Cash App, developed by Square Inc., is a mobile payment service that allows users to send and receive money instantly. In addition to money transfers, Cash App also offers the ability to buy, sell, and withdraw Bitcoin. However, many users are left wondering how much Cash App charges to withdraw Bitcoin.
To understand the withdrawal fees associated with Cash App, it is important to first understand the basics of Bitcoin transactions. Bitcoin transactions require a fee to be paid to miners, who process and verify transactions on the blockchain. This fee is paid in Bitcoin and is calculated based on the size and complexity of the transaction. The larger the transaction, the higher the fee.
When it comes to withdrawing Bitcoin from Cash App, the platform charges a withdrawal fee of 0.0001 BTC, which is equivalent to roughly $4.50 at the time of writing. This fee is charged regardless of the size of the transaction, meaning that whether you withdraw $10 or $10,000 worth of Bitcoin, you will still be charged the same $4.50 fee.
While this may seem like a small fee, it can add up over time for frequent Bitcoin users. For example, if you withdraw $100 worth of Bitcoin every week, you will end up paying $234 in fees over the course of a year. This is something to keep in mind when using Cash App for Bitcoin transactions.
It should be noted that the withdrawal fee is not the only fee associated with Cash App Bitcoin transactions. When buying or selling Bitcoin on Cash App, users are charged a spread of roughly 1.75% above the market price. This means that if Bitcoin is trading at $50,000, Cash App may charge you $50,875 to buy Bitcoin, or only offer you $49,125 to sell Bitcoin.
Additionally, Cash App may charge a fee for instant Bitcoin deposits. If you want to buy Bitcoin and have it instantly available in your Cash App account, you may be charged a fee of up to 1.5% of the transaction amount. This fee is in addition to the spread mentioned above.
Overall, while Cash App offers a convenient way to buy, sell, and withdraw Bitcoin, it is important to be aware of the fees associated with these transactions. The withdrawal fee of 0.0001 BTC may seem small, but it can add up over time for frequent users. Additionally, the spread and instant deposit fees can further impact the cost of using Cash App for Bitcoin transactions.
In conclusion, Cash App charges a withdrawal fee of 0.0001 BTC, or roughly $4.50, to withdraw Bitcoin. This fee is charged regardless of the size of the transaction. While this may seem small, it is important to be aware of the other fees associated with Cash App Bitcoin transactions, such as the spread and instant deposit fees. By understanding these fees, users can make informed decisions when using Cash App for Bitcoin transactions.