Buy Cryptocurrency with PayPal / Buy Bitcoin with PayPal / Best Way to Buy Bitcoin Safely Without a Credit Card or PayPal
Do not store your private keys – the keys needed to access your coins and/or tokens – on a local machine (e.g. your computer). In addition, do not trust third parties (e.g. crypto exchanges) with your private keys – just like you would not trust a third party with the pin number of your debit card. The safest and most convenient storage option in our experience is to use a Trezor wallet.
Best Way to Buy Bitcoin (BTC) Safely Without a Credit Card or PayPal
If you don’t wish to use PayPal or a credit card to buy and sell Bitcoins, then we strongly recommend you make use of LocalBitcoins.com
You will get the best rates and it is the fastest and cheapest way to get money into your bank account (or vice versa, Bitcoins into your BTC wallet).
The golden rule with LocalBitcoins.com is to always make sure that the buyer pays via ETF and to check your bank account for cleared funds before releasing the BTC out of escrow. Don’t go on proof of payment alone or you will get burned.
If you want to buy Bitcoins via LocalBitcoins.com, never offer to pay in cash or to meet strangers you don’t know in person! It is best if you’re serious about your personal safety and that of your loved ones.
Best Way to Buy Bitcoin or Other Cryptocurrencies Safely With a Credit Card
Despite the higher fees attached to buying cryptocurrency or Bitcoins with PayPal, it is a relatively safe and convenient means to use if you wish to pay with a credit card.
In addition to the high costs associated with such transactions and/or PayPal transactions, transaction and/or deposit limits can fast become a reality when payment is made via PayPal.
One can of course choose to see these limits in either a positive or negative light.
It is positive in the sense that it can limit one’s spending or help one to keep within one’s budget. However, it can be seen as negative when it limits one’s ability to fully utilize money or credit at a specific point in time.
Due to its changing nature, we don’t intend to list the specific fees and Terms & Conditions associated with each option.
Here are options to buy cryptocurrency with PayPal (or a credit card) that we deem safe based on personal, long-term experience:
1. Create an account at VirWorx.
2. Deposit USD via PayPal into your VirWorx account. We recommend a $100 minimum (see below in the comments section).
3. Convert the USD to SLL (Linden Dollars) and then convert the SLL to BTC (Bitcoin). The BTC can now be withdrawn to your Bitcoin wallet.
Alternatively, if you wish to convert it into other cryptocurrency, you might want to continue following the steps below…
4. Now transfer the BTC to the cryptocurrency exchange of your choice, preferably to a decentralized exchange such as EtherDelta. As a last resort, the centralized crypto exchanges we recommend include: Kraken, CEX.IO and Bittrex. Gemini is an excellent choice for folks in the States who wish to transact in BTC in a hassle-free manner, especially when it comes to converting BTC to USD and transferring the proceeds into a US-based bank account. Understand that you deal with these exchanges at your own risk. Do not store your cryptos on any of them – use a Trezor wallet for storage.
Avoid Poloniex like the plague itself. This is why!
Extremely Important: Do not store your private keys – the keys needed to access your coins and/or tokens – on a local machine (e.g. your computer). Do not trust third parties (e.g. crypto exchanges) with your private keys. The safest and most convenient storage option in our experience is to use a Trezor wallet.
5. Now you can exchange the BTC for the cryptocurrency or token of your choice.
6. After the exchange, you have the option to keep your cryptocurrency at the exchange or to withdraw or transfer it into your local cryptocurrency wallet(s).
We recommend keeping only a tiny portion at an exchange at any given time. You want to trade and get your funds out as soon as possible. This is due to the risk of theft or fraud, but it is entirely up to you.
If you have never heard of Mt. Gox or Cryptsy, be sure to google it. It is better to be safe than sorry.
Want to Cash Out?
When you wish to cash out, you just do the above process in reverse (except where the registration of accounts is involved). However, it can be an expensive exercise.
We recommend using LocalBitcoins.com when you wish to convert your BTC into fiat. You will get the best rates and it is the fastest and cheapest way to get money into your bank account.
The golden rule with LocalBitcoins.com is to always make sure that the buyer pays via ETF and to check your bank account for cleared funds before releasing the BTC out of escrow. Don’t go on proof of payment alone or you will get burned!
You also have the option to buy cryptocurrency or Bitcoins directly at online market places such as eBay with PayPal.
However, expect on average to heavily overpay in terms of the price you pay per unit (compared to prices elsewhere in the market, especially at the crypto exchanges).
Due Diligence, Education and Experience go a long way in the Crypto World!