Massive crypto intentions: This is how big payment giant PayPal is planning with Bitcoin & Co.
PayPal wants to turn more to crypto. This has now been confirmed by Dan Schulman, the company’s CEO.
According to PayPal, the limited Crypto Code trading service it launched last year for US residents has exceeded expectations. Schulman:
„Even with high initial expectations, the volume of cryptocurrencies traded on our platform has far exceeded our projections“
According to the data, crypto buyers have logged into PayPal twice as often, becoming more active overall.
This has contributed greatly to the platform’s overall performance, with total payment volume surpassing $277 billion in Q4 2020 alone.
A big step towards crypto adoption
For the first time, the company announced on 21 October 2020 that it would allow its users to buy, hold and sell Bitcoins on Paypal (Go to Buy Bitcoin Paypal Guide). By the end of November, PayPal had fully ramped up its US customers and has since allowed them to buy crypto directly from their accounts as well as through the Venmo app.
The list of supported cryptocurrencies includes Bitcoin, Bitcoin Cash, Ethereum and Litecoin. Since then, the volume of crypto traded on the platform is seeing record highs.
The platform also announced its plans for how customers can use cryptocurrencies while making payments to any of the 28 million merchants on the PayPal network. According to Schulman, digital currencies from central banks are „a matter of when and how, not if“.
PayPal’s main focus area
One of the company’s main strategic directions is to bring crypto payments to „Venmo and select international markets“ in 2021. According to Schulman, the rollout of PayPal’s crypto features is expected to begin „at the end of this quarter“, while the first international market is expected to be launched in the next few months.
„We’re already working with regulators and central banks to re-imagine and redesign the next generation of the financial system as consumers no longer want to handle cash.“
He also confirmed a 2021 initiative to „make cryptocurrency available as a source of funding for payment at PayPal’s 29 million merchants around the world“ – highlighting that the company’s investment in the crypto, blockchain and digital currencies business is significant.
To help shape the role of digital currencies in consumer payments, PayPal will not integrate additional fees. All transactions will be processed with fiat currencies and are intended to give everyone access to a new dimension of the digital economy.