The Cash App card has many features such as discounts while shopping, direct deposits and instant transfers, but is there any way to spend that bit of profit your Bitcoin investment made?
The answer is: “sort of.” Cash App puts American users closer to spending their Bitcoin at stores than any other onboarding platform or exchange, but there is still a couple buttons that you will have to press.
How to sell your Bitcoin. Don’t worry, it’s quick.
Unlike withdrawing your Bitcoin, there are no extra security steps to sell it. As long as you are allowed to purchase Bitcoin, you will also be able to sell it.
- Navigate to the Bitcon/Stocks page, on the bottom right side of your app.
- Press sell, then select how much you would like to get rid of.
- Confirm the transaction. The fee should be around 2%
- Funds should instantly be in your account, now you can spend it.
Cash App is the fastest way to spend Bitcoin in the U.S.
In Europe, Coinbase has a debit card that allows you to choose between a variety of coins and spend them. Unfortunately, this is not allowed yet in the United States, and no other crypto exchange offers allows users to manage cash as closely to Bitcoin as Cash App does. Since Cash App allows direct deposits, one could receive payments from their employer through the app, immediately sell it for Bitcoin and be cash free until they need to make a purchase.
The only downside to this is that U.S. citizens pay “capital gains” taxes when selling assets for a profit. This can cost you 20% of the appreciated value depending on how much it is and what state you are in. Because of this, we recommend that you sell Bitcoin as infrequently as possible. At the end of the day, you will have to report all sales on taxes. Check out how to report Cash App Bitcoin transactions to the IRS here.