![]() PayPal and Square, both publicly traded companies, didn't provide comment for this story because they were about to release their quarterly earnings reports, which legally bars them from talking to the media.Ĭryptocurrency has expanded in popularity over the last decade. (Square is run by Jack Dorsey, another cryptocurrency promoter and the chief executive of Twitter.) Cash App, owned by Square, supports only Bitcoin, the biggest and most widely known cryptocurrency. Venmo and its parent PayPal, which was co-founded by crypto enthusiast Elon Musk, offer Bitcoin, Ether and other forms of cryptocurrency. "It's a great training wheels experience," said David Siemer, CEO of Wave Financial, an asset management firm that focuses on cryptocurrency. (A new Bitcoin-linked ETF that started trading last month will also help expand acceptance of digital money, analysts say.) And unlike exchanges, which let you move crypto, PayPal and Venmo hang on to it unless you want to sell it through the same app.ĭespite their limitations, the availability of cryptocurrency on payment apps may help the public get comfortable with financial assets that've been cloaked in esoteric math and that are popularly associated with illegal online activities. Venmo, PayPal and Cash App lock you into a transaction fee that might be cheaper if you comparison-shopped at more than one exchange. The convenience of buying cryptocurrency on payment apps, however, comes with trade-offs. The payment apps also remove the need to understand digital wallets, a subfield of crypto that can quickly become its own research topic. The apps also bring familiarity to buying cryptocurrency, a process that can present a psychological hurdle for some potential investors because exchanges require separate accounts and often have complex registration and transaction processes. The services are so widespread that even President Joe Biden reportedly uses Venmo to send gifts to his grandchildren. The apps are also meant to be fun, with some featuring emojis and digital stickers decorating transaction notes. ![]() Payment apps are popular because they make it simple for people to shop online using their phones or split checks with friends. That convenience, however, comes at a cost that can eat away at returns. Venmo, PayPal and Cash App have added cryptocurrency purchasing to their popular payment services, expanding the reach of Bitcoin, Ether and other digital money to investors who may be daunted by jargony exchanges and a multitude of digital wallets. Touch ID, PIN codes and security questions are used to protect the mobile app, and although safe, there have been many complaints of account restrictions during login attemptsIf you find cryptocurrency intimidating, payment apps want to help.
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