4 Ways to Buy Bitcoin with Paypal In 2022

As you might be aware, most banks (and governments) don’t really approve of Bitcoins, which makes it almost impossible to purchase the cryptocurrency straight from your bank portal. Fortunately, we have a better option for you! You can now buy and sell Bitcoins anywhere, with minimal restrictions, using PayPal.

Don’t get it wrong though, you can’t directly buy Bitcoins from your PayPal account as the company doesn’t sell Bitcoins. Remember, to acquire Bitcoins, you either have to mine them, or buy them from someone who owns them. In any case, Bitcoin transactions are irreversible, which wouldn’t bode well with PayPal’s chargeback policy, as it would leave the door open for scammers and thieves. Nonetheless, there are several indirect ways of purchasing BTC via PayPal, which we will discuss in detail below.


One of the most popular platforms for trading Bitcoins is LocalBitcoins. The site operates as a marketplace or exchange but is not really an exchange. It is essentially a platform where you log in and find sellers within your locality, each of whom has their own prices and payment options as opposed to an exchange where there’s uniformity in both of these fronts. Further, after finding a seller whose terms you agree with, you have to message them with your quote, and only proceed with the transaction once they agree with your terms.

To purchase Bitcoins on LocalBitcoins using PayPal, you need to find a seller who accepts PayPal transfers. Naturally, the first step is to create a LocalBitcoins account, which typically takes a few minutes. After that, follow the steps below:

  1. Click on the Buy Bitcoins tab on the main menu. This opens the advanced seller search function.
  2. In the search box, enter the amount of bitcoin you want to buy (in terms of fiat currency), your country of residence, and select PayPal as a payment method.
  3. Click on the Search icon on the far left side of the box.
  4. A list of traders fitting your search criteria will pop up showing the trader’s username, feedback rating, the number of completed sales, and their price/BTC. If you find a specific seller’s terms favorable to you, click on the Buy tab.
  5. In the Buy dialog box, you will be able to view more details about the seller, including their PayPal account information and detailed terms of trade. You will also find a small dialog box that prompts you to enter the amount of Bitcoin you wish to buy, in terms of ordinary currency, and an optional message to the seller. Enter the required details and click Send Trade Request.
  6. Wait for the Seller to accept your trade request. If and when they accept, they will let you know their PayPal address.
  7. Proceed to make the payment, making sure to include the seller’s advertisement reference code so they can find your payment faster. Then, click on Mark Payment Complete option to let them know.
  8. Once the seller confirms receipt of your cash, they will trigger the release of the specified Bitcoins from the LocalBitcoin escrow account to yours, which can take anywhere between a few minutes to several hours.

And that’s about it!


Another popular platform for acquiring Bitcoins with PayPal is xCoins.io. However, unlike the other sites in this list, xCoins describes itself as a lending service. So, instead of linking buyers and sellers, they connect lenders and borrowers. Moreover, you are only required to pay a security deposit (proportional to the value of the BTC you receive), a fixed interest fee, as well as lending charges, which go to the site.

Here is a step-by-step guide on how to purchase BTC from this site:

  1. Register an xCoins account, which provides storage for the Bitcoins you buy.
  2. Verify Your Account by uploading ID documentation.
  3. Go to the main menu and click on Get Bitcoin. In the subsequent screen, enter the amount of USD you are willing to spend, and the equivalent amount of BTC will automatically be calculated. As mentioned earlier, the fixed interest amount, plus PayPal processing fees will also be charged on your account, depending on how much you wish to transact.
  4. Make a payment, encompassing all the above amounts, to the lender’s PayPal address as given.
  5. The xCoins system will then take the specified BTC amount from the lenders account and into a holding account awaiting confirmation of payment.
  6. Once you confirm the payment on PayPal, the crypto will be transferred to your wallet.

While dealing with xCoins, which is not an orthodox exchange, you need to keep in mind two things. One, the value of Bitcoins you are loaned is denominated in USD, and the amount of Bitcoin you eventually repay may be higher, or lower depending on the fluctuation of the US dollar.

Secondly, you don’t really have to repay the Bitcoin you “borrow” from the site. The lender will just keep your security deposit if you fail to repay. As such, if you find the right deal, you can make it “permanent” by exploiting that loophole.


This platform is similar to LocalBitcoins in terms of functionality but has a more user-friendly interface. It also has an escrow system that ensures Bitcoins are transferred to your wallet as soon as your PayPal payment is processed. Now, to purchase Bitcoins from Paxful, you obviously need to have a verified PayPal address and also open a Paxful account. Then, follow the steps below:

  • Select the Buy Bitcoin option in the account dashboard to bring up more options.
  • In the Buy Bitcoin dialog box, go to the Buy Bitcoin With tab and click on ‘show all.’ A list of popular payment options will appear.
  • Once you click on the PayPal option, the site will automatically bring up all vendors in your country accepting payments through the platform. Browse through the list and once you find a seller with favorable terms, click on the Buy tab on the right of the screen.
  • In the consequent screen, you will be prompted to enter the amount of cash you wish to pay via PayPal and the number of Bitcoins you will get will be calculated automatically.
  • Click on the Buy Bitcoin button after completing the above step.
  • After sending the trade request, you will be able to chat with the seller privately to negotiate terms and get to know their PayPal details. Meanwhile, the Bitcoin amount you intend to buy will be deducted from their wallet and into the Paxful escrow account.
  • Next, open your PayPal portal and make the agreed payment to the seller’s address. A confirmation message will be sent to your email to confirm the transaction. Keep it safe in case you need it to prove the payment.
  • Wait for the seller to confirm the payment. If they take too long, message them to enquire if there’s any issue.
  • As soon as the seller confirms receipt of your PayPal payment, they will complete the transaction on their end and the escrow will credit the agreed Bitcoins to your account.


One of the easiest, and fastest ways to buy Bitcoins is via the eToro platform. However, you can’t transfer the Bitcoins you buy to your personal wallet. This is because, unlike LocalBitcoins or Paxful, eToro is not a buyer’s market, but a speculator’s exchange. In simple terms, people buy Bitcoins from this site hoping to sell them in the future for a profit as opposed to owning them.

With that being said, the process of buying BTC from eToro via PayPal is pretty straightforward and involves transferring cash from your PayPal to your eToro account. To do this, first, open an eToro account by selecting ‘Sign Up’ on the main menu. You will then be asked to fund your account, which you can do by entering the amount you want to deposit and selecting PayPal from among the payment options. Then, go to your PayPal account and okay the transfer to effect it.

When the deposit is complete, you can now purchase BTC. For this, navigate to the Watchlist menu, which is among the menu options on the left-hand side of the screen, and you will see a list of currencies and derivatives on sale. In the filter function, select ‘Crypto’ and choose ‘BTC’ from the drop-down list. You will get to see the buying and selling prices for the cryptocurrency, and you can choose to enter a trade by choosing a position, which is essentially based on how you think the price of BTC will rise or fall within a specific timeframe.

Conclusion: So, which is the best site?

In summary, there’s no simple way of buying Bitcoins via PayPal, unless you are into speculation. However, if you are interested in acquiring some crypto coins, a little bit of patience won’t hurt. While some of the above-listed sites don’t necessarily offer the best terms, they are all legit and functional.

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