On Monday, new fees were put into action for cryptocurrency transactions on two major apps, PayPal and Venmo.
PayPal and Venmo, before this update, had a flat rate of $0.50 for crypto transactions. The fee for transactions up to $25 is 2.3 percent, and for transactions up to $200, the fee is 2 percent. Regarding the new fees on PayPal and Venmo, some changes were made. From Monday, transactions up to $200 will be charged a flat $9.95. Transactions up to $5 will be at a rate of $0.49, up to $25 $0.99, and up to $75 $1.99. Lastly, the remaining transactions that are up to $200 will have a fee of $2.49.
All transactions that are above $200 will remain at the same rate. The fee is 1.8 percent for purchases up to $1,000, and anything above that mark will be 1.5 percent.
In the words of a PayPal spokesperson, “In an effort to streamline our existing pricing structure, we will be introducing a flat–fee structure for cryptocurrency transactions (buying and selling) under USD 200 on PayPal and Venmo, removing the complexity of percentage-based calculations for the consumer.”
Finally, he added, “This change is part of our ongoing commitment to provide transparency, ease of understanding, and clarity to our customers.”
Customers can easily purchase, trade, and use bitcoin, Ethereum, litecoin, and bitcoin cash using PayPal and Venmo.