Bitcoin is a revolutionary digital asset that lets you transfer value between any person with access to the internet in the world. It's the first digital currency that exists outside the control of any government or corporation. Bitcoin represents total monetary freedom, a prime characteristic of money in this modern world.
Up until recently, it was cumbersome to purchase Bitcoin, took significant time and with high fees. I remember when I bought my first Bitcoin using Coinbase. First I had to wait a week for an ACH transfer to clear to fund my account. Then I had to pay 4% fees to purchase Bitcoin. On top of all of this, Coinbase restricted my account as a new user for two weeks.
All in all it took 3 weeks for me to be able to withdrawal my funds from Coinbase into my Ledger hardware wallet. This is an insane amount of time to have to wait to be able to access my money.
Now, with Cash App you can purchase Bitcoin within a couple of seconds and withdraw it to a non-custodial wallet for which you control the private keys. Fees for all Bitcoin purchases are 1.75%, some of the lowest in the market.
Jack Dorsey, CEO of Square Inc. who developed Cash App, has made it clear that he is committed to Bitcoin and its growing adoption. Jack has publicly said that Bitcoin will play an ever growing part of CashApps infrastructure in the future.
This article will walk you through the steps on how to purchase Bitcoin with CashApp and then transfer it to a non-custodial wallet which you control. Remember, the money and Bitcoin you keep on Cash App is fully under their control! If you leave your Bitcoin on the app, it can be suspended or seized. This is why I recommend that you transfer your Bitcoin to a Ledger or Trezor hardware wallet immediately after you purchase it.
For this guide, you need to have completed the initial setup and registration. You also must have connected your bank account to your Cash App account to load dollars to purchase your Bitcoin.
When you first log into CashApp, a green payment screen will appear. If you want to send money to your friends and family, this is the screen to do so.
Cash App recently updated their layout and added the ability to purchase stock and without fees. This feature was merged with buying Bitcoin. To access this screen, tap on the rising curved line in the bottom menu. The screen is named investing and gives two tabs to switch between buying stocks and Bitcoin.
Tap on Bitcoin at the top to bring up your Bitcoin holdings. From here, tap the Buy button and choose the amount of Bitcoin you want to purchase. To purchase a custom amount, tap the three dots in the lower right hand corner. Enter the amount you want to buy and then press next.
A confirmation screen will appear with the full details of the transaction. The funding source, amount of Bitcoin to be purchased, exchange rate and fees will be shown. Fees are 1.75% when using Cash App, but they can vary as per the website:
Cash App charges two kinds of fees for bitcoin transactions: a service fee for each transaction and, depending on market activity, an additional fee determined by price volatility across U.S. exchanges.
Currently, Cash App allows you to purchase up to 10,000 worth of Bitcoin a week. You can withdrawal up to $2,000 of Bitcoin a day or $5,000 a week. You CashApp wallet can receive up to $10,000 a week in deposits.
If the transaction is correct, tap confirm. Congratulations, you have just purchase Bitcoin using CashApp! Now you will need to withdrawal it to a non-custodial wallet that you control the private keys.
No that you have purchased your Bitcoin, the next step is to move it to a wallet that you control. CashApp's Bitcoin wallet is custodial, meaning that you do not control the private keys for it.
If Cash App suspends your account, you will lose access to you Bitcoin. This is why you need to move your Bitcoin as soon as possible to a non-custodial wallet.
I personally use and recommend a Ledger Nano X. It's a bluetooth enabled next-generation hardware wallet that supports 1000's of coins and tokens. It is super secure and you can be sure that nothing will ever happen to your Bitcoin if its stored on a Ledger Nano X.
You can support this website by purchasing a Ledger Nano X using this referral link. Each device purchased with my link pays $8-10 in commissions.
Cash App does not make it that easy for you to withdrawal your Bitcoin from their application. It's hidden deep in a menu set that isn't intuitive to get to.
To access withdrawals, tap on the home icon in the bottom left. This will take you to the "My Cash" screen. From here, tap on Bitcoin. Your total balance will be displayed and below information is shown about your wallets.
In previous versions withdrawals had to be enabled, however, a recent patch removed that barrier. All users can now withdrawal.
To withdrawal, tap on the "Withdraw Bitcoin" button. Choose the amount you want to transfer, then scan a QR with the wallet address or copy/paste it manually. Always double check the wallet address before you transfer any Bitcoin. The last step is to enter in your CashApp PIN code.
You must have a balance of at least 0.001 bitcoin to make a withdrawal. At current prices, this amounts to $8.10. I usually withdrawal every time my balance goes over $100. Transfers can take anywhere from 5-60 minutes depending on how fast new blocks are mined and network congestion.
Buying and Sending Bitcoin with Cash App is extremely easy. I personally buy all of my Bitcoin using CashApp and highly recommend it.