How to buy bitcoin with paypal – a practical guide

englishchinese Italiainfrenchgermanrussianswedishportuguesedutchspain Turkey Greece Czech Hebrew Arabic

Buy Bitcoins with Paypal – step by step tutorial

Note: If you’re looking to buy Bitcoin with Paypal or a credit card for trading purposes only check out AvaTrade or Plus500 Bitcoin CFD trading. For more information read this post.

Since no exchange currently allows a way around the charge back issues of buying Bitcoins with Paypal we are going to have to go through VirWox – The Virtual World Exchange. We will use a virtual currency called SLL (Second Life Linden Dollars), This currency is used for one of the biggest virtual worlds today – Second Life. After buying this currency with Paypal (which is acceptable) we will then trade it to Bitcoins.

Things you should know before we get started:

  • Because of chargeback risk Virwox is taking on themselves they are limiting the amount you can deposit initially through Paypal or a credit card, here are the exact limits according to their website from December 21th 2013.

virwox limitations

  • This process hold within it more transaction fees than usual. This may still be a valid solution since the soaring numbers of BTC compensate for this. It’s important for you to be aware of the different transaction fees.
  • Since December 2013 VirWox is delaying new user transactions for up to 48 hours. This means that it can take you 2 days to complete this process (still way faster than using a wire transfer)

If you find yourself getting stuck at any point don’t hesitate to contact me through the contact form on the site.

Step 1: Go to VirWox.

VirWox is an exchange of virtual currency, you can buy there Lindens, Bitcoins, and more…

Step 2: Open a free account

Click on the “not registered yet”  on the top of the left sidebar to open up a new account as shown here:

buy Bitcoin with paypal - open account

Step 3: Fill out our personal details

Fill out your username and email address. Where it asks for “avatar name” just leave it at “No Avatar”,  it  doesn’t matter, since you’re not going to play Second Life.

buy Bitcoin with Paypal - fill details

Continue filling out all of the personal details and click “register”.

 

Step 4: Activate your account

Once you clicked “register” you will get an email confirmation with your password. Open the email, copy the password and log back into VirWox.

 

Step 5: IMPORTANT!!! Change your password!

After clicking the confirmation link it is advised you change you password as shown below since you will be transferring money through this site.

buy Bitcoins with Paypal - change password

Do not worry about the message saying “Your avatar connection has not been validated yet” – it is irrelevant.

Step 6: Fund your account through PayPal

Click on deposit on the left side and choose PayPal Express. Fund the account with how many USD you’d like.
Buy Bitcoins with Paypal - fund account

Note: From now on for each transaction you will make there will be a fee – make sure you are aware of the relevant deposit and withdrawal fees.

Step 7: Buy SLL with USD 

Go to Exchange->USD/SLL on the left side. You can also go to any other currency you’d like. Buy SLL (which mean Second Life Lindens) . We will later on exchange these SLL to Bitcoins.

USD/SLL exchange Bitcoin

Note: If you haven’t made a deposit yet you will get the screen shown above requesting you to deposit before you buy SLL.

Step 8: Buy BTC with SLL 

Once you have SLL in your account, go to the BTC/SLL and buy Bitcoins with your SLL.

Buy Bitcoins with SSL

Important!!!
Sometimes a manual review will be required by VirWox after this step. This can take up to 48 hours but usually takes around 6 hours.

 

 Step 9: Withdraw your Bitcoins

Choose “Withdraw” on the left side and send the Bitcoins to your wallet.

How to withdraw Bitcoins

Remember: If you’re only looking to buy Bitcoin with Paypal or a credit card for trading purposes only you may want to check out AvaTrade or Plus500 Bitcoin CFD trading.

 Email: