Exchanges

How to buy Crypto or Bitcoin with Paypal

Quick-Take: The best and easiest way to purchase Bitcoin and other cryptocurrencies with a PayPal account in Australia is with eToro. They offer instant PayPal deposits and zero trading fees for over 50 cryptocurrencies, as well as stocks, commodities and ETFs.

By 
Timothy Wilson
 on  
May 27, 2022
Verified Author

PayPal has enables cryptocurrency buying and selling services in the United Kingdom and select parts of Europe, but not yet in Australia. 

However, you can still deposit AUD from your PayPal account into an exchange to buy Crypto. This is a cheaper option than going through PayPal even if you are in the UK, because they charge very high fees.

Table of Contents

Can I buy Bitcoin & Crypto with PayPal in Australia?

PayPal has become one of the most popular deposit methods for Australian investors to buy Bitcoin and other cryptocurrencies like Ethereum. In saying that, eToro is one of the only exchanges in Australia that offer Paypal as a deposit method.

This means that Australian investors who wish to deposit via PayPal will need to use a platform like eToro that offers instant and free AUD deposits when depositing via Paypal.

Do other Cryptocurrency exchanges offer PayPal?

Unfortunately eToro is one of the very few cryptocurrency exchanges to offer Paypal as a deposit method. This is because of the increased AML/KYC and fraudulent deposit risks that come with a platform like Paypal. Unlike normal banking institutions, it is a lot easier for money laundering or terrorism financing to occur through a PayPal account thanks to the lower barriers to entry.

However, a global exchange like eToro has sufficient risk management policies thanks to their size to prevent such risks from infiltrating their platform. This makes eToro the preferred option for investors to use when depositing via Paypal.

How to deposit AUD with PayPal on eToro

Before jumping into the steps on how to deposit via Paypal, it's important to note that eToro does not allow first time deposits via Paypal. Meaning that you will need to deposit funds first via another deposit method such as Bank Transfer or Credit/Debit card. After you have made your first deposit, you will be able to access the Paypal deposit method.

Follow the guide below to get started and start investing in Bitcoin and other cryptocurrencies on eToro.

  1. Sign up to the eToro Australia exchange
  2. Complete your verification and KYC
  3. Go to the home page and click 'Deposit Funds'
  4. Select PayPal as the payment method
  5. Enter the amount of AUD you want to Deposit and select 'Continue'
  6. Buy any cryptocurrency with your newly funded account

Deposit Methods - eToro
eToro Deposit Methods

PayPal Cryptocurrency fees

eToro do not currently charge any fees for their users to deposit Australian Dollars onto their platform via PayPal. However, if you are converting US Dollars to Australian Dollars to deposit onto the platform, PayPal will charge you a foreign exchange fee of 0.5%. If you are depositing Australian Dollars from Paypal to eToro you will not incur any fees.

Should I use PayPals platform to buy Crypto?

We recommend to avoid using the PayPal native exchange to buy digital assets like Bitcoin, Ethereum and Dogecoin. This is due to the fact they charge a flat fee of 1.5% to buy cryptocurrencies on their platform. However, eToro charges zero fees for trades on their platform, as well as zero fees to deposit Australian Dollars.

This makes eToro significantly more affordable to invest in crypto if you cannot afford high fees, or prefer to avoid them.

For a full comprehensive review of eToro, please visit our eToro Australia Review page.

Buy Crypto or Bitcoin with PayPal

Author Bio

Timothy Wilson was a former Prop Trader for a notable crypto trading fund based in Hong-Kong. He built BCA after deciding he wanted to focus his career on educating new users about Crypto and DeFi.

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