Cash App has become one of the most popular ways for people to buy, sell, and send Bitcoin since the app first introduced the feature in 2018. With over 70 million active users as of 2022, Cash App makes buying and using Bitcoin easy and accessible for anyone with a smartphone.
In this comprehensive guide, you’ll learn everything you need to know about how to enable Bitcoin on Cash App, including:
- What is Cash App and why enable Bitcoin?
- Is Bitcoin on Cash App real Bitcoin?
- Requirements to enable BTC on Cash App
- Step-by-step instructions to enable Bitcoin
- Buying, selling, and withdrawing Bitcoin
- Bitcoin purchase limits
- Sending/receiving Bitcoin from other Cash App users
- Security best practices
- Troubleshooting common issues
- Bitcoin resources and additional information
By the end of this guide, you’ll have a complete understanding of how to use all the Bitcoin features available on Cash App in 2024.
What is Cash App and Why Enable Bitcoin?
Cash App is a mobile payment service developed by Square, allowing users to transfer money to one another using a mobile phone app. It’s become widely popular due to its simplicity, speed, and lack of fees.
In January 2018, Cash App introduced the ability to buy and sell Bitcoin directly within the app. This makes Cash App one of the easiest and most convenient ways for both beginners and experts to get started using Bitcoin.
Here are some of the key reasons why enabling Bitcoin on Cash App is worthwhile:
- Ease of use – Buying, selling, and withdrawing Bitcoin on Cash App is designed to be simple and streamlined for beginners.
- Instant verification – You can enable Bitcoin instantly without having to wait days or weeks for approval from a traditional crypto exchange.
- Lower fees – Cash App does not charge any transaction fees for buying or selling Bitcoin. The fee is built into the quoted BTC price.
- Sending/receiving Bitcoin – It’s free and fast to send/receive Bitcoin between Cash App users.
- Security – Cash App offers standard security features like pin codes and biometrics to help keep your account secure.
- Increasing adoption – With 70M+ active users and growing, more people than ever own Bitcoin through Cash App.
Overall, enabling Bitcoin allows Cash App users to easily participate in the cryptocurrency market at a lower barrier to entry than traditional crypto exchanges. It brings the power of Bitcoin to the masses in a simple, user-friendly way.
Is Bitcoin on Cash App Real Bitcoin?
Yes, the Bitcoin bought and sold on Cash App is just as real as the Bitcoin on major exchanges like Coinbase.
When you buy Bitcoin through Cash App, you are given full ownership of the actual Bitcoin it represents. It does not represent derivatives, futures contracts, or any other types of synthetic exposure to Bitcoin.
The Bitcoin in your Cash App account is held for you by Cash App’s broker-dealer subsidiary called Cash App Investing LLC. They operate the backend infrastructure to custody the actual Bitcoin on your behalf when you buy it.
At any time, you have the ability to fully withdraw the Bitcoin you’ve purchased on Cash App to your own external Bitcoin wallet. This gives you full custodial control over the Bitcoin you rightfully own.
In summary:
- The Bitcoin on Cash App is not “IOUs,” it’s real BTC that you own
- You have self-custody capability by withdrawing to your own wallet
- Cash App Investing LLC handles custody of BTC you don’t withdraw
- You can use the BTC on Cash App to send/receive or sell back for fiat
So while Cash App makes Bitcoin easy to use for beginners, make no mistake – the Bitcoin enabled on your Cash App account is just as real as buying from any other service.
Requirements to Enable Bitcoin on Cash App
To enable Bitcoin buying and selling on Cash App, users must meet the following requirements:
- Have the latest version of the Cash App app installed – This ensures you have the latest features and security updates. Download the iOS or Android app if you don’t have it already.
- Be a resident of a supported region – As of 2024, Cash App supports Bitcoin in the United States (except Hawaii), UK, and parts of Europe.
- Provide your identity – To prevent illicit use, you’ll need to verify your identity by providing info such as your legal name, date of birth, and address.
- Enable two-factor authentication – For security, you must set up two-factor authentication on your Cash App account via SMS text or a third party authenticator app.
- Agree to Cash App’s BTC terms and conditions – Make sure to carefully review Cash App Investing’s terms and conditions for buying/selling Bitcoin.
- Have a balance in your fiat Cash App wallet – There must be funds in your USD Cash App wallet to purchase Bitcoin. Cash App will draw from this balance.
Once you fulfill these requirements, you will see the option to enable Bitcoin within your Cash App account. Follow the steps in the next section to get it fully activated.
Step-by-Step Instructions to Enable Bitcoin on Cash App
Here is a walkthrough of how to enable Bitcoin buying and selling on Cash App:
1. Install the Cash App Mobile App
- Download the Cash App mobile app on your iOS or Android device if you don’t already have it installed. It’s available for free on the App Store and Google Play Store.
- When first launching the app, you’ll need to enter your phone number and email address to get started.
2. Provide Your Identity for Verification
- Tap on your profile icon in the top-right corner and select “Settings” to begin the verification process.
- In Settings, choose “Link Bank & Card” to connect your bank account and debit card to Cash App. This allows you to fund your Cash App wallet.
- Next, tap “Verify Identity” and follow the steps to submit details like your legal name, date of birth, and physical address.
- In some cases, you may need to upload an ID document for further verification. This quick identity check helps Cash App prevent misuse.
3. Enable Two-Factor Authentication
- While still in Settings, select “Security” and tap “Enable Security Codes”.
- You can choose to receive a 6-digit security code via text message or generate codes within an authenticator app like Authy or Google Authenticator.
- With two-factor authentication enabled, you’ll need to enter the randomly generated code when accessing your Cash App account from a new device. This adds important security for your account.
4. Review Cash App Investing’s BTC Terms
- From the Settings menu, choose “Cash App Investing”.
- Here you should carefully review the detailed terms and conditions for buying, selling, and withdrawing Bitcoin within Cash App.
- Make sure you fully understand Cash App’s user agreement surrounding Bitcoin before enabling the feature.
5. Deposit Funds to Purchase Bitcoin
- In order for Cash App to pull funds from your connected bank account, you’ll first need to deposit money into your Cash App fiat wallet.
- From the Cash App home screen, tap the Banking tab on the bottom and select “Deposit Cash”.
- Choose the amount you’d like to fund your wallet with. The minimum BTC purchase on Cash App is currently $1.
- Once the deposit processes from your bank, you will see the available balance in your Cash App wallet for buying Bitcoin.
6. Enable Bitcoin Within Cash App
- From Cash App’s home screen, scroll down on the Investing tab and select “Bitcoin” if it’s not already enabled.
- On the Bitcoin investing page, toggle the “Enable Bitcoin” switch on.
- Carefully read the additional terms and conditions that appear, and tap “Enable” to confirm.
- Congratulations, Bitcoin investing is now enabled on your Cash App account!
You can now buy, sell, withdraw, and send Bitcoin seamlessly within Cash App. Be sure to follow security best practices covered later in this guide to keep your BTC secure.
Buying, Selling, and Withdrawing Bitcoin on Cash App
Now that you have Bitcoin enabled on Cash App, let’s walk through how simple and streamlined the buying, selling, and withdrawal process is.
Buying Bitcoin
- From the Investing tab, tap the Buy button to purchase Bitcoin.
- Enter the dollar amount of BTC you wish to buy. The minimum is $1 but you can buy any amount up to $25,000 per transaction.
- Cash App will show a quoted BTC price including their transaction fee built-in. This fee is typically around 1.5% to 2% above current market price.
- Confirm the details and complete your purchase! The BTC will instantly appear in your account.
Selling Bitcoin
- From the Investing tab, tap the Sell button to convert your Bitcoin back into USD.
- Enter the dollar amount you wish to sell, or tap Max to sell your entire BTC balance.
- Confirm the details and complete the sale. The USD proceeds will deposit instantly into your Cash App fiat wallet.
Withdrawing Bitcoin
- From the Investing tab, select “Withdraw Bitcoin” below your BTC balance.
- Here you can withdraw your Bitcoin to any external wallet address. Tap “Generate Address” to create a new BTC address or paste in an existing address.
- Enter the withdrawal amount in BTC or choose Max for full balance. Withdrawals are subject to a cap discussed later.
- Double check the address and confirm to complete your withdrawal. The BTC will usually arrive in the external wallet within 1-3 hours.
It’s that simple to gain full exposure to Bitcoin on Cash App! Just remember to pay close attention to the quoted buy/sell prices and withdrawal fees that apply.
Bitcoin Purchase Limits on Cash App
Cash App enforces the following purchase limits on Bitcoin, as of January 2024:
- Instant purchase limit – $25,000 worth of BTC per transaction
- Rolling purchase limit – $25,000 in BTC over a 7 day period
- Account balance limit – $100,000 in total BTC balance at any time
These limits are designed to help prevent illicit use and maintain healthy liquidity in Cash App’s brokerage reserves.
Users wishing to purchase larger amounts of Bitcoin are recommended to link up with a major exchange like Coinbase or Kraken after getting started on Cash App.
The purchase limits make Cash App ideal for beginners learning the ropes of Bitcoin and cryptocurrencies in general. Experienced users may need to upgrade to a full exchange at some point to keep expanding their BTC holdings.
Sending and Receiving Bitcoin on Cash App
A handy feature of Cash App is the ability to instantly send and receive Bitcoin between users, free of charge.
Here is an overview of using this capability:
Sending Bitcoin
- From the Investing tab, tap “Send” next to your BTC balance.
- Enter the Cashtag or phone number of the recipient if they already have a Cash App account. Or tap “Send to Anyone” to input their external BTC address.
- Enter the amount of BTC you wish to send or select Max. The input will show the equivalent dollar amount. Confirm to complete the transfer.
- The recipient will see the pending transfer immediately in their activity feed. The BTC is usually available in their account within seconds.
Receiving Bitcoin
- To receive BTC from another Cash App user, simply provide them your personalized $Cashtag. This is the name that identifies your account, preceded by a dollar sign.
- If someone is sending you BTC from an external wallet, tap the Share icon on your Investing screen and select “Bitcoin Address” to pull up your public BTC receive address. Copy this address and provide it to the sender.
- Incoming transfers will show up as pending in your activity feed, turning available when the transaction is confirmed on the Bitcoin blockchain, typically within 1-3 minutes.
Leveraging Cash App’s fast send/receive capabilities is a convenient way to split bills, pay friends back, or receive payments in Bitcoin without any fees.
Security Best Practices When Using Bitcoin on Cash App
While Cash App was designed for simplicity, it’s still important to take security seriously – especially when dealing with cryptocurrency. Follow these tips to keep your Bitcoin protected:
- Enable all security features – Make sure two-factor authentication and biometrics (Face ID/Touch ID) are active at all times.
- Don’t share sign-in details – Never share your Cash App sign-in details or security codes with others. Cash App support will never ask for them.
- Pay attention to send/receive details – Double and triple check the recipient details before sending Bitcoin to avoid costly mistakes.
- Use strong passwords – Always utilize strong, unique passwords and change them periodically to protect your account. Don’t reuse passwords between accounts.
- Beware phishing attempts – Watch for fake emails or texts posing as Cash App support asking you to hand over personal information or account access. Cash App will never do this.
- Only access Cash App on personal devices – Never enter your Cash App credentials on public computers or other people’s devices to avoid getting your account compromised.
- Monitor your activity – Check your activity feed and balance regularly to detect any suspicious transfers right away. Enable notifications for enhanced monitoring.
- Backup your recovery phrase – Save the 12-word recovery phrase provided at signup so you can restore your account if your device is lost, stolen, or damaged. Never store it electronically.
- Withdraw large balances – Withdraw significant Bitcoin holdings to your external wallet under your full custody instead of keeping large balances in Cash App long term.
Following these tips will help ensure you don’t fall victim to common cryptocurrency security pitfalls when using Bitcoin on Cash App.
Troubleshooting Common Cash App Bitcoin Issues
Here are solutions to some common issues that may arise with Bitcoin on Cash App:
Can’t verify identity – Ensure the legal name, date of birth, and address you input exactly matches the details on your government-issued ID. If it still fails, contact Cash App support via live chat.
BTC not available in my region – Bitcoin buying/selling is only available in supported regions at this time. Contact Cash Support to request updates on expanded availability. Consider a VPN if outside the US/UK.
Bitcoin transfers stuck pending – Sometimes network congestion leads to delays of up to several hours. Be patient or reach out to support if a transfer is stuck pending over 24 hours.
Can’t submit a withdrawal – Check that you don’t have any pending buy/sell transactions. You cannot withdraw during the 4-5 day settlement window after buying or selling BTC.
Bitcoin missing from my account – First, check your activity feed for any outgoing transfers you may have authorized. If funds are missing without a record, contact Cash App support immediately.
Higher than expected fees – Cash App’s BTC price includes a transaction fee built-in. This is typically around 1.5% – 2% above market price when buying/selling. External withdrawals incur a network fee.
Need higher purchase/withdrawal limits – Due to regulatory requirements, Cash App must enforce Bitcoin limits suitable for novice users. To transact larger amounts, upgrade to a professional exchange like Coinbase Pro or Kraken.
Always reach out to Cash App support directly via chat if you cannot resolve your issue using the steps outlined above.
Additional Bitcoin Education and Resources
For readers interested in learning more about Bitcoin in general beyond just Cash App, here are some helpful additional resources:
- Bitcoin Beginner’s Guide – A step-by-step guide teaching the basics of what Bitcoin is and how it works.
- What is Bitcoin? – Investment information site Investopedia’s Bitcoin explainer. Goes over details of blockchain technology.
- Mastering Bitcoin – Technical guide by Andreas Antonopoulos covering bitcoin’s technical foundations in depth.
- Bitcoin Resources – Massive listing of Bitcoin learning material curated by educator Jameson Lopp.
- Bitcoin Magazine – One of the oldest and most trusted sources of Bitcoin news and information since 2012.
- Bitcoin Sub-Reddit – Popular Bitcoin community discussion board with over 4 million members.
As the Bitcoin space progresses rapidly, it’s important to stay up-to-date with the latest developments and news. The resources above provide a great starting point for expanding your Bitcoin education beyond Cash App.
Conclusion
That covers everything you need to know to get set up with Bitcoin on Cash App! With this guide, you now have a full understanding of how to:
- Enable Bitcoin within the Cash App mobile app
- Purchase BTC instantly
- Sell back to USD when desired
- Withdraw to an external wallet under your control
- Send/receive BTC with friends and contacts
- Practice proper security precautions
- Resolve common troubleshooting issues
- Expand your Bitcoin knowledge further
Cash App provides one of the fastest and most convenient on-ramps into the world of Bitcoin investing. Use this guide as a starter resource, then continue learning and staying up-to-date as you expand your involvement in the cryptocurrency space. Here’s to participating in the financial system of both today and the future!
