PayPal has announced that US businesses can now buy, hold, and sell cryptocurrency directly from their accounts, aiming to increase the utility of digital currencies for merchants. This new feature will make it easier for businesses to handle crypto assets and integrate them into their operations.
Jose Fernandez da Ponte, PayPalâs Senior VP of Blockchain, emphasized that this decision was driven by user demand. Since the company introduced crypto services for consumers through PayPal and Venmo, they have gained insights into how people want to use digital currencies. This feedback has led PayPal to extend similar capabilities to business owners, making it easier for them to navigate the crypto space.
In addition to basic transactions, PayPal now allows merchants to transfer crypto to and from external wallets, offering more flexibility for business account holders. This feature lets businesses send and receive supported crypto tokens to third-party wallets, making crypto management even more convenient.
PayPal has been a leader in integrating cryptocurrencies into its platform since 2020, when it first allowed customers to trade digital assets via PayPal and Venmo. The company further expanded its offerings with the introduction of PayPal USD (PYUSD) in 2023, a stablecoin that can be used on Xoom for international transfers without transaction fees. Recently, PYUSD was made available on the Solana blockchain, boosting its reach and functionality.
However, itâs important to note that this new feature will not be available to businesses in New York State at launch, due to regulatory restrictions. Overall, PayPalâs latest crypto expansion aims to make it easier for US merchants to engage with digital currencies, adding more flexibility and options for managing crypto transactions.