How to Buy Crypto with Monzo [2023] | Step-by-Step

Summary: Monzo doesn’t offer customers the chance to buy cryptocurrencies on its own platform. Instead, Monzo customers can connect their banking accounts to a Financial Conduct Authority (FCA) licensed cryptocurrency broker to buy digital assets like Bitcoin (BTC) and Ethereum (ETH). 

In short, to buy crypto with Monzo, investors in the UK will need to sign up with an FCA-regulated crypto exchange like eToro and deposit GBP from their Monzo account.

Best for:

Intermediate Traders and Investors

2.8 Million Active Accounts

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Finbold is compensated if you access certain of the products or services offered by eToro USA LLC and/or eToro USA Securities Inc. Any testimonials contained in this communication may not be representative of the experience of other eToro customers and such testimonials are not guarantees of future performance or success.

Can you buy crypto with Monzo? 

You can buy crypto with Monzo, but you need to connect to an FCA-licensed cryptocurrency exchange. As mentioned above, this is because Monzo does not offer cryptocurrency services directly through its online banking platform.

How to buy crypto with Monzo?

The best way to buy Bitcoin or any other cryptocurrency with a Monzo online banking account in the UK is through an FCA-regulated broker like eToro, which is a licensed and widely trusted digital asset platform with over 70 cryptocurrencies and unique features such as “Copy Trading,” which enables users to copy top-performing crypto traders, in addition to a staking service, custom watchlist, as well as advanced charts and technical analysis tools. 

How to buy crypto with Monzo: Step-by-Step

You can get started in minutes with four simple steps:

• Step 1: Create an account on eToro and complete your verification (personal or company);
• Step 2: Enter the GBP amount you want to deposit on the eToro platform;
• Step 3: Connect your Monzo account to deposit your selected fiat currency;
• Step 4: The final step is to find the cryptocurrency you want to purchase and execute your trade.

Best for:

Intermediate Traders and Investors

2.8 Million Active Accounts

Get Started

Finbold is compensated if you access certain of the products or services offered by eToro USA LLC and/or eToro USA Securities Inc. Any testimonials contained in this communication may not be representative of the experience of other eToro customers and such testimonials are not guarantees of future performance or success.

About Monzo

Monzo is a neobank based in the United Kingdom with over 5.8 million customers. It was founded in 2015 and quickly gained a reputation for its user-friendly app and clever features, such as Pots for budgeting and Shared Tabs for tracking expenses between groups. Monzo also offers traditional banking and financial services for both businesses and individuals. 

Services offered by Monzo include: 

• Personal banking: Checking accounts, savings accounts, credit cards (Monzo Flex) loans, and overdrafts;
• Business banking: Business checking accounts and business tools, including invoice and accounting software;
• Wealth management: Financial planning and advisory services with various options for savings accounts.

Monzo’s crypto policy

Monzo does not currently offer any products or services related to cryptocurrencies. That said, Monzo crypto policy does allow customers to freely deposit and withdraw funds from FCA-regulated exchanges. However, like all regulated banks, they may block a small number of transactions based on risk to keep clients safe. Note that this applies to all transactions, not just ones concerning cryptocurrencies. 

In addition, customers have been encouraged to stay mindful of online schemes, with advice outlined on their website in the Fraud Guide section as well as the FAQ section about cryptocurrency. Monzo’s FAQ section answer the question “is Monzo crypto-firendly” is as follows:

“As a Monzo customer you can use a range of cryptocurrency exchanges to buy crypto, as part of your personal banking with us. Like all regulated banks, from time to time we may block a small number of transactions based on risk. This applies to all transactions, not just ones involving cryptocurrencies”.

As mentioned above, Monzo’s crypto policy states no current restrictions on FCA-licenced crypto brokers. However, following the FCA’s consumer warning on Binance in 2021, Monzo blocked cryptocurrency transfers and stopped facilitating payments to this specific platform. However, Monzo still allows transfers to other digital asset trading platforms, such as crypto exchanges like Coinbase or brokers offering multiple asset trading like eToro.

How to buy crypto safely

Crypto is still a somewhat new and untested territory, making it a much riskier investment than stocks. Rampant in pyramid schemers and hackers and subject to tremendous price volatility, many investors have been scared away from the sector. 

In addition, although FCA-licensed crypto brokers are required to have anti-money laundering (AML) and terrorist financing procedures in place, crypto assets themselves are not regulated in the UK. In fact, with most cryptocurrencies, investors are unlikely to have access to protections from the Financial Ombudsman Service and the Financial Services Compensation Scheme (FSCS) if something were to go wrong. 

Fortunately, there are a few ways to ensure you’re buying crypto safely. Let’s break down a few tips on what you should do when pursuing the world of digital assets and how to best protect yourself and your money:

• Research the cryptocurrency you want to buy: Make sure you understand how it works and what the risks are; 
• Only use a safe device: Avoid public computers and Wi-Fi networks. Always use your personal computer with a VPN, which helps establish a secure connection between you and the web, keeping your sensitive information safe;
• Choose a reputable exchange: Ensure the exchange is licensed by the appropriate regulators in your country and has a solid track record. Study the exchange’s user terms and agreements carefully to learn more about where your money is kept and what happens to your funds if the business goes bankrupt. You may also want to scour through user reviews to catch any red flags;
• Secure your account: Use two-factor authentication and a strong password to protect your account;
• Use a secure wallet: Store your cryptocurrency in a secure wallet to protect it from hackers. You can opt for either a hot (online) or cold (offline) wallet. To choose the right one for you, make sure to check out our in-depth guide on crypto wallets;
• Don’t invest money you can’t afford to lose: Because the crypto market can be so volatile, you need to be conservative with your investments, particularly when starting out. For more investing tips, have a look at our guide on investing mistakes to avoid;
• Monitor your investments: Keep an eye on the market and be aware of any changes in the price of the cryptocurrency you’re investing in. 

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk. 

FAQs about how to buy crypto with Monzo: