Will there be a new cryptocurrency from PayPal?
Where is PayPal in the crypto space? What to expect?
As reported recently, PayPal, a payment system with a client base of 325 million users, has confirmed that it is working to bring crypto capabilities on its platform. In the return letter to the EC public consultation on building a framework for markets in crypto-assets in March 2020, PayPal noted that “as an innovative FinTech company, they are monitoring the evolution of the crypto-asset space. Since the Libra project’s inception, PayPal has taken unilateral and tangible steps to further develop its capabilities in this area, and focus on advancing their existing mission and business priorities to democratize access to financial services.”
PayPal and its mobile payment service Venom are going to provide their users with the option to buy/sell cryptocurrencies in the next three months, reported by CoinDesk referring to a few knowledgeable sources.
One of the outlet sources has also stated that it will be possible to store cryptocurrency in your PayPal or Venom wallet employing a built-in wallet functionality. It’s not clear at the moment which or how many cryptocurrencies will be available on the payment system. It expects that PayPal ensures liquidity through partnerships with multiple exchanges.
Potential partners include Coinbase and Bitstamp. It’s worth noting that PayPal can be used as an alternative way of withdrawing funds from Coinbase since 2018. Coinbase and PayPal were also members of the Libra Association before the payment system left its membership. Still, the mentioned contenders and PayPal declined to comment on the plans.
Another interesting point, PayPal posted eight engineering positions in San Jose and Singapore to ramp up its new Blockchain Research Group at the start of 2020.
PayPal CTO Sri Shivananda explained to CoinDesk that the company wanted its own perspective and view on blockchain technology to see how it can help contribute to the concept of creating an open digital payments platform that can serve everyone.”
On the sidelines of the Economic Times Global Business summit, Sri Shivananda shared his view that the significant condition for cryptocurrency developing and propagating is the users’ understanding of its advantages reported by The Times of India. He believes that the digitization of currencies is not a matter of if but when.
