PayPal Holdings Inc. said on Tuesday that it will allow users to transfer certain cryptocurrencies to other customers, exchanges and external wallets. The feature comes nearly two years after the fintech giant opened its platform for digital currencies.
The San Jose, California-based company said the feature will be available to select US users starting Tuesday and will be rolled out to all eligible US customers in the coming months.
PayPal begins allowing customers to buy, sell and hold BitcoinEthereum, Bitcoin Cash and Litecoin in October 2020. but users were not allowed to move crypto Shut down their platform first.
“It’s really about accessibility and usability,” Jose Fernández da Ponte, senior vice president and general manager of PayPal’s blockchain, crypto and digital currency business, said in an interview to Bloomberg. “We are significantly expanding the usefulness of moving crypto.”
The company also stated that the New York Department of Financial Services has paypal A “BitLicense,” which regulates businesses dealing with virtual currencies, according to a statement Tuesday on the firm’s website. PayPal said it was the first company to convert a conditional bitlicense to a full one.
PayPal said that users were requesting for the new feature ever since the company allowed the buying and selling of cryptocurrencies. The company has said that customers open their wallet twice after signing up for the cryptocurrency products.
Fernández da Ponte said, “PayPal is also exploring the launch of its own stablecoin, and is interested in connecting users with Web3, the catchall term for decentralized finance, non-fungible tokens and other crypto applications, however. No specific decision has been taken.” Bloomberg.
Since last year, the crypto market has seen an increase in investor interest on crypto investments with large venture investors, celebrities and blue-chip companies. However, the prices of such currencies remain volatile, reducing their appeal as a hedge against inflation.