The latest update to PayPal enables cryptocurrency – Bitcoin, Ethereum, Litecoin and the like – holding and trading. PayPal tested cryptocurrency features for a small set of users in the weeks between October and now – now it’s time for all USA-based PayPal users to get a shot at using several digital currencies on the platform. As of yet, cryptocurrency features are available only inside the USA, while select international markets will launch in the first half of 2021.
PayPal users in the USA will be able to use cryptocurrency “as a funding source to pay at PayPal’s 26 million merchants around the globe.” PayPal suggested that merchants will have “no additional integrations or fees, as all transactions will be settled with fiet currency at their current PayPal rates.”
There may be some changes to the way cryptocurrency works within PayPal come 2021. Per the October release, there will be no service fees when buying or selling cryptocurrency “through December 31, 2020.” There would appear to be no fees for holding cryptocurrency in a PayPal account into the foreseeable future.
Cryptocurrencies available in PayPal include:
• Bitcoin
• Ethereum
• Bitcoin Cash
• Litecoin
The features available to PayPal USA users as of today are planned to expand to Venmo “and select international markets” in the first half of the year 2021.
PayPal also revealed that they’d been granted a “first-of-its-kind conditional Bitlicense” by the New York State Department of Financial Services (NYDFS). The NYDFS’s aim is to “continue to encourage and support financial service providers to operate, grow, remain and expand in New York and work with innovators to enable them to germinate and test their ideas, for a dynamic and forward looking financial services sector, especially as we work to build New York back better in the midst of this pandemic,” according to Linda A. Lacewell, superintendent, NYDFS.
All USA-based users should be able to work with cryptocurrency features in PayPal now. Features should appear in the web browser version of PayPal, and will likely appear in PayPal apps for iOS and Android in the near future.