PayPal Holdings, Inc. has announced the launch of a new feature for merchants in the United States that allows them to buy, hold, and sell cryptocurrencies directly from their merchant accounts.
The move aims to boost the use of cryptocurrencies among businesses across the United States, excluding New York state at launch.
New opportunities for business account holders:
According to a press release issued on September 25, this new feature represents a major advance in PayPalâs efforts to expand the use of cryptocurrencies in the commercial sector within the United States.
âJose Fernandes da Ponte, Senior Vice President of Blockchain and Cryptocurrency at PayPal, said:
Since we introduced the ability to buy, sell, and hold cryptocurrencies to PayPal and Venmo users, we've gained valuable insights into how users want to use these digital assets.
He added that there is growing interest from business owners in offering the same cryptocurrency services available to consumers.
With this new feature, PayPal can meet this demand, making it easier for merchants to integrate cryptocurrencies into their business operations.
PayPal has also launched a new feature that enables transfers to and from external blockchain addresses, allowing US business account holders to send and receive cryptocurrencies to eligible external wallets.
This provides greater flexibility for sellers who engage in e-commerce.
PayPal's Cryptocurrency Ecosystem Expands
PayPal first entered the cryptocurrency world in 2020, allowing its customers to buy, sell, and hold assets like Bitcoin (BTC) via its e-wallets.
Since then, the company has taken major steps to integrate cryptocurrencies into its ecosystem.
In August 2023, PayPal became the first fintech company to launch a USD-backed stablecoin, issued in collaboration with Paxos Trust Company.
PYUSD is fully backed by a reserve of US dollars, including US Treasury bonds and cash equivalents, and can be bought and sold on PayPal and Venmo at a fixed rate of 1:1 to the dollar.
In April 2024, PayPal expanded the use of PYUSD by enabling it as a funding option on its Xoom platform, enabling international money transfers with no transaction fees when using the stablecoin.
This move has boosted the appeal of PYUSD, especially in the cross-border remittance space.
Recently, PYUSD was listed on the Solana network, giving users access to multiple blockchains, and providing more control and flexibility in managing digital assets.
