Leading US-based financial services company PayPal will now allow its over 346 million users to buy and sell bitcoin and other cryptocurrencies directly from their wallets.
A Reuters report on Wednesday confirmed the development, revealing that the new option to buy and sell cryptocurrencies will be available for U.S customers within the coming weeks.
PayPal also plans to allow users the option to use cryptocurrencies to shop on any of the 26 million online merchants using its network, while integration with Venmo and some other countries will take place in 2021.
President and Chief Executive Dan Schulman said in an interview that the decision to support cryptocurrencies is crucial especially as central banks prepare to issue sovereign digital currencies. Being able to transact cryptocurrencies from their PayPal wallets will prepare users for what is coming.
Schulman reportedly said:
We are working with central banks and thinking of all forms of digital currencies and how PayPal can play a role.
The report revealed that aside from Bitcoin, PayPal will support Ethereum, Bitcoin Cash and Litecoin.
Onlookers believe that PayPal’s decision to integrate cryptocurrencies ten years after Bitcoin was launched, marks a crucial step in the mainstream adoption of these digital assets. For one thing, the emerging industry would largely benefit from having access to PayPal’s wide and diversified user base.
In the interim, the latest news has had a significant impact on the price of Bitcoin, continuing what has been a stellar year for the cryptocurrency.
Since, the turn of the year, publicly-traded companies such as MicroStrategy and Square invested a combined $475 million dollars and made the cryptocurrency a significant portion of their reserve assets.
At the time of writing, Bitcoin had a $228.3 billion market cap and was trading at a price of $12,326. The leading cryptocurrency is up 71% YTD.
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