Massive News: PayPal accepts cryptocurrencies!
After months of rumours and denials, Paypal announced that they were entering the crypto processing market.
They have over 340 million account holders worldwide and their arrival gives crypto yet another vote of approval as well as opening it up to the masses.
PayPal Accepts Cryptocurrencies
PayPal has entered the cryptocurrency market, announcing that its customers will be able to buy and sell Bitcoin and other virtual currencies using their PayPal accounts.
Those digital coins could then be used to buy things from the 26 million sellers which accept PayPal, it said.
PayPal plans to roll out buying options in the US over the next few weeks, with the full rollout due early next year.
Bitcoin prices rose alongside the news, breaking the $12,000 (£9,170) mark.
The other cryptocurrencies to be added first will be Ethereum, Litecoin, and Bitcoin Cash (a spin-off from Bitcoin).
All could be stored “directly within the PayPal digital wallet”, the company said.
Although PayPal accepts cryptocurrencies, It’s not all straight forwards and certainly not a way I would recommend to use your crypto.
The small print that revealed PayPal wouldn’t let users transfer their cryptocurrency into or out of PayPal—nor would users have control of the private keys, that allow holders to move their digital assets.
“Currently, you can only hold the cryptocurrencies you buy on PayPal in your account,” the company wrote in materials outlining its bitcoin and crypto plans. “Additionally, the crypto in your account cannot be transferred to other accounts on or off PayPal.”
So, for now, its great news, that crypto has been endorsed by them but it’s not fully functional and it remains to be seen whether Paypal is going all-in on crypto or merely trying to preserve its market share.
Paypal charges much higher fees than retailers and senders pf currency than using crypto and again when they convert into other currencies (the fees can be horrendous).
I will update the article in the next few days.
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