Unfortunately, you can't buy Bitcoin with PayPal in Canada, but it is possible to do so if you're in the United States. However, there are a few drawbacks to consider before taking this approach: higher fees, exchange markups, and the restricted number of supported cryptocurrencies are all problems that are present when buying crypto with PayPal.
Taking everything into account, it's a good idea to look at other alternatives, such as buying Bitcoin with a credit card or using a cryptocurrency exchange like Kraken. Kraken is our top choice for purchasing Bitcoin because of its safety, simplicity, and the fact it has some of the lowest fees out of all crypto exchange options in Canada.
Can I Buy Bitcoin With PayPal In Canada?
No. Buying, selling and holding Bitcoin and other cryptocurrencies on PayPal is presently only available in the US and US territories (excluding Hawaii). All transactions must be completed in USD as well.
However, it's worth pointing out that PayPal intends to bring this feature to people outside of the United States soon.
How To Buy Bitcoin With PayPal In The U.S.
Here are the steps you need to follow to buy cryptocurrency with PayPal, which can only be done through a US PayPal account. You may do so by using the PayPal app or going online after you've logged in:
- Go to the cryptocurrency section of your account, which can be found on the homepage. You may also go to paypal.com/myaccount/crypto/ to get there.
- Choose the crypto token you want to buy.
- Click buy. Be aware that you'll need to confirm your PayPal account if this is your first crypto purchase.
- Choose the number of crypto tokens you'll buy and the payment method. Buying cryptocurrencies is typically done using your balance from bank accounts, debit/credit cards, or your PayPal account.
- Review all the details of your purchase and then click Buy Now to finish the process.
You'll be able to see your complete balances in your PayPal account once you've purchased cryptocurrency with it. Also, because PayPal keeps your crypto for you, you won't have control over your private keys, so you might need to use a different method to buy crypto if this doesn't bode well with you.
How To Sell Crypto With PayPal In The U.S.
Because PayPal doesn't allow you to import or export cryptocurrency private keys as you would with a hardware wallet, only cryptocurrencies bought through PayPal may be sold.
To sell cryptocurrency through PayPal, you only need to follow these steps:
- Go to the cryptocurrency section of your account, which can be found on the homepage and has names such as “Curious about crypto?”, “Learn more about crypto”, and “Buy Bitcoin and more”. You can also find this page by visiting paypal.com/myaccount/crypto/.
- Choose the crypto token you wish to sell.
- Click the “Sell” button. Be aware that you’ll need to confirm some tax information if this is your first crypto sale.
- Choose the number of crypto tokens you wish to sell. (Remember that you can only sell crypto tokens that you've bought through PayPal).
- Thoroughly check the transaction details and click the “Sell Now” button to complete the process.
PayPal Crypto Fees
These are the transaction fees you can expect to incur whenever you buy or sell crypto with PayPal:
| Buy/Sell Amount (USD) | Fee (USD) |
| $1 – $24.99 | $0.50 |
| $25 – $100 | 2.30% |
| $100.01 – $200 | 2% |
| $200.01 – $1,000 | 1.80% |
| Over $1000 | 1.50% |
You may sometimes save money by buying a little more cryptocurrency through PayPal. Buying $200 in cryptocurrency, for example, costs less than purchasing $199 worth of crypto. So, if possible, make one larger purchase rather than many smaller ones to save money on fees.
What Cryptocurrencies Does PayPal Support?
Currently, PayPal only supports 4 cryptocurrencies, which are Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC). This is quite a limited selection when compared to other exchanges and services that support dozens or even hundreds of cryptocurrencies, but PayPal does plan to add more cryptocurrencies in the future.
Pros & Cons Of Buying Crypto With PayPal
| Pros | Cons |
| Intuitive: PayPal allows you to buy cryptocurrencies through its app or through the website in as little as a few clicks. | Higher fees: You'll be charged a fee for each purchase you make, and these fees are frequently higher than those you would expect from a cryptocurrency exchange. |
| Allows you to track your portfolio: PayPal also allows you to visualize your current crypto portfolio, as well as its total worth. | Not your keys, not your coins: PayPal does not provide access to your cryptocurrency keys, so you won't be able to store your crypto tokens in an external wallet. |
| A wide array of payment options: You can buy crypto through PayPal by using your debit card, your bank account, or using your PayPal account balance. | Limited cryptocurrency support: To date, PayPal only supports 4 tokens, which are Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC). |
| Lightning-fast transactions: You can buy and sell crypto through PayPal instantaneously. | Exchange markups: Conversion rates will apply to your purchase, so you'll be buying and selling cryptocurrencies at a small price disadvantage. |
| Not available in Canada: Despite the fact that PayPal plans to expand this service outside of the US in the future, it's not yet accessible for Canadian accounts as of this time. |
Alternatives To Buying Crypto With PayPal
Considering that using PayPal to buy cryptocurrency has plenty of disadvantages, you might want to explore other options to buy, sell, and trade cryptocurrencies.
One popular alternative is to buy Bitcoin with a credit card through a service like Coinbase or Bitpanda. These services offer the same ease of use as PayPal and don’t have the same limitations in terms of payment methods, supported countries or cryptocurrencies. However, they do come with their own set of disadvantages, such as higher fees, longer wait times for transactions to be processed, and the need to go through a verification process before you can buy crypto.
Another option is to use a cryptocurrency exchange. These platforms allow you to buy and sell a wide range of cryptocurrencies, often with lower fees than what you’d pay with PayPal.
Top 3 Crypto Exchanges To Buy Bitcoin In Canada
Here are our top picks for the best cryptocurrency exchanges to buy Bitcoin in Canada:
1. Kraken – Best In Canada & Lowest Fees
Best In Canada
|
Total Fees: ~0.16% |
★★★★★ Rated 4.9/5 |
Based in the U.S. and regulated by FINTRAC in Canada, Kraken is undoubtedly the best crypto exchange in Canada. Founded in San Francisco back in 2011, Kraken outperforms the smaller Canadian crypto exchanges due to its significantly lower fees, better customer support, and superior overall trading experience.
For starters, Kraken's fees are far lower than any Canadian exchange, with most users paying 0.16% per transaction (fees decrease down to 0% if you trade high volumes). Kraken's spreads are also absurdly low, typically around $0.10 per Bitcoin, which is 0.0003%. Compare that with the other Canadian exchanges—which routinely charge up to 2% in commissions plus an additional 2% or more in spreads—and it's easy to see why Kraken is such a popular exchange.
Kraken also has better customer support than any other Canadian exchange, and is the only exchange in Canada offering telephone support (available in English, French and Spanish). It supports 100+ cryptocurrencies and has a world-class trading platform and mobile app that's powerful yet easy to use.
If that wasn't enough, Kraken's trading platform is far more professional and robust than its Canadian peers, offering features like NFT trading, staking and support for a wide range of fiat currencies including CAD, USD, EUR, and more.
Overall, Kraken is the best fit for most Canadian crypto investors because it has lower fees, better support and a better trading platform overall. If you're looking to start trading crypto in Canada, we strongly recommend Kraken.
Features
- Extremely low trading commissions (0.16%)
- Extremely low spreads (0.0003%)
- Trade 100+ cryptocurrencies
- Stake 100+ cryptocurrencies
- Simple, intuitive user interface
- Kraken Crypto Watch allows you to keep track of the crypto market
- NFT trading inside the Kraken app
- 24/7 customer support via phone, email and live chat
- Plenty of free educational resources available to users
- 95% cold storage policy
- Regulated by FINTRAC
Cost
- Trading Fees: 0.16% (spot trades cost 0.26%)
- Spreads: 0.0003%
- Fiat Deposit Fee: 0%
- Fiat Withdrawal Fee: $10 CAD
Best For
Canadian cryptocurrency investors looking to trade with the industry's lowest fees.
2. Bitbuy – $50 Signup Bonus
Strong Security
|
Trading fees: 2% (High) |
★★★★ Rated 4.2/5 |
Bitbuy is a decent backup option for Canadians in need of a crypto exchange.
Bitbuy user accounts are verified instantly, but its customer support has degraded over time, and trading fees are quite high at 2%, more than 10x that of Kraken.
To date, Bitbuy has processed more than $4 billion in trades across its 450,000+ Canadian users. It's a Registered Marketplace and Investment Dealer as recognized by the Ontario Securities Commission (OSC), which means it's a highly safe and secure exchange that offers deep liquidity on all order sizes.
I've personally used Bitbuy for over a year, so I've seen them change their platform over time. For example, Bitbuy recently removed its fees on deposits, making the overall trading experience less expensive for users. However, they increased their trading fees to 2% around the same time, negating most or all of those cost savings.
For a limited time, Bitbuy is offering a $50 bonus to Yore Oyster readers who fund their account with $250 or more. If you’re looking for a highly-respected exchange that offers great customer service and a slick mobile app, open a Bitbuy account today.
Features
- Easy to use for both beginners and more advanced traders
- Supports 25+ cryptocurrencies
- Customer support via live chat and email
- Powerful mobile app (rated 4.6/5 on the App Store)
- 99% cold storage policy keeps your crypto extra secure
Cost
- Account Opening: Free
- Trading Fees: 2%
- INTERAC Deposits: Free
- INTERAC Withdrawals: 1.5%
- Bank Wire Deposit: Free
- Bank Wire Withdrawal: 1.5%
- Credit Card Transactions: 6.25%
Signup Bonus
$50 bonus when you deposit $250 using the link below
Best For
Investors looking for a smooth trading experience (though be aware of high fees).
There are other popular options for Canadians, like Shakepay, Newton and Wealthsimple Crypto, but those are either too expensive, they have bad customer service or both.
In Summary
Sadly, you can't use PayPal to buy Bitcoin in Canada, but you can use it to buy Bitcoin if you're in the U.S. However, keep in mind that there are a few disadvantages that you should be aware of before using this method: higher fees, exchange markups and the limited number of supported cryptocurrencies are all potential drawbacks to using PayPal to buy crypto.
Taking this into consideration, it's a good idea to explore other options like buying Bitcoin with a credit card or using a cryptocurrency exchange like Kraken instead. Because of its security, ease of use, and the fact it has some of the lowest trading fees in Canada, Kraken is our top pick for buying Bitcoin.
Buy Bitcoin With PayPal In Canada FAQs
Do I Need Another Account To Buy Crypto With PayPal?
No, everything you'll need is already in your PayPal account. Once you've accepted the crypto terms and conditions, the platform will make sure your account information is up to date before allowing you to buy and sell cryptocurrencies.
Do I Need To Sign Up For Anything To Buy Bitcoin With PayPal?
All you have to do for personal PayPal accounts is verify some account information when you first make a purchase. You can apply for a personal PayPal account when buying crypto if you don't already have one.
Can I Use Cryptocurrencies To Pay Or Send Money On PayPal?
As of this writing, you cannot use cryptocurrency to pay or send money on PayPal.
Can I Transfer Crypto In And Out Of My PayPal Account?
You may purchase bitcoin on PayPal and keep it in your account, as of now. Furthermore, the cryptocurrency in your PayPal account cannot be transferred to or used on other platforms.
