On September 25, PayPal announced the launch of a new feature that allows U.S. business accounts to buy, sell, and hold cryptocurrencies. This feature is not available to New York merchants.
Expanding Cryptocurrency Utility
PayPal's latest initiative aims to enhance the utility of cryptocurrencies for a broader audience of merchants. Jose Fernandez da Ponte, PayPal's Senior Vice President of Blockchain, Cryptocurrency, and Digital Currencies, noted that the company has been closely observing consumer behaviors since the launch of its service for personal accounts.
A History of Crypto Innovations
PayPal first introduced crypto services for personal accounts in 2021, allowing users to buy, hold, and sell cryptocurrencies directly through PayPal and Venmo. In 2023, PayPal launched its U.S. dollar-denominated stablecoin, PayPal USD (PYUSD), pegged to U.S. dollar deposits and U.S. Treasuries to facilitate seamless digital transactions.
The Future of Cryptocurrency on PayPal
In May 2024, PayPal broadened the use of PYUSD by making it available on the Solana blockchain. This move could unlock new potential for integrating cryptocurrencies into businesses' payment systems.
PayPal's provision of cryptocurrency services to U.S. business accounts underscores its ongoing commitment to being a leader in digital financial technology.