Paypal invests in Crypto
Updated: Feb 16
PayPal is investing in a new business unit focused on cryptocurrency and digital currencies by 2022.
Paypal has released new details about its cryptocurrency plans.
These plans include a new dedicated business unit for PayPal's cryptocurrency plan, according to CEO Daniel Schulman, who spoke during PayPal's earnings call on Wednesday morning.
A source with knowledge of the plans described the business unit plan as PayPal "going all in" on such services.
Schulman also said that PayPal is "excited to build upon this early success by allowing customers to use their crypto balance as a funding source whenever they shop at our 29 million merchants."
"We anticipate the rollout of that capability to begin late this quarter, and we hope to launch our first international market in the next several months," he went on to explain. A Venmo integration with crypto is expected "in the coming months."
Schulman described such steps as "just the beginning of an extensive roadmap around crypto, blockchain, and digital currencies."
Among other factoids: per Schulman, "everyone who signed up for crypto is opening up their app two times as much as they previously did."
PayPal made its cryptocurrency services official last October with the launch of a partnership with industry startup Paxos, as reported at the time. Paypal also partner with Coinbase to sell and withdraw cryptocurrency and users can link to their Paypal wallet. The services officially went live in the days following that announcement, opening it up to eligible U.S.-based users on November 2020.
The payments giant struck a bullish tone at the time, with Schulman noting at the time: "This is just the beginning of the opportunities we see as we work hand-in-hand with regulators to accept new forms of digital currencies." He also suggested that PayPal might one day integrate central bank digital currencies should those gather steam in the future and might expand to more countries.