PayPal Enables Full Cryptocurrency Services for U.S. Accounts

PayPal has announced that U.S. business account holders can buy, hold, and sell digital assets directly from their PayPal accounts.

New Opportunities for U.S. Merchants

This new feature is set to empower millions of U.S. merchants by providing them with the same cryptocurrency capabilities available to individual consumers since 2020. Business owners can now effortlessly engage with digital currencies, enhancing their financial flexibility and control.

External Transfers Enabled

In addition to buying, holding, and selling cryptocurrencies, PayPal enables U.S. merchants to transfer supported cryptocurrency tokens to and from external blockchain addresses. This functionality allows for greater integration with third-party wallets and expands the utility of digital assets for business transactions, reported BitcoinWorld.

Exclusions and Future Plans

Due to regulatory restrictions, this new functionality will not be available in New York State at launch. However, PayPal continues to work on expanding its services and increasing the utility of cryptocurrencies for all users.

Historical Context and Future Prospects

Since its initial foray into the cryptocurrency market in 2020, PayPal has continuously enhanced its offerings. The introduction of PayPal USD (PYUSD), a U.S. dollar-denominated stablecoin, and its integration with the Xoom platform are notable milestones.

When using PayPal’s cryptocurrency services, the fees can vary depending on the type of transaction:

Buying or Selling Cryptocurrency: PayPal charges a transaction fee and discloses the exchange rate at the time of the transaction.
Converting Between Cryptocurrencies: Fees apply when converting between PayPal USD (PYUSD) and other supported cryptocurrencies.
Holding Cryptocurrency: There are no fees for holding cryptocurrency in your PayPal account.
Transferring Cryptocurrency: Sending or receiving cryptocurrency within PayPal does not incur any fees.

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