Investors these days are flocking to buy bitcoins because the market crash earlier in March showed that bitcoins have the ability to withstand a financial crash like gold does. This is mainly because bitcoins are on the block chain platform and blockchain itself isn`t connected to any mainstream asset or financial system. For instance shares and bond market operates independently and whether it rises or crash, there is no directly correlation with bitcoins. The share market is affected by business and economic activity.
Bitcoins however are not affected directly by the share market as their value is not connected with any business activity instead bitcoins generate their own value. For this reason the demand for bitcoins is increasing and in spite of an on going financial crisis, investors are buying bitcoin because they have realized that through this financial crisis bitcoin can act as a store of value.
So the question now is, you want to buy bitcoins but don`t know how to? Well the quickest way to buy bitcoins is to buy them through a credit card or a through PayPal. Both of these methods are fast and convenient, so it is up to you to choose either one.
We`ll look into how to buy bitcoins through PayPal because it is generally more difficult to find suitable platforms where you can pay through PayPal whereas cards are accepted by every platform, so that`s easier to do.
Steps To Get Started With Buying Bitcoin Via PayPal
In order to buy bitcoins through PayPal you will first need to sign up with PayPal. Making an account with PayPal should be straight forward, however you will need to remember that PayPal is subject to government regulations and therefore if you purchase bitcoins either through a card or PayPal then you will end up losing some of your privacy when it comes to bitcoins. Your transaction trail will be picked up by the government and any illicit use of bitcoins for money laundering or prohibited activities will be tracked. Most people do not have any issue with this as they do not engage in any illegal activity.
Privacy isn`t always about illicit activities, some people simply do not want the government to snoop upon their finances even if they are completely legal. This is why bitcoin was initially hailed as a game changer but soon the industry realized that in order to allow mass adoption, the privacy has to go.
Once you have set up your account on PayPal, now you will need to look for platforms that accept PayPal as a payment option. Within this guide you can find a number of reliable exchange and marketplaces that will accept PayPal either as a funding method or purchase method: https://www.smartbitcoininvestments.com/buy-bitcoin-with-paypal/
Unfortunately not a lot of platforms at this point accept PayPal because of the chargeback issue. PayPal insures the buyers from fraud and non performance of contract by the sellers and this protection lasts up to 120 days in some cases. The issue however is that since the transactions of crypto currencies are untraceable and irreversible, the sellers lose the ability to make their own case if any buyer comes up with a claim against them. This is why most bitcoin selling and buying platforms do not use PayPal as a payment method.
There are however a few platforms that allow usage of PayPal. Coinbase allows only limited usage of PayPal. It doesn`t allow PayPal as an option to buy bitcoins but it does allow PayPal as an option to sell bitcoins and receive money in the PayPal account. Users will simply have to log into Coinbase and select PayPal as a payment option to get payments in their PayPal account.
eToro is yet another platform that allows PayPal as a payment option but the difference with eToro is that it isn`t a typical bitcoin exchange. You can purchase bitcoins but you cannot get the bitcoins to carry out transactions. Instead eToro is a bitcoin trading platform, this means that when you purchase bitcoins through your PayPal account on eToro you will be exposed to the price of bitcoin sand you will be able to trade bitcoins using the platform of eToro but you will not be able to use those bitcoins for transactions.
Local bitcoins is a peer to peer exchange, it allows users the ability to use PayPal as a payment method but the users will have to search for sellers who accept PayPal. Once you can find sellers who are willing to accept PayPal as a method of payment, then you can simply choose the amount of bitcoins you want to purchase and then finalize the transaction.
Paxful is another peer to peer platform that allows users to buy bitcoins through PayPal. You will simply need to connect your PayPal account to the site as a payment option and then once you find a suitable seller who is willing to transact through PayPal, you can choose the amount that you need to purchase.
There are other platforms too that you can search up on your own, but whatever you do please make sure that you carry out appropriate due diligence before choosing any platform. Especially if it is a peer to peer platform as the chances of a fraud on these are high. In the end buying bitcoins, should be a safe activity and the safest option is always to choose a bitcoin exchange. So if you are looking for safety take some time out to search for exchanges that allow PayPal as a method of payment, in order to ensure safety.