For all things crypto on Venmo, check out this FAQ!
What is Cryptocurrency?
Cryptocurrency is a digital or virtual currency that is created by Cryptography. It is not physical and not issued by a central authority. It utilizes a decentralized network and works through a distributed ledger technology, known as a Blockchain.
What cryptocurrencies does Venmo support?
Customers in the US (except Hawaii) can buy, sell and hold four different cryptocurrencies on Venmo: Bitcoin, Ethereum, Litecoin, and Bitcoin Cash.
- Bitcoin was invented in 2009 by Satoshi Nakamoto, it is the largest cryptocurrency by value.
- Ethereum is also known as Ether. It is the 2nd largest cryptocurrency by value. It is a decentralized Blockchain featuring smart contract functionality.
Bitcoin Cash was created in 2017, as a fork of Bitcoin, due to concerns about Bitcoin’s ability to scale. Bitcoin Cash looks to increase scalability by featuring a larger block size, which increases the number of transactions that can fit in each block.
- Litecoin was created in 2011 by Charlie Lee. Litecoin is a fork of Bitcoin and is one of the oldest cryptocurrencies.
Who can buy, sell, and hold cryptocurrencies?
In order to buy, sell, and hold cryptocurrency on your personal Venmo profile, you need to verify your identity with Venmo, including providing an SSN or ITIN. Learn more about verifying your identity with Venmo.
Venmo does not currently support buying, selling, or holding crypto in Hawaii. Cryptocurrency transactions are also not supported for business profiles on Venmo.
Are there fees for buying or selling cryptocurrency on Venmo?
You will incur a fee when you buy or sell cryptocurrencies on Venmo. The fee will vary based on the purchase or sale amount. Venmo displays that amount when you are making a transaction.
How does Venmo calculate fees for buying and selling crypto?
Venmo’s crypto fees are from the spread (or margin) between the market price we receive from our trading service provider (Paxos) and the exchange rate between US dollars and the crypto asset displayed to the user, and a transaction fee when buying or selling crypto assets. At the time you buy or sell crypto assets, we will disclose to you the applicable exchange rate and the amount of fees that you will be charged for that transaction.
The exchange rate may include an estimated spread of one-half of one percent (0.50%), provided, however, that the actual spread may be higher or lower based on market conditions. We will not separately calculate or disclose the spread we earn on each transaction. By using Venmo’s crypto services, you agree to pay all applicable exchange rates (including spread) and fees.
If you use a linked bank account or debit card as a funding source to buy crypto assets, your bank may charge you its own fees, including overdraft fees or insufficient fund fees, if applicable. Venmo is not responsible for any fees that may be charged to you by your bank.
More information on pricing and fees can be found on the Venmo Fees page.
Can I use my cryptocurrency balances for payments, purchases, or transfers?
At this time, it is only possible to buy, sell, and hold crypto on Venmo. Venmo does not currently support using crypto as a way to pay or send money on Venmo, using crypto as a way to make purchases, or peer-to-peer crypto trades.
I made crypto purchase in error - can I cancel or reverse it?
There is not a way for you to cancel or reverse a crypto transaction.
Are cryptocurrency purchases covered by Venmo Purchase Protection?
Venmo Purchase Protection does not cover cryptocurrency purchases. However, cryptocurrency purchases are protected in the event unauthorized activity takes place.
Venmo will not cover losses from cryptocurrency price fluctuations and we recommend that customers make sure purchasing crypto is right for their individual financial situations. Since crypto purchases and sales aren't reversible, Venmo urges customers to do their research and make decisions carefully.
Will I pay tax on cryptocurrency profits?
For any tax advice, you would need to speak with a tax expert. Learn more about taxes for crypto on Venmo.
Can I transfer cryptocurrency into and out of Venmo?
Currently, you can only hold the cryptocurrency that you buy on Venmo in your account. Additionally, the cryptocurrency in your account cannot be transferred to other accounts on or off Venmo.
What are the limits?
You are limited to $20,000 in cryptocurrency purchases per week. There is also a limit of $50,000 in cryptocurrency purchases in a 12-month period. Learn more about transaction limits on Venmo.