Peer-to-peer payment app Venmo enables users to buy, sell, and hold select cryptocurrencies directly within its platform. Launched in April 2021 (mirroring PayPal’s crypto integration), this feature offers convenience for small-scale transactions but falls short compared to dedicated crypto exchanges.
Key Limitations:
- No external wallet transfers: Crypto assets cannot be moved to private wallets.
- Restricted utility: No peer-to-peer trading or crypto-based payments.
- Supported coins: Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH).
Step-by-Step Guide to Buying Crypto on Venmo
Prerequisites:
- Verified personal Venmo account (business accounts excluded).
- Availability in all U.S. states except Hawaii.
Process:
- Navigate to the Crypto tab (bottom menu).
Complete identity verification:
- Accept Venmo’s crypto terms.
- Submit ID documents (SSN, address, etc.).
- Enter purchase amount ($1 minimum; $20,000 weekly cap).
- Review fees and crypto quantity.
- Select payment method: debit card, bank account, or Venmo balance.
- Confirm with Buy.
👉 Compare Venmo’s crypto fees with top exchanges
Fee Structure
Venmo charges:
- Spread fee: ~0.5% based on market rates.
- Transaction fees:
| Purchase Amount | Fee |
|-----------------------|----------------|
| $1.00 – $4.99 | $0.49 |
| $5.00 – $24.99 | $0.99 |
| $25.00 – $74.99 | $1.99 |
| $75.00 – $200.00 | $2.49 |
| $200.01 – $1,000.00 | 1.80% |
| >$1,000.00 | 1.50% |
Holding and Selling Cryptocurrency
Holding:
- No fees for storage.
- Track portfolio value and ROI in the Crypto tab.
Selling:
- Select crypto asset and choose Sell.
- Proceeds deposit into Venmo balance (transferable to bank).
- Fees mirror purchase costs (0.5% spread + transaction fee).
Note: Venmo prohibits crypto transfers, P2P trades, or payments using crypto.
Maximizing Rewards
- Venmo Credit Card: Redeem cash back as crypto (no transaction fees; spread still applies).
- Price Alerts: Customize push notifications for specific coins under Settings > Push Notifications.
Security and Protections
- No FDIC coverage: Crypto holdings are uninsured.
- Fraud protection: Report unauthorized transactions via Venmo’s customer support.
FAQs
1. Can I transfer crypto from Venmo to my private wallet?
No. Venmo restricts external transfers—assets must remain in-app.
2. What cryptocurrencies does Venmo support?
BTC, ETH, LTC, and BCH.
3. Are Venmo’s crypto fees competitive?
Moderate. The 0.5% spread + tiered fees make it costlier than exchanges like Coinbase.
👉 Explore low-fee crypto trading alternatives
4. Is Venmo crypto available in Hawaii?
No. Hawaii residents are excluded.
5. How do I earn crypto rewards with Venmo?
Use the Venmo Credit Card and convert cash back into crypto.
6. What’s the minimum crypto purchase amount?
Just $1.
Final Thoughts
Venmo’s crypto feature suits beginners seeking simplicity, but its limitations (no wallet transfers, high fees) make it less ideal for serious traders. For advanced functionality, consider dedicated exchanges.