PayPal is planning the worldwide introduction of a crypto service. From 2021 customers should be able to trade crypto currencies worldwide.
Together with the Venmo app, the global launch of PayPal’s new crypto service is planned to become a reality in 2021. This news gave Bitcoin’s share price an enormous boost last month. In addition, the payment giant also wants to deal with digital central bank money (CBDC) and support other crypto currencies.
PayPal starts crypto offensive
In the context of the announcement of the quarterly figures, the payment provider announced that it intends to aggressively enter the crypto sector:
Obviously the world is moving rapidly from physical to digital currencies. There is no question that digital currencies are becoming more and more important, have more and more functions and are becoming more and more important.
– Daniel Schulman, CEO of PayPal
In his speech, the CEO emphasised that there is no question of CBDCs catching on. In his opinion, it is only a matter of time before they become established. Daniel Schulman also said that his company wants to play an active role in shaping CBDCs.
In particular, he wants to improve the acceptance of crypto currencies and their interoperability with existing payment systems. This should make it possible to exchange from wallet to wallet, between the different currencies themselves and at the merchants’ premises. It seems that PayPal will also compete with established crypto exchanges in the future.
Furthermore, the PayPal CEO has described the old financial system as “not working” for many ordinary people. The payment giant wants to make the financial system fundamentally better.
I think that our platform and all the new digital infrastructure we are building will help to make the monetary system more effective.
CEO Daniel Schulman is overwhelmed by demand for Bitcoin service
Only last month PayPal announced the introduction of crypto-assets on its payment platform. A total of 26 million merchants should be able to accept crypto-currencies without any problems in the first quarter of next year.
In the US, customers can already use the new service and trade Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH) and Litecoin (LTC).
The demand for the new crypto service has been overwhelming, according to PayPal CEO Daniel Schulman.
We have customers who have already bought crypto currencies and open their wallets several times a day to see what happens to their investments. The demand has been two to three times higher than our expectations.
In response to the demand, Schulman also announced that PayPal will increase its weekly crypto purchase limit from $10,000 to $15,000. In 2021, the payment provider plans to enter the international market and offer more crypto services. However, no further details have yet been announced.