XRP and PayPal have been making big news in the “crypto sphere”—but not for the same reasons.
In XRP’s case, these recent headlines haven’t been flattering.
For those who don’t know, the US SEC filed a lawsuit against XRP’s creator Ripple Labs in 2020.
The SEC believes XRP is technically a “security” rather than a cryptocurrency.
While Ripple got slammed with a lawsuit, PayPal made its first forays into crypto.
In 2020, the fintech giant allowed US users to buy and sell a few big-cap coins.
There’s also speculation PayPal may help people withdraw supported tokens in the future.
Since it’s been getting easier to use PayPal to buy crypto—and since XRP is one of the top ten cryptocurrencies—some people have asked how to buy XRP with PayPal.
Short answer: You can’t buy XRP with PayPal.
Well, at least not yet.
There may come a time when PayPal makes it easier to buy XRP, but you’ll have to use other platforms to get XRP today.
While XRP isn’t the most accessible crypto, it’s still on a few big exchanges.
But before you learn how to buy XRP, you’d better understand the risks associated with Ripple Labs.
What Is XRP, And Why Is It So Controversial?
First thing’s first: XRP and Ripple aren’t the same things.
I know, that’s kind of pedantic, but it’s essential to keep these terms separate.
You see, “Ripple” refers to the US company “Ripple Labs” that created XRP.
XRP, on the other hand, is a token that’s used on the RippleNet.
Founded in 2012, Ripple Labs wants to create a decentralized payment system using its XRP token.
Ripple’s primary goal has always been to help people settle global transactions.
In a way, you could think of Ripple as a blockchain-based form of wire transfers.
XRP is often called a “bridge currency” that could settle transfers faster and cheaper than traditional banks.
Since Ripple’s creation, it has attracted big-name backers, including Santander, American Express, and CIMB Bank.
So, why is Ripple in so much hot water?
One word: Centralization.
Unlike a decentralized network like Bitcoin, Ripple Labs owns most XRP tokens and releases them at their discretion.
The total 100 billion XRP tokens aren’t mined—they were “pre-mined.”
Plus, Ripple’s founders hold billions of XRP tokens.
This intense centralization made them a prime target for the US SEC. According to the SEC’s argument, Ripple’s XRP has all the hallmarks of an equity rather than a cryptocurrency.
At this point, it’s unclear whether XRP will win its suit against the SEC. However, this ongoing trial has had some negative “ripple effects” for the XRP token.
Most notably, it’s harder for people to buy XRP on crypto exchanges.
Many big companies like Coinbase delisted XRP when the SEC filed its lawsuit.
Interestingly, despite all this FUD, XRP remains one of the most valuable cryptos.
If you’re going to invest in XRP, you have to keep all of these legal concerns in mind.
Also, please remember that there are competing cryptocurrencies that are incredibly similar to XRP.
Arguably, Stellar Lumens (XLM) is the top competitor to Ripple’s XRP.
Fun fact: a former Ripple co-founder created Stellar Lumens!
Telcoin is yet another hot crypto project in the remittances space.
Find out more about How To Buy Telcoin in my previous blog post.
Look, I’m not saying XRP won’t have a bright future in the global payments space.
Just be sure to assess your risk tolerance and research alternatives before committing to XRP.
How Could You Buy XRP With PayPal?
Currently, there’s no way to buy XRP directly on PayPal.
In fact, you can’t buy many crypto assets on PayPal’s platform.
Since PayPal is just dipping its toes into crypto, it’s only going to choose the least controversial coins.
And, as you’ve seen, XRP has its fair share of controversy.
As of today, the only crypto assets you could buy on PayPal include:
- Bitcoin
- Ethereum
- Litecoin
- Bitcoin Cash
You can find all of these coins under the “Crypto” tab on your main profile page.
However, please remember that PayPal only allows you to buy and sell these coins on their platform.
Unlike a traditional crypto exchange, you can’t transfer your coins off of PayPal into a private wallet.
While PayPal claims it may offer crypto withdrawals in the future, there’s no clear roadmap on when this will happen.
So, for the moment, you are somewhat limited in buying crypto directly on PayPal.
Can You Buy XRP With PayPal On Coinbase?
A key to Coinbase’s success is that it’s so convenient to use.
Sure, the fees may not be the best, but Coinbase makes it so easy to buy, sell, and transfer dozens of cryptos.
Coinbase even allows users to link their PayPal account directly.
Within a few seconds, you could send money from your PayPal wallet into Coinbase and purchase any token you want.
Except for XRP.
Befitting its “compliant image,” Coinbase yanked XRP from its supported currencies after the SEC went after Ripple.
So, for the time being, you can’t buy XRP with Paypal via Coinbase.
However, that doesn’t mean Coinbase can’t re-list XRP if Ripple Labs wins its claim.
Plus, even though Coinbase doesn’t have XRP yet, it has a large assortment of exciting alt coins.
If you love researching “low-cap gems,” click this link to download a Coinbase account.
So, How Could You Buy XRP?
You may not be able to buy XRP with Paypal or Coinbase, but some exchanges still offer this token.
By far, Binance is the largest exchange that still carries XRP.
Unfortunately for Americans, it’s impossible to download Binance’s main platform.
Instead, US residents have to settle for the subsidiary Binance.us—and even that isn’t available in every state!
Currently, Binance.us doesn’t carry XRP.
If you live in a country where Binance is legal, I’d suggest picking up XRP on this site. Not only is Binance secure, it has some of the best fees in the industry.
However, if you’re in the USA and want to buy XRP, try the exchange Kraken.
Kraken is one of the “OGs” of American crypto exchanges, and it has yet to delist XRP.
Just keep in mind there are a few states where Kraken isn’t available.
FYI: You could learn more about these crypto exchanges in my previous post, “Kraken vs. Binance.”
You could download a Kraken account on this link.
If you can’t sign up for Kraken or Binance, the next best option would be KuCoin.
Although I’ve had negative experiences with KuCoin’s customer support, they are a legit exchange.
If you want more details on KuCoin, check out my recent review, “Binance vs. KuCoin.”
You could download a KuCoin account by following this link.
I should also mention that FTX has trading pairs with XRP. However, like Binance, US residents can’t access these pairs since they’re not on the American-approved FTX.us.
I wouldn’t recommend venturing out from these exchanges—especially if you’re in the USA.
However, you can still find XRP on sites like Huobi, Bitstamp, and Bitfinex.
But, as I said, these sites aren’t as respected as Binance or Kraken with most North American traders.
Please be careful!
Where Could You Store XRP?
Thankfully, it’s easier to store XRP than it is to buy it.
Many software and hardware wallets support XRP, so there’s no excuse for leaving your XRP on an exchange.
Some of my favorite software wallets that allow XRP include:
- Trust Wallet
- Metamask
- Exodus
- Atomic Wallet
- Crypto.com DeFi Wallet
While these “hot wallets” have robust security standards, they aren’t 100 percent hack-proof.
If you’re extra concerned about safety, get a hardware wallet that supports XRP.
These hardware devices aren’t online, so they’re hack-proof.
Just be sure to keep your passcodes and secret “seed phrase” in a secure place.
Currently, the best hardware wallets for XRP include the Trezor Model T, Ledger Nano S, and Ledger Nano X.
Looking for the best crypto wallet? Check out the video below!
Can You Buy XRP On Decentralized Exchanges?
XRP is on its own blockchain, which means it’s still impossible to bring it onto popular decentralized exchanges (DEXs).
For instance, Uniswap is on Ethereum. Therefore, it can only support Ethereum-based tokens.
Conversely, Pancake Swap is built on the Binance Smart Chain. Since XRP isn’t a Binance-based coin, you won’t find it here.
While there are “synthetic” versions of XRP on exchanges like SushiSwap, I wouldn’t dabble with these unless you’re an expert trader.
Until the tech supporting blockchain interoperability improves, the only way to get XRP is on trusted centralized exchanges.
Could We Buy XRP With PayPal In The Future? — A Few Final Thoughts
XRP’s future availability is dependent on this thorny SEC lawsuit.
If Ripple is deemed a security, then XRP could get blocked from even more exchanges.
However, if the courts rule in favor of Ripple, we could see a ton of XRP re-listings on sites like Coinbase, Gemini, and Crypto.com.
Heck, PayPal might support XRP at that point.
Even though you can’t buy XRP on PayPal just yet, there are places you could invest in this project.
I’d strongly recommend buying XRP on Binance if it’s available in your country.
FTX is also a good option for folks outside of the USA.
For those in America, Kraken and KuCoin are the best exchanges to snag some XRP tokens.
