How To Buy Crypto With Amex: Detailed Guideline To Save Costs

January 2, 2024 - Around 11 mins mins to read

American Express (or Amex) is one of the most famous banking institutions in the world. One of the financial services they offer is credit cards and gift cards, which can be purchased at all retail stores in the US. Today, let’s find out in detail how to buy crypto with Amex in this Coincu article.

How To Buy Crypto With Amex: Detailed Guideline To Save Costs

About Amex card

American Express (Amex) has solidified its status as a leading international payment card, alongside well-known counterparts like Visa and Mastercard. This credit card product, owned by the multinational American Express Company headquartered in New York, United States, has gained popularity in numerous countries across the globe. Unlike directly issuing or managing cards, Amex collaborates with banks worldwide, and cards under this brand are commonly referred to as “Amex” cards.

Accepted in over 230 countries at various payment locations, the American Express card offers a plethora of benefits and incentives to its users. Here’s a breakdown of what makes Amex stand out:

Amex allows users to spend now and pay later with a substantial credit limit. The interest-free period extends up to 50 days, with customers receiving monthly credit card statements.

Enjoy cashless transactions at merchants globally displaying the American Express logo. This extends to online purchases, mobile applications, and e-wallets, ensuring simplicity and speed in payment processes.

Utilizing “contactless” payment technology, cardholders can expedite transactions by tapping their card on payment devices at cashier counters, ensuring quick and secure transactions.

Amex prioritizes security with EMV chip card technology adhering to international standards. Additionally, online transactions are safeguarded by the 3D Secure security feature.

Users can leverage 0% installment payment options via credit cards at partner establishments.

American Express offers periodic incentives covering shopping, culinary experiences, and travel opportunities, enhancing the overall cardholder experience.

In emergencies, Amex cards can be used to withdraw cash at ATMs. However, caution is advised due to high service fees and associated security risks.

Users can efficiently manage their cards and monitor spending through user-friendly utilities accessible via smartphones.

A notable feature that sets Amex apart is its capability to be used for purchasing cryptocurrency, providing users with a diverse range of financial opportunities.

If you buy crypto with Amex, what should you pay attention to?

American Express has unveiled its first-ever crypto rewards credit card, developed in collaboration with Abra. While this marks a notable entry into the digital currency space, potential users should be mindful of certain limitations and considerations. Read More

This announcement comes as part of the partnership between American Express and Abra, a platform that has also introduced a new feature allowing users to buy and sell Non-Fungible Tokens (NFTs) within the Abra app, complete with managed custody for added security. The development aligns with the growing trend of integrating cryptocurrency features into traditional financial services.

Where to buy crypto with Amex?

Unlike some other credit cards, American Express does not have direct support for cryptocurrency transactions. As a result, individuals eager to delve into the crypto market must navigate through third-party exchanges, a process that may come with additional fees or charges.

Understanding the limitations imposed by American Express, crypto enthusiasts can still explore various platforms that accommodate transactions with this credit card. Here, we present a curated list of 6 platforms where users can leverage their American Express cards to enter the crypto space:

Buy crypto with Amex via eToro

eToro is a trailblazing platform, offering a comprehensive suite of services for CFDs, stocks, indices, currencies, cryptocurrencies, and commodities. Since its establishment in 2008, eToro has evolved into a leading force in the industry, boasting a user-friendly web-based and mobile platform that enables traders to engage in a diverse range of assets within a single portfolio. Read More

In addition to its transparent fee structure, eToro supports a variety of payment methods, providing users with flexibility and convenience. Accepted methods include major credit cards such as Visa, MasterCard, and American Express, as well as wire transfers, digital wallets like Skrill and Neteller, and online payment platforms such as PayPal. Moreover, eToro accommodates traditional bank transfers and even cash deposits, catering to a diverse audience with varying preferences.

Buy crypto with Amex via Paxful

Paxful is a notable platform, offering users the ability to purchase digital assets using American Express cards. Paxful operates as a peer-to-peer (P2P) cryptocurrency marketplace, exemplifying the growing trend of direct trading between buyers and sellers within the crypto community.

Despite the convenience of Amex transactions, it’s crucial to note that this convenience comes at a premium. The best offer currently available on Paxful incurs a premium of approximately 13%. In practical terms, this means that for every $1 spent, users receive only about $0.88 worth of Bitcoin, reflecting the premium charged by sellers on the platform.

Buy crypto with Amex via CEX.io

CEX.io is one of the longest-serving platforms, boasting a history that dates back to its establishment in London in 2013. While Bitcoin takes center stage on CEX.io, the platform supports a diverse array of digital currencies available for trading. Beyond Bitcoin, users can explore options like Ethereum, Bitcoin Cash, Litecoin, Dash, Ripple, and many others, providing a comprehensive selection to cater to various investment preferences.

Noteworthy among the funding methods available on CEX.io is the acceptance of the American Express card, providing users with a convenient and widely used option to fund their accounts. This flexibility in payment methods enhances accessibility and convenience for users seeking to engage in cryptocurrency trading on the platform.

Buy crypto with Amex via Skilling

Skilling is a user-friendly platform, catering to beginners and seasoned professionals alike. With accessibility as a cornerstone, Skilling opens the doors to commodity trading for everyone, making it easy to trade 55 different cryptocurrencies. A standout feature of Skilling is its adaptability, offering users the flexibility to engage with the platform through either the convenient mobile app or on a desktop computer.

What sets Skilling apart in the crypto trading sphere is its support for Amex cards. This inclusion allows users to seamlessly purchase cryptocurrencies on the platform using American Express cards, expanding the range of accessible payment options.

Buy crypto with Amex via BitPay

BitPay, a prominent crypto platform, is one such entity that allows users to buy crypto with their American Express card, thanks to Sardine’s support. It’s crucial to highlight that among the options available on BitPay, Sardine is the sole crypto on-ramp that facilitates American Express as the preferred payment method.

On BitPay, users can securely purchase up to $3,000 worth of cryptocurrency per day, reinforcing the platform’s dedication to meeting the diverse needs of its users. With support for over 60 cryptocurrencies, BitPay emerges as a comprehensive solution for enthusiasts and investors alike.

Buy crypto with Amex via Coinmama

In the fast-evolving world of cryptocurrency exchanges, Coinmama has distinguished itself with a unique approach that sets it apart from its competitors. The standout feature lies in its secure coin-buying process, where the platform, unlike many others, refrains from storing users’ purchased coins in its own wallet. Instead, funds are directly transferred to the user’s personal wallet, adding an extra layer of security to the transaction process.

Users can seamlessly buy digital assets using major prepaid and credit cards, such as Amex, as well as debit cards, bank transfers, Apple Pay, and Google Wallet. This comprehensive range of payment options contributes to the exchange’s user-friendly interface, catering to a broad spectrum of preferences and financial methods.

How to buy crypto with Amex in 2024

Selecting the right platform is crucial when buying crypto with an American Express credit card. Numerous crypto brokers support this payment method, each with its own unique features. To aid in the decision-making process, a comprehensive list of reputable brokers was covered in a previous section of this article.

Most centralized exchanges and brokers require users to register and complete a Know Your Customer (KYC) process. This involves providing personal information such as ID, passport, proof of residence, bank statements, and utility bills.

Some platforms may request additional verification steps, such as submitting a selfie or scanning a document. Once the verification stage is successfully completed, users can proceed to set up their accounts.

To facilitate transactions, users must link their American Express cards to their accounts. This involves entering essential information, including the card number, and expiration date, and confirming the security code located on the back of the card.

It is important to note that American Express imposes restrictions on its cards, so users should be aware of the minimum and maximum deposit amounts.

With the account funded and the American Express card successfully linked, users can begin the process of buying crypto. While the specific options may vary between exchanges, the fundamental process remains consistent.

Users utilize the fiat currency deposited into their accounts to purchase crypto, specifying the desired amount. The final step involves confirming the transaction and completing the purchase.

How to withdraw crypto via Amex

There is no direct method for transferring crypto to an American Express card. Instead, users will need to leverage the services of a crypto exchange that can convert their digital assets into cash and subsequently transfer the cash to their American Express card.

Begin by logging in to your crypto broker account. This step is crucial, as it initiates the process of accessing your account and managing your cryptocurrency holdings.

Navigate to the assets menu within your crypto broker account. If you haven’t already done so, ensure that your American Express card is linked to your account. Choose American Express as your preferred withdrawal option.

Enter the desired amount of money you wish to withdraw from your account. This step allows users to customize the withdrawal according to their financial needs.

Once you’ve entered the withdrawal amount, proceed to confirm the transaction. This step finalizes the withdrawal process, initiating the transfer of funds from your crypto broker account to your American Express card.

It’s crucial to keep in mind that certain online brokers may only accept American Express for deposits and not withdrawals. Therefore, before signing up with a specific platform, users should verify the withdrawal options available to ensure compatibility with their preferred payment method.

FAQs

1. How fast is buying crypto with Amex?

Purchasing cryptocurrency with American Express is a swift process, akin to transactions made with other credit or debit cards. The instantaneous nature of these transactions provides users with quick access to their chosen digital assets.

2. Is using American Express the best choice to buy crypto?

While American Express offers a convenient and speedy means of acquiring crypto, it may not be the optimal choice for every user. Comparatively, alternatives such as bank transfers, debit purchases, or peer-to-peer platforms may be preferred for their lower fees, higher purchase limits, increased anonymity, and broader access to cryptocurrency exchanges.

3. How much does it cost to use an Amex crypto broker?

Utilizing American Express for crypto purchases comes at a cost, as credit card transactions generally incur higher fees. Buyers should be aware that fees for using American Express to purchase crypto typically range from 4% to 8% of the total transaction amount. This includes both fees imposed by the broker and those specific to the credit card transaction, usually around 1-2% of the crypto purchase amount.

4. Can I buy crypto with Amex on Coinbase?

Certainly, Coinbase allows users to buy cryptocurrency using American Express.

5. Can I hold cryptocurrency in my Amex account?

No, it is not possible to hold cryptocurrency in an American Express account. The platform exclusively supports fiat currencies.

6. How do I buy crypto with Amex instantly without verification?

Unfortunately, maintaining complete anonymity while using an American Express card for crypto transactions is not feasible. To create an American Express account for crypto purchases, users must provide detailed personal information, and this information remains associated with the account.

7. Is it safe to buy crypto with an Amex credit card?

Yes, purchasing crypto with an American Express credit card is considered safe. Credit cards offer additional security features, including fraud protection and the ability to dispute and reverse transactions. Moreover, restrictions on credit card purchases may serve to mitigate the risk of irreversible losses, providing users with a layer of financial security.

Conclusion

While American Express provides a quick and convenient means to purchase cryptocurrency, users should exercise prudence in their decision-making. The assessment should extend beyond the immediate transaction, considering the long-term financial impact and whether the perks offered by Amex align with individual preferences and financial goals.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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