PayPal revealed that positive influential cryptocurrencies, Bitcoin, Ethereum, Bitcoin Cash, and Litecoin, could be purchased, sold, and maintained by users via Paypal.com. People will be able to purchase and handle their cryptocurrency in one location via its website. Like that of an emerging means of exchange, cryptocurrency is rapidly received increasing attention globally since its launch in 2009.
Cryptocurrencies, partially due to the quick shift in prices they can encounter in comparison to standard government currencies, always been a niche payment process. PayPal said it intended to improve consumer understanding and acceptance of cryptocurrency.
Cryptocurrency Revolutionizing Business
Cryptocurrencies, that have the power to transform the mechanism of peer-to-peer and remittance transactions, are benefiting substantially from a decentralized framework, low fees, distributed ledger technology transparency, user prorated refund security, and rapid international transfers. In reality, as a result of the ongoing pandemic, its increasing market of alternative currencies continues another sharp turn. Several of these factors are fueling the growth of the global in cryptocurrency transactions (mainly Bitcoin and Ethereum).
The unpredictable prices of cryptocurrencies – along with their widespread use with a less traceable form of payment for malicious activities – have resulted in multiple calls to monitor them.
The New York State Department of Financial Services granted PayPal approval for its operation in the form of a conditional “Bitlicence” – the first such license granted.
The transition to digital currency platforms is imminent, helping to bring with all of it digital natives in terms of economic access and availability; the transaction platform’s functionality, speed and resilience; and the willingness for governments to easily release funds to people,’ said Dan Schulman, PayPal’s president, and CEO.
Development of Cryptocurrency Acceptance and Knowledge
The company is launching the option to acquire, keep and sell select cryptocurrencies, initially featuring Bitcoin, Ethereum, Bitcoin Cash, and Litecoin, directly inside the PayPal digital wallet, to improve customer awareness and appreciation of cryptocurrencies.
This service is also available in the USA for PayPal account holders. During the first half of 2021, the company aims to extend Venmo’s features and select foreign markets. Via a collaboration with Paxos Trust Company, a controlled provider of cryptocurrency products and services, the service is allowed in the U.S. PayPal was also given a first-of-its-kind conditional Bitlicense by the NYDFS – New York State Department of Financial Services.
As part of this service, PayPal would provide educational materials to accounting professionals to help them learn the cryptocurrency ecosystem, its threats, and opportunities associated with investing in cryptocurrencies, and blockchain technology information. There are no service fees while buying or selling cryptocurrency by December 31, 2020, or there are no cryptocurrency ownership fees in a PayPal account.
It’s nice and a convenient procedure, but before implementing any impulsive decisions, PayPal recommends paying just a dollar to experiment around with it. Though it might not be the most viable way of expanding your holdings, the growth of PayPal into the crypto market is a perfect way to step into the cryptocurrency world for the everyday person.
Also read: What is the journey from paper currency system to digital currency system ?