PayPal did the same thing although I think they eventually enabled withdrawals. I haven't looked.
Back when CashApp was new I decided to give that a try. Bought a little Bitcoin and withdrew it. The next day they suspended my account for 'suspicious transaction activity'. Bitches.
Now days I actually buy on overpriced on ramps like Moonpay for the simple reason that they send the sats directly to my wallet.
I receive regular payments through venmo (even though the payee buys and sells Bitcoin, I'm not sure why he won't just pay me in Bitcoin...) and thought I'd try the route of convenience and exchange right there and send to myself. However, unless I'm doing something wrong, it looks as though they don't give me the ability to send outside of their own app.
Yeah it's an 'investment' and you have no way of knowing if they're even holding the Bitcoin they claim to be holding for you. So it might just be paper Bitcoin.
I had the same experience with PayPal. I bought some, realized I couldn't withdraw it, and sold it.
I think they enabled withdrawals like a year or two ago though.
Venmo will probably do the same.
As far as I'm concerned, if I can't send my own Bitcoin to myself, it doesn't exist and whatever it is, it sure the hell isn't Bitcoin.
iirc PayPal is Venmo's parent or sister corp. So if that's how PayPal operates, I'm sure that's exactly how Venmo operates, too.
Yeah as I understand it venmo is just a service wrapper for PayPal. PayPal provides the financial plumbing for venmo.
