PayPal has officially announced an extension of its services to enable users to buy, hold, and sell cryptocurrency. Although the company initially disclosed its support for cryptocurrency in October, it was only available to a limited number of users at the time. The official announcement confirms that its services are now available to all eligible users, with support for Bitcoin, Bitcoin Cash, Ethereum, and Litecoin within the PayPal digital wallet.
The announcement made in October, however, resulted in a Bitcoin rally that helped drive the cryptocurrency above $15,000. And today’s news will likely continue to push the price up.
PayPal and NYDFS’ Bitlicense
The CEO of PayPal, Dan Schulman, also disclosed his optimism in a statement accompanying the announcement. He went further to highlight the reasons behind the upgrade and how it will boost crypto adoption. He said:
“The shift to digital forms of currencies is inevitable, bringing with it clear advantages in terms of financial inclusion, access, and efficiency. Our global reach, digital payments expertise, two-sided network, and rigorous security and compliance controls allow us to help facilitate the interoperability of these new instruments of exchange. We are also eager to collaborate with central banks and regulators around the world to offer support and contribute to ensuring that digital currencies play their role in the future of global finance.”
In addition to that, the New York State Department of Financial Services (NYDFS) granted PayPal a first-of-its-kind conditional Bitlicense. Linda A. Lacewell, who is the Superintendent of the NYDFS, attested to this in her remark about the approval.
“The approval from NYDFS follows our June 2020 announcement, which came with a new framework for a conditional Bitlicense. The plan is to encourage, promote, and assist interested institutions to have access to the New York virtual currency marketplace. The resolve is both timely and beneficial to New York consumers through partnerships with New York legalized virtual currency firms. In other words, NYDFS will continue to support financial service providers to operate, grow, and expand in New York. We will also introduce them to innovators who will enable them to harness and test their ideas as we work to build New York even during the pandemic.”
This announcement is indeed good news for both PayPal and its users. It will further accelerate cryptocurrency adoption and boost participation in crypto communities around the world.