This guide provides a step-by-step process to buy crypto with Plaid. Plaid serves as a secure bridge between your bank account and crypto exchanges, enabling efficient transfers to fund crypto purchases. We’ll explore the best platforms compatible with Plaid, key steps for account setup and verification, depositing funds, and executing trades.
Summary
Directly purchasing cryptocurrencies through banks is currently limited. Instead, using regulated US-based crypto exchanges that have integrated Plaid is the most secure method. These platforms adhere to strict regulatory standards, ensuring full compliance. Our recommendation is Uphold Exchange for buying crypto with Plaid, given its $0 deposit fees, 250+ assets, and strong regulatory standing.
Step-by-Step Guide: How to Buy Crypto with Plaid
Here is a walkthrough of buying crypto using Plaid on Uphold exchange, chosen for its $0 deposit fees, extensive selection of assets, and regulatory compliance:
Step 1: Register an Account on Uphold Exchange
Start by visiting Uphold.com to create your account. Provide your basic personal details during sign-up.
Step 2: Complete Identity Verification
To ensure security and compliance, complete Uphold’s KYC process. This involves submitting ID proof and other documents.
Step 3: Link Bank Account via Plaid
From your Uphold dashboard, choose “Link Bank Account” option. Search and select your bank when prompted. Enter your credentials to connect your bank account via Plaid.
Step 4: Deposit Funds
With your bank account now linked, visit the funding section and choose Plaid deposit option. Enter deposit amount in USD to transfer to Uphold wallet instantly with no fees.
Step 5: Purchase Cryptocurrency
Finally, use the USD funds to execute your first crypto purchase on Uphold! Explore different assets before buying.
What is Plaid’s status on cryptocurrencies?
While Plaid itself does not directly facilitate crypto transactions, it has established partnerships with leading US exchanges to enable seamless flow of USD. These platforms adhere to regulations around Anti-Money Laundering and Counter-Terrorist Financing laws. Supported assets include Bitcoin, Ethereum, Solana and more.
What do I do if my bank is not crypto friendly?
If your bank places restrictions around crypto, open an account with a digital asset-friendly bank. Top recommendations:
- Silvergate Bank – Specializes in digital asset companies and offers efficient Plaid integration.
- Metropolitan Commercial Bank – Known for crypto exchange banking services and Plaid compatibility.
Once you have a suitable bank account established, follow the guide above to link via Plaid and buy crypto securely.
Conclusion
Plaid bridges the gap between traditional banking and crypto investments for US users. We recommend using the regulated exchange Uphold for buying Bitcoin and other digital assets via Plaid instant transfers. With strong security, $0 deposit fees, and an extensive range of cryptos, Uphold ensures a compliant and affordable on-ramp to this emerging asset class. As always, invest based on research and proceed with caution.
FAQs:
Does Plaid work directly with crypto?
No, Plaid itself does not facilitate direct cryptocurrency transactions. It serves as infrastructure enabling connections between bank accounts and supported crypto exchanges.
What are the fees for buying crypto through Plaid?
When using recommended platform Uphold, Plaid USD transfers are free with no deposit charges. Trading fees are also competitive at 1% spread per trade.
Can I stake cryptos bought via Plaid?
Yes, Uphold allows staking of supported crypto assets purchased using Plaid funding options. This enables earning passive income on holdings over time.
