PayPal Holdings, Inc. today announced the launch of a new service enabling its users to buy, hold and sell cryptocurrency directly from their PayPal account.
PayPal to offer crypto payments in 2021
Not limited to the function of buying and selling virtual currency, it will be possible to pay using cryptocurrencies at more than 26 million shops worldwide that support PayPal as from 2021. PayPal entering the crypto space could be huge for the adoption of cryptocurrencies across countries.
“To increase consumer understanding and adoption of cryptocurrency, the company is introducing the ability to buy, hold and sell select cryptocurrencies, initially featuring Bitcoin, Ethereum, Bitcoin Cash and Litecoin, directly within the PayPal digital wallet. The service will be available to PayPal accountholders in the U.S. in the coming weeks,” the company said.
PayPal has a conditional license from the New York State Department of Financial Services (NYDFS) to offer this service. Cryptocurrency trading will begin in the US on the PayPal platform in the coming weeks. In the first half of 2021, the trading service of Venmo, a social payment service under its umbrella, will be lifted, and the service will be expanded to countries other than the United States.
A conditional license is a permit that allows you to operate under certain conditions by partnering with a company that has a regular license. This time, it is expected that it will apply for a license by itself in the future in partnership with the crypto exchange Paxos.
PayPal cryptocurrency plans
As AtoZ Markets reported in July of this year, PayPal came up with a plan to offer a cryptocurrency trading service in partnership with Paxos. As a global service boasting 325 million users, its influence is enormous.
President and Chief Executive Dan Schulman said in an interview with Reuters:
We are working with central banks and thinking of all forms of digital currencies and how PayPal can play a role.
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