App account has enough funds to purchase BTC. You can add money to your account using your linked debit or credit card or by receiving direct deposits.
• Access the Investing Section: Tap on the “Investing” section located at the bottom of the screen. This will take you to the investment options available on Cash App.
• Select “Buy Bitcoin”: Look for the “Buy Bitcoin” option and tap on it to buy Bitcoin.
• Enter the Buy Amount: Enter the amount of Bitcoin you wish to buy or use the slider to select a specific amount. You can adjust the amount based on your investment preferences.
• Enter Your PIN: Input your Cash App PIN to verify the transaction. This step ensures the security of your purchase and confirms your identity.
• Review Transaction Details: Check the transaction details, including the current price of Bitcoin and any applicable fees. Ensure that all the information is accurate before proceeding.
• Confirm the Purchase: Tap the “Buy” button to confirm your instant Bitcoin purchase. This action finalizes the transaction and completes the process of buying Bitcoin on the Cash App.

How to Buy Bitcoin on Cash App With Auto Invest

Cash App's Auto Invest feature makes it easy for users to regularly buy Bitcoin without having to do it manually. With this feature, you can set up automatic purchases of Bitcoin, so you gradually add to your Bitcoin stash over time.

Here's how to use Auto Invest on Cash App:

• Open the “Bitcoin Investing” section in Cash App and tap “Buy.”
• Choose “Auto Invest” from the drop-down menu labeled “Change Order Type.”
• Pick how often you want to buy Bitcoin automatically - daily, weekly, or every two weeks - and tap “Done.”
• Decide on the amount you want to invest each time. You can select a preset amount or customize it by tapping the “ …” icon. Just remember, there's a $10 minimum for Auto Invest purchases.
• Review the details of your automatic investment, then tap “Next.”
• Confirm your selection to activate the Auto Invest feature and start your scheduled Bitcoin purchases.

With Auto Invest, Cash App users can steadily grow their Bitcoin holdings without worrying about remembering to buy Bitcoin manually. This feature also helps to spread out your purchases over time, which can help reduce the impact of sudden changes in Bitcoin's price.

How to Buy Bitcoin on Cash App With Custom Orders

To buy Bitcoin on Cash App using Custom Orders, here's a step-by-step guide:

• Open the Bitcoin Tab: Start by tapping the Bitcoin tab on your Cash App home screen to access the Bitcoin investment options.
• Select “Buy BTC”: Tap on “Buy BTC” to begin the purchase process.
• Choose a Custom Amount: Decide on the amount of Bitcoin you want to buy. You can select a preset amount or tap the “ …” icon to enter a custom amount that suits your preferences.
• Enter Your PIN and Confirm: Input your Cash App PIN and then confirm the transaction to verify your purchase.
• Create a Custom Order: Cash App offers various Order Types for Bitcoin transactions, including Custom Orders. These orders allow you to automatically buy or sell Bitcoin at a specific price of your choosing.
• Schedule a Custom Order: With Custom Orders, you can schedule transactions to buy or sell Bitcoin at a predetermined price. This feature helps you manage your investments by setting specific transaction price points.
• Set Up Auto Invest: Cash App also provides an Auto Invest feature, enabling you to schedule recurring Bitcoin purchases. This feature automates your investments, ensuring you consistently invest in Bitcoin without manual intervention.

Cash App Fees for Buying Bitcoin

Cash App applies two types of fees when you buy Bitcoin:

Bitcoin Exchange Fees

Cash App might charge a small fee when you buy or sell bitcoin. If there's a fee, you'll see it on the screen before you end the trade. They also use an exchange rate to price bitcoin buys and sells on our platform. This rate may include a spread, which can be between 0% and 1%, depending on market conditions.

They work with various trusted third parties at Cash App to provide Bitcoin liquidity. Sometimes, they add a spread to the exchange rate to help reduce price swings and keep our service running smoothly.

This spread isn't added to the exchange rate for Paid Bitcoin orders or other types of orders like auto-invest, roundups, and custom orders (when you set up your account to buy Bitcoin at a certain price).

Bitcoin Withdrawal Fees

When you move Bitcoin from Cash App to another wallet, you can pick how fast you want it to go: Standard, Rush, or Priority.

The withdrawal fees depend on the speed you choose when you make the transfer. 

Here's how it works:

• Priority: 10 minutes or less. You pay a fee based on how much you're withdrawing, plus up to $3 extra.
• Rush: two hours or less. You pay a fee based on your withdrawal amount, plus up to $2 extra.
• Standard: Usually takes 24 hours or less, and it's free.

If Cash App charges a fee, you'll see it on the screen before you finish the withdrawal.

Apart from the service fee, Cash App adds an extra fee based on how much the price of Bitcoin changes across different exchanges in the US. This fee considers the fluctuations in Bitcoin's price during the transaction.

Compared to other trading platforms, Cash App's fees might be a bit higher. However, some users might find Cash App's easy-to-use platform and convenience worth the slightly higher fees.

Who Can Buy Bitcoin With Cash App?

To buy Bitcoin using Cash App, there are some things you need to do, as mentioned:

Eligibility Requirements

• You must be in the United States to buy Bitcoin with Cash App.
• Following anti-money laundering (AML) and know-your-customer (KYC) rules is necessary for purchasing virtual currency on Cash App.
• You have to verify your identity by giving personal details like your phone number, email, name, and a special username called a $Cashtag.
• Linking your bank account or debit card to your Cash App account is needed to buy Bitcoin.
• You'll need to finish the verification process, which might involve providing more information such as your income & job status and scanning a government-issued ID or license to confirm who you are.
• It might take up to 48 hours for verification, and you'll see a “Verification in progress” status during this time.

Is Buying Bitcoin on Cash App Safe

Buying Bitcoin on Cash App is generally considered safe because the platform has robust features in place to safeguard your transactions and personal information. These include encryption and fraud protection measures that work to keep your data secure. Additionally, you can enhance the security of your account by enabling features like biometric verification, such as Touch ID or Face ID, and setting up strong PINs.

However, exercising caution and adhering to safety guidelines is still crucial when purchasing Bitcoin on Cash App. 

Firstly, make sure to use the security features available to protect your account, such as enabling biometric verification and setting up strong PINs. Be vigilant against potential scams and fraudulent activities targeting Cash App users, and avoid sharing sensitive information with nontrusted sources.

Before finalizing any Bitcoin transactions on the Cash App, take the time to carefully review and verify the details to ensure their accuracy and legitimacy. It's advisable only to conduct Bitcoin transactions on Cash App when connected to secure Wi-Fi networks or using trusted data services to minimize the risk of unauthorized access to your information.

Consider transferring your purchased Bitcoin to a secure wallet for long-term storage rather than leaving it on Cash App. This practice reduces the likelihood of encountering issues with your Cash App account that could affect your Bitcoin holdings.

Drawbacks to Buying Bitcoin via Cash App

Buying Bitcoin through Cash App has its limitations and drawbacks, which users should be aware of: 

• Limited Cryptocurrency Options: Cash App exclusively supports Bitcoin purchases, lacking options for other cryptocurrencies. For example, you can't buy Ethereum (ETH), Cardano (ADA), Solana (SOL), Polkadot (DOT) and USD Coin (USDC). This constraint may disappoint users seeking to diversify their crypto investments beyond Bitcoin.
• Lack of Investment Variety: Unlike conventional brokers or specialized crypto exchanges like Coinbase, eToro, and Gemini, Cash App's investment offerings are limited. Users may find their ability to explore a wide range of digital assets constrained.
• Insurance Coverage: Funds held in Cash App's Bitcoin and investment balances are not insured by federal deposit insurance schemes like the FDIC or FSCS. While some investment balances may have coverage from the SIPC under specific circumstances, this lack of comprehensive insurance coverage poses a risk to users' funds.
• Security Concerns: While Cash App implements security measures to safeguard users' transactions and personal data, its security level may not match that of traditional banks. Users should remain cautious of potential cryptocurrency-related scams and take steps to safeguard their account information.
• Limited Withdrawal Options: While users can withdraw Bitcoin from the Cash App at any time, minimum withdrawal thresholds and varying withdrawal speeds may affect the user experience. Users need to understand these limitations when managing their Bitcoin holdings on the platform.

Concluding Some Simple Steps to Buy Bitcoin on Cash App

In conclusion, buying Bitcoin on Cash App offers a convenient and user-friendly way for individuals to enter the world of cryptocurrency investing. By following the steps outlined in this guide, users can easily purchase Bitcoin, set up recurring purchases, or create custom orders tailored to their investment preferences. While Cash App provides encryption, fraud protection, and security features to safeguard transactions, users should remain vigilant against potential scams and ensure they understand the platform's limitations, such as the lack of insurance coverage for funds and limited cryptocurrency options. By staying informed and taking necessary precautions, users can navigate the process of buying Bitcoin on Cash App with confidence and begin their journey into the exciting realm of digital assets.