How to Buy and Sell Stocks with a sponsored account (2024)

Buying Stocks

Once the account sponsor approves the sponsored person’s request to invest in stocks and bitcoin, the sponsored person can start buying stocks in Cash App.

Remember: A stock's share price may fluctuate depending on a number of factors. The last-traded price you see may not be the same price at which your order will be executed.

Stock Buying Limits

Sponsors can set their sponsored account’s rolling monthly (30-day) stock buy limit. Stock buy limits can be low as $5 per rolling month and as high as $400 per rolling month.

The stock buy limit includes combined activity across buying stocks, accepting stock gifts, and Round Ups.

There is no limit for selling stocks (subject to general Cash App stock selling limits).

For example: If the account sponsor sets a stock buy limit of $400 per rolling month, and the sponsored person buys $250 in stocks, accepts $100 in stock gifts, and rounds up $50 in stocks within a rolling month, the sponsored account will have reached their stock limit.

To set or change your sponsored account’s limit:

1. Navigate to the Profile icon in the top right hand corner
2. Tap Family
3. Select your sponsored account’s name
4. Tap Controls & limits
5. Scroll to Stocks or Bitcoin
6. Set your sponsored account’s monthly buy limit
7. Tap Monthly buy limit

Selling Stocks

If a sponsored person would like to learn how to sell stocks, visit this article.

The amount of a sponsored account’s sale may be automatically deposited into the sponsored account’s Cash App balance. Depending on market activity, sales proceeds may take up to 2 business days to be deposited into the sponsored account’s Cash App balance.

To close your account, the sponsor must contact Cash App Support and request that the family account be closed.

Taxes and Selling your Stocks

As the sponsored account’s owner, the sponsor assumes all tax responsibility for the sponsored account’s investing activity.

If a sponsor has questions about a particular tax situation, they should consult a tax advisor. Cash App Investing does not provide investment advice or recommendations. For more information around a sponsor’s tax responsibilities, visit our Sponsorship and Taxes article.

Keep in mind:To transfer shares to an external brokerage or fully withdraw the sponsored account’s assets and close the sponsored account’s Cash App Investing brokerage account, sponsors will need to contact Cash App Support.

_{Brokerage services by Cash App Investing LLC, member FINRA/SIPC, and a subsidiary of Block, Inc. formerly known as Square, Inc. Investing and purchasing bitcoin involves risk; you may lose money. Bitcoin trading is offered by Block, Inc. Cash App Investing does not trade bitcoin and Block, Inc. is not a member of FINRA or SIPC. For additional information, see the Bitcoin and Cash App Investing disclosures.}

_{Cash App Investing is a self-directed service; you are solely responsible for orders placed through your account. Cash App Investing does not provide investment advice or recommendations.Fractional shares investing may involve additional risks such as non-transferability. For additional information regarding the unique risks and limitations of fractional shares, please see your Investing Customer Account Agreement.}

_{Fees for stocks may apply such as regulatory transactional fees and external account transfer fees, please see the investing House Rules.}

_{Selling shares may have tax implications. If you have questions about your particular tax situation you should consult a tax advisor.}

_{You can designate someone for us to contact in the event of any issues with your account by getting in touch with Cash App Support.}

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