Can You Buy Cryptocurrency With a Credit Card?

By Brian Nibley · April 15, 2021 · 4 minute read

We’re here to help! First and foremost, SoFi Learn strives to be a beneficial resource to you as you navigate your financial journey. Read more We develop content that covers a variety of financial topics. Sometimes, that content may include information about products, features, or services that SoFi does not provide. We aim to break down complicated concepts, loop you in on the latest trends, and keep you up-to-date on the stuff you can use to help get your money right. Read less

Can You Buy Cryptocurrency With a Credit Card?

It is possible to buy bitcoin and other cryptocurrencies with a credit card. Depending on the exchange used and the rules upheld by your credit card issuer, several factors can come into play. One key distinction investors should know when buying crypto with a credit card is that most financial institutions treat these transactions as cash advances rather than regular credit purchases.

Users who want to buy crypto with a credit card should be warned that doing so will likely be more expensive, complicated, and risky than using other payment methods. That said, here’s all you need to know about buying crypto with a credit card.

Where Can I Buy Cryptocurrency With a Credit Card?

Depending on how a crypto exchange works, they may or may not allow the use of credit cards.

Some exchanges, like Coinbase , do not let users buy bitcoin with a credit card—or any other crypto, for that matter. A bank account or debit card might be the only way to fund crypto purchases on exchanges like these.

Other exchanges, such as Binance , do allow for this feature, though they typically charge fees for credit card transactions, on top of any commission or other standard fees. Here is a list of some popular cryptocurrency exchanges that currently accept credit cards for funding accounts, along with their credit card fees.

•   Coinmama: They charge an additional 5% fee.
•   Bittrex: Credit card transaction fees are 3%.
• Use Visa or MasterCard on a deposit and you’ll be charged a 2.99% fee.
•   Changelly: Their fee for using a credit card is 4%.

It’s important to note that exchanges sometimes change their rules around payment methods and other details, due to the constantly-evolving regulatory landscape. There was a time when Coinbase accepted credit cards, for example, but as of the time of this writing, they do not.

Cash in on up to $300–and 3% cash back for 365 days.¹

Apply and get approved for the SoFi Credit Card. Then open a bank account with qualifying direct deposits. Some things are just better together.

Drawbacks to Buying Crypto With a Credit Card

In 2018, it was revealed that financial institutions that issue credit cards had begun to treat cryptocurrency purchases as cash advances. This gets accomplished through the use of a specific merchant category code (MCC) to classify the transaction. In this case, applying a cash advance MCC to crypto purchases served as indirect cryptocurrency regulations.

Some speculate that this was a move on the part of card issuers to protect themselves from potential defaults, which may have been a heightened risk during the bear market for crypto investing of 2018-2019. By discouraging people from buying crypto with a credit card, financial institutions may have hoped to reduce the risk of people loading up on huge crypto purchases and not being able to pay the bill if the price of their crypto holdings tanked.

On the exchange side of things, some exchanges don’t let users buy cryptocurrency with a credit card, hoping to shield both themselves and their customers from the potential pitfalls involved. One thing is certain: When you buy crypto with a credit card, it’s not the same as buying crypto directly into a crypto wallet using cash.

These are some of the bigger reasons why buying crypto with a credit card might be more trouble than it’s worth.

High Fees

When a cardholder goes to buy crypto with a credit card, most credit card issuers treat the transaction as a cash advance, as if they used their credit card to obtain cash from an ATM.

A cash advance fee is typically a one-time fee of about 3% to 5%. A purchase of $100 worth of crypto would cost at least an additional $3, in that case. Bear in mind, this is on top of any credit card transaction fees the crypto exchange might charge.

High Interest Rates

Cash advances also tend to come with higher interest rates than those that apply to regular purchases. If a consumer doesn’t pay off their crypto credit card purchase on time, the interest charges on that credit card could add up quickly.

No Grace Period And No Rewards

In some cases users who pay their credit card balance in full every month get the benefit of a grace period of 20 days or more to pay off purchases before being charged interest. But with cash advances, that grace period may not exist.

Cash advances can begin accruing interest from day one—and with a potentially higher interest rate than ordinary purchases, the extra fees can climb fast.

On top of all that, if the card issuer classifies crypto purchases as cash equivalents, the money spent might not count as points toward rewards programs like cash back or frequent flier miles.

Lower Credit Limits

Some credit cards come with a lower cash advance limit than the regular credit limit. This can limit the buying power of a user who wants to buy crypto with a credit card.

The Takeaway

Now that you know how to buy crypto with a credit card, you may decide to stick to other payment methods. Between the fees imposed by crypto exchanges and those leveled by credit card companies, it may seem hard to justify using a credit card to buy cryptocurrency.

Using lines of credit to fund crypto purchases may lead people to invest with money they don’t have. It should be crypto basics to avoid this kind of leveraged speculation.

With SoFi Invest® crypto trading, you can invest in cryptocurrencies starting with as little as $10. Our secure platform ensures your holdings are protected against fraud and theft, and you can manage your account and transactions through our user-friendly mobile app.

Find out how to start investing in crypto with SoFi Invest.

You will need to maintain a qualifying Direct Deposit every month with SoFi Checking and Savings in order to continue to receive this promotional cash back rate. Qualifying Direct Deposits are defined as deposits from enrolled member’s employer, payroll, or benefits provider via ACH deposit. Deposits that are not from an employer (such as check deposits; P2P transfers such as from PayPal or Venmo, etc.; merchant transactions such as from PayPal, Stripe, Square, etc.; and bank ACH transfers not from employers) do not qualify for this promotion. A maximum of 36,000 rewards points can be earned from this limited-time offer. After the promotional period ends or once you have earned the maximum points offered by this promotion, your cash back earning rate will revert back to 2%. 36,000 rewards points are worth $360 when redeemed into SoFi Checking and Savings, SoFi Money, SoFi Invest, Crypto, SoFi Personal Loan, SoFi Private Student Loan or Student Loan Refinance and are worth $180 when redeemed as a SoFi Credit Card statement credit.

Promotion Period: 4/18/2022-6/30/2022

Eligible Participants: All new members who apply and get approved for the SoFi Credit Card, open a SoFi Checking and Savings account, and set up Direct Deposit transactions ("Direct Deposit") into their SoFi Checking and Savings account during the promotion period are eligible. All existing SoFi Credit Card members who set up Direct Deposit into a SoFi Checking & Savings account during the promotion period are eligible. All existing SoFi members who have already enrolled in Direct Deposit into a SoFi Checking & Savings account prior to the promotion period, and who apply and get approved for a SoFi Credit Card during the promotion period are eligible. Existing SoFi members who already have the SoFi Credit Card and previously set up Direct Deposit through SoFi Money or SoFi Checking & Savings are not eligible for this promotion.

New SoFi Checking and Savings customers and existing Checking and Savings customers without direct deposit are eligible to earn a cash bonus when they set up direct deposits of at least $1,000 over a consecutive 30-day period. Cash bonus will be based on the total amount of direct deposit. Entry into the Program will be available 4/5/22 to 5/31/22. Full terms at SoFi Checking and Savings is offered through SoFi Bank, N.A. Member FDIC.

SoFi members with direct deposit can earn up to 1.25% annual percentage yield (APY) interest on all account balances. There is no minimum direct deposit amount required to qualify. Members without direct deposit will earn 0.70% APY on all account balances in Checking and Savings (including Vaults). Interest rates are variable and subject to change at any time. Rate of 1.25% APY is current as of 04/05/22. Additional information at

Crypto: Bitcoin and other cryptocurrencies aren’t endorsed or guaranteed by any government, are volatile, and involve a high degree of risk. Consumer protection and securities laws don’t regulate cryptocurrencies to the same degree as traditional brokerage and investment products. Research and knowledge are essential prerequisites before engaging with any cryptocurrency. US regulators, including FINRA , the SEC , and the CFPB , have issued public advisories concerning digital asset risk. Cryptocurrency purchases should not be made with funds drawn from financial products including student loans, personal loans, mortgage refinancing, savings, retirement funds or traditional investments. Limitations apply to trading certain crypto assets and may not be available to residents of all states.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
Third-Party Brand Mentions: No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.
External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.
SoFi Invest®
The information provided is not meant to provide investment or financial advice. Investment decisions should be based on an individual’s specific financial needs, goals and risk profile. SoFi can’t guarantee future financial performance. Advisory services offered through SoFi Wealth, LLC. SoFi Securities, LLC, member FINRA / SIPC . SoFi Invest refers to the three investment and trading platforms operated by Social Finance, Inc. and its affiliates (described below). Individual customer accounts may be subject to the terms applicable to one or more of the platforms below.
1) Automated Investing—The Automated Investing platform is owned by SoFi Wealth LLC, an SEC Registered Investment Advisor (“Sofi Wealth“). Brokerage services are provided to SoFi Wealth LLC by SoFi Securities LLC, an affiliated SEC registered broker dealer and member FINRA/SIPC, (“Sofi Securities).
2) Active Investing—The Active Investing platform is owned by SoFi Securities LLC. Clearing and custody of all securities are provided by APEX Clearing Corporation.
3) Cryptocurrency is offered by SoFi Digital Assets, LLC, a FinCEN registered Money Service Business.
For additional disclosures related to the SoFi Invest platforms described above, including state licensure of Sofi Digital Assets, LLC, please visit Neither the Investment Advisor Representatives of SoFi Wealth, nor the Registered Representatives of SoFi Securities are compensated for the sale of any product or service sold through any SoFi Invest platform. Information related to lending products contained herein should not be construed as an offer or pre-qualification for any loan product offered by SoFi Lending Corp and/or its affiliates.
1See Rewards Details at
SoFi cardholders earn 2% unlimited cash back when redeemed to save, invest, or pay down eligible SoFi debt. Cardholders earn 1% cash back when redeemed for a statement credit.1


All your finances.
All in one app.

SoFi QR code, Download now, scan this with your phone’s camera

All your finances.
All in one app.

App Store rating

SoFi iOS App, Download on the App Store
SoFi Android App, Get it on Google Play

TLS 1.2 Encrypted
Equal Housing Lender