How to Buy Crypto with Synchrony Bank

Summary: Synchrony Bank doesn't facilitate cryptocurrency transactions directly. However, customers can engage with digital assets via approved exchanges, using U.S. Dollars (USD) transferred from their Synchrony Bank accounts to buy cryptocurrencies on their chosen exchange.

After examining various approved platforms, Kraken stands out as the best choice for Synchrony Bank users. Kraken, fully regulated by FinCEN in the U.S., guarantees instant and free USD transfers from any bank. It also provides access to a wide portfolio of over 200 cryptocurrencies, margin trading, and a range of investment approaches, including crypto staking.

Can I Buy Crypto with Synchrony Bank?

Yes, you can legally invest in cryptocurrencies using your Synchrony Bank account or card. To obtain assets like Bitcoin, Ethereum, or other digital currencies, you should register with a regulated U.S. crypto exchange that is compatible with Synchrony Bank transfers. It's critical to mention that Synchrony Bank itself doesn't facilitate or endorse cryptocurrency trading. This means it is important to select an exchange that complies with guidelines laid out by the U.S. Financial Crimes Enforcement Network (FinCEN) and other pertinent federal and state regulatory bodies.

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How to Buy Bitcoin and Crypto Synchrony Bank

For a secure method of buying Bitcoin or other cryptocurrencies with your Synchrony Bank account or card, it's imperative to sign up with a U.S.-regulated crypto exchange. These platforms facilitate straightforward deposits in U.S. Dollars (USD) via ACH transfers, FedWire, Plaid, and various card options. After evaluating multiple options, Kraken emerges as a highly recommended platform for USD deposits. It offers instant USD deposits, over 200 digital assets, crypto staking features, and is licensed by FinCEN and other pertinent regulations.

Here's an easy-to-follow guide to help you begin your crypto journey:

1. Register on Kraken and go through the identity verification steps.
2. Navigate to the 'Add Funds' option, which you'll find at the top of your dashboard.
3. Choose U.S. Dollar (USD) as your currency of choice and initiate a transfer from your Synchrony Bank account.
4. Once your Kraken account shows the updated balance, search for the cryptocurrency you're interested in and finalize your purchase.

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What are the Fees?

The cost structure for buying Bitcoin or other digital assets with Synchrony Bank can differ based on the crypto exchange you choose. Fees often encompass deposit, withdrawal, spread, and transaction costs. For those using Synchrony Bank, Kraken stands out as a cost-effective option.

Kraken sets itself apart by offering free, immediate USD deposits via Synchrony Bank and a diverse array of over 200 cryptocurrencies. Additionally, it provides robust staking options. While some platforms may impose a spread fee of 2% or higher, Kraken keeps its rates competitive, making it an attractive choice for investors concerned about fees.

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Is Synchrony Bank Crypto-Friendly?

Synchrony Bank promotes customer interaction with cryptocurrencies by permitting transactions with accredited trading platforms that adhere to FINRA, FinCEN and the underlying U.S. Securities and Exchange Commission (SEC) regulations. This enables Synchrony customers to shift U.S. dollars from their accounts to these compliant exchanges, aligning with regulations aimed to thwart financial malpractices.

As a result, Synchrony Bank clients can explore the realm of cryptocurrencies with assurance, knowing their investments are protected and fulfil all legal requirements.

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Bottom Line

In summary, while Synchrony Bank doesn't directly facilitate cryptocurrency transactions, it offers a secure and regulatory-compliant pathway for its customers to engage in the crypto world. The bank allows U.S. Dollar (USD) transfers to regulated cryptocurrency exchanges, notably Kraken, which stands out for its cost-effectiveness and diverse asset portfolio. Kraken is fully compliant with FinCEN regulations, offering an array of more than 200 digital assets, free and instant USD transfers, and competitive fees.