Cryptocurrency FAQ – Venmo

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, transfer, and hold several different cryptocurrencies on Venmo:

Bitcoin
Ethereum
Litecoin
Bitcoin Cash

Venmo also offers PayPal’s stablecoin, PayPal USD (PYUSD).

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 only available for personal Venmo profiles. They aren’t available on business profiles or charity profiles.

Who can transfer crypto on Venmo?

Learn more about crypto transfers.

Are there fees for buying or selling cryptocurrency on Venmo?

You will incur a fee when you buy or sell most cryptocurrencies on Venmo. The fee will vary based on the purchase or sale amount. Venmo displays that amount when you are making a transaction.

Learn more about fees for buying, selling, or transferring cryptocurrencies on Venmo.

Are there fees for transferring crypto?

You can transfer crypto to other Venmo and PayPal accounts without fees. There are network fees for sending it outside of the Venmo and PayPal network.

Learn more about crypto transfer fees.

How does Venmo calculate fees for buying and selling crypto?

Venmo’s fees for buying and selling crypto (except for PYUSD) are from the spread (or margin) between the market price we receive from our service provider and the price of 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 will 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.

For PayPal USD (PYUSD) only, the spread does not apply and there are no fees to buy or sell PYUSD on Venmo.  

More information on pricing and fees can be found on the Venmo Fees page.

I made crypto transaction 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?