Payment service provider PayPal Holdings Inc. has announced its integration of crypto services. The payments company revealed the latest development in an announcement on the 21st of October.
Starting from early 2021, PayPal users will be able to use cryptocurrency to shop from 26 million merchants on the platform. As noted by the company, PayPal will pay merchants with fiat currencies for successful transactions done with digital assets.
With its 346 million active accounts, PayPal’s new crypto payments will support four digital assets. They include Bitcoin (BTC), Bitcoin Cash (BCH), Litecoin (LTC), and Ethereum (ETH).
According to a Cointelegraph , PayPal has partnered with Paxos Trust Company to deliver the new service. The report further revealed that PayPal has also secured a BitLicense from the New York State Department of Financial Services (NYDFS).
Customers will also be able to buy and sell digital assets on the PayPal network.
PayPal’s president and CEO, Daniel Schulman, the purpose of the new initiative. Schulman said the company hopes to encourage global use of digital currencies with the new service.
PayPal also seems to be preparing its network ahead of the creation of central bank digital currencies (CBDCs).
The CEO said:
“We are working with central banks and thinking of all forms of digital currencies and how PayPal can play a role.”