Please ensure Javascript is enabled for purposes of website accessibility

Venmo Users Can Now Buy Cryptocurrency

By Trevor Jennewine - Updated Apr 20, 2021 at 11:47AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The added feature covers four digital currencies, including Bitcoin.

Venmo announced today that it would begin the rollout of Crypto on Venmo, allowing consumers to buy, sell, and hold four cryptocurrencies directly through the mobile app: Bitcoin, Ethereum, Litecoin, and Bitcoin Cash. The company expects the service to be available to all 70 million Venmo users within the next few weeks.

User viewing cryptocurrency options on Venmo mobile app.

The Crypto on Venmo app. Image source: PayPal.

According to a 2020 survey, over 30% of Venmo users have already purchased crypto or equities, and a significant portion started their investment journey during the pandemic. Now, with this new service, consumers can safely buy cryptocurrencies with as little as $1. Users will also have access to educational materials like in-app guides, videos, and cryptocurrency trends.

Parent company PayPal (PYPL 2.01%) launched a similar service last October, followed by Checkout with Crypto last month. This latest move underscores PayPal's commitment to expanding the utility of digital currencies, and it adds another tool to Venmo's growing list of financial services.

Alongside other products like direct deposit, QR code payments, the Venmo credit card, and business profiles -- all of which launched in the last year -- Crypto on Venmo could help bring more consumers to the platform, in addition to driving user engagement.

During PayPal's most recent earnings call, CEO Dan Schulman indicated that Venmo's revenue would approach $900 million in 2021. This new service should help the app hit that mark. 

Trevor Jennewine owns shares of PayPal Holdings. The Motley Fool owns shares of and recommends Bitcoin and PayPal Holdings. The Motley Fool recommends the following options: long January 2022 $75.0 calls on PayPal Holdings. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

PayPal Holdings, Inc. Stock Quote
PayPal Holdings, Inc.
PYPL
$101.10 (2.01%) $1.99
Bitcoin Stock Quote
Bitcoin
BTC
$24,489.70 (2.80%) $666.44
Ethereum Stock Quote
Ethereum
ETH
$1,981.63 (5.38%) $101.08
Litecoin Stock Quote
Litecoin
LTC
$64.21 (4.61%) $2.83
Bitcoin Cash Stock Quote
Bitcoin Cash
BCH
$144.50 (3.25%) $4.55

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
400%
 
S&P 500 Returns
128%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 08/13/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.