The Best Way To Buy Crypto With Wealthfront

Mike Harry
Feb 2023
5 min to read
Fact checked

Summary: If you are a Wealthfront customer interested in buying cryptocurrencies like Bitcoin, we recommend registering with eToro and Uphold. Both of these platforms are regulated, easy to use and offer a wide range of cryptocurrencies. You can signup today (only takes minutes) and then instantly deposit funds so that you can begin buying and selling cryptocurrencies.

eToro

+80 Cryptos & Copy Trading

Virtual Demo Portfolio

Fast & Cheap Deposits

FinCEN & FINRA Regulated

Visit eToro
eToro USA LLC: Investments are subject to market risk.
Including the possible loss of principal.
Uphold

+250 Cryptos & Staking

Fast & Cheap Deposits

100% Proof Of Reserves

Regulated in the US, EU & UK

Visit Uphold
Crypto assets are high risk and not regulated.
Capital at risk.

Can I buy crypto with Wealthfront? 

You can’t buy cryptocurrencies directly from Wealthfront as they don’t offer any trading services related to digital assets. Instead, you can buy cryptocurrencies from regulated third-party exchanges. We recommend using licensed and regulated exchanges that have a long track record of providing safe and secure services.  

How to buy crypto with Wealthfront?

Signup for a cryptocurrency exchange that lets you buy and sell cryptocurrencies. The signup process only takes a few minutes and you can then deposit funds. Deposits can be made via bank (ACH) or card transfers. Bank transfers take 1-2 business days to process but are free of charge, while card transfers are instant but come with a deposit fee. 

We recommend signing up and buying crypto from exchanges like Uphold and eToro as they are regulated by FinCEN in the United States. These are trusted cryptocurrency venues with a decade-long track of flawless operations. They are also easy to use for beginners and offer a wide range of cryptocurrencies besides Bitcoin and Ethereum. 

 

How to quickly signup

1. Create Account: Signup and add your identity verification.‍
2. Deposit Funds:
Via your Wealthfront account or credit card/debit card. 
3. Start Buying:
Once your deposit has arrived in your account.

Buy Crypto with Wealthfront and eToro
Buy Crypto with Wealthfront and eToro


Wealthfront Crypto

Below we have outlined a compilation of frequently asked questions related to Wealthfront and digital currencies.

1. Does Wealthfront have Crypto? 

Wealthfront does not offer traditional exchange services where customers can buy and sell from a large pool of cryptocurrencies. Customers of Wealthfront can only get exposure to crypto via Wealthfront's cryptocurrency trusts. These ETFs are only available for Bitcoin and Ethereum. Wealthfront further only permits a maximum 10% portfolio allocation to the crypto ETFs.

2. Wealthfront crypto ETF

Wealthfront's Crypto ETFs (Exchange Traded Funds) is a recent product offering that provides investors with indirect exposure to cryptocurrency assets. The ETFs track the performance of the top cryptocurrencies like Bitcoin and Ethereum. 

Wealthfront Crypto ETFs
Wealthfront Crypto ETFs

3. Wealthfront Bitcoin trust

Wealthfront currently offers two types of cryptocurrency trusts, Greyscale Bitcoin Trust (GBTC) and Greyscale Ethereum Trust (ETHE). The Wealthfront Bitcoin and Ethereum Trusts allow investors to gain exposure to bitcoin without holding the assets directly.

The trust is managed by Wealthfront and is available to investors through the New York Stock Exchange. The trust is designed to simply track the market price of Bitcoin and Ethereum. 

The main downside of owning ETFs instead of owning cryptocurrencies directly is that you take on counterparty risk. Counterparty risk means the risk that the creator of the ETF might default on their contractual obligations. Additionally, ETFs typically have higher fees associated with them than buying cryptocurrencies directly, which can reduce your overall return on investment (ROI).

What is Wealthfront?

Wealthfront Website
Wealthfront Website

Wealthfront is an online automated investment service that was founded in 2008 by Andy Rachleff and Dan Carroll. The company’s mission was to make investing simpler and more affordable by offering a low-cost alternative to financial advisors. Since its inception, Wealthfront has raised over $270 million in capital from a variety of investors such as Greylock, Index Ventures and Benchmark.  

Wealthfront’s portfolio management services are designed to help users invest their money with minimal effort. Its automatic investment service uses software-based financial advice, investment management, and tax optimization strategies to help people invest their money. 

Wealthfront creates a personalized investment portfolio for each customer and then automatically rebalances the portfolio to achieve those goals.  

Wealthfront Portfolios
Wealthfront Portfolios

The platform uses modern portfolio theory to construct portfolios of low-cost ETFs that match clients’ goals and risk tolerances. At the time of writing Wealthfront offers over 239 investments across 17 different asset classes. This includes ETFs in a wide range of categories such as tech, innovation, bonds, stocks, emerging markets, crypto and much more. 

Wealthfront’s portfolios are developed by investment experts and optimized to reduce risk through diversification and come with a single 0.25 annual advisory fee. Wealthfront has grown to become one of the largest robo-advisors in the world with over $20 billion in assets under management. 

eToro

+80 Cryptos & Copy Trading

Virtual Demo Portfolio

Fast & Cheap Deposits

FinCEN & FINRA Regulated

Visit eToro
eToro USA LLC: Investments are subject to market risk.
Including the possible loss of principal.
Uphold

+250 Cryptos & Staking

Fast & Cheap Deposits

100% Proof Of Reserves

Regulated in the US, EU & UK

Visit Uphold
Author
Mike Harry
Mike is a passionate crypto enthusiast who bought his first Bitcoin in 2016. With a natural curiosity and a love for learning and tinkering, Mike is always trying out new DeFi applications. Mike excels at breaking down difficult concepts into easy-to-read guides for beginners.

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