In its bid to support cryptocurrencies, PayPal Holdings Inc. has announced that customers across the US can utilize their cryptocurrencies through the app’s feature of “Checkout with Crypto”. Cryptocurrency is digital money. That means there’s no physical coin or bill — it’s all online. Through Checkout with Crypto, PayPal users can now buy, sell and hold cryptocurrencies.
This move shall allow their users to convert their Bitcoin, Ethereum, Litecoin, or Bitcoin Cash to US dollars, with no additional transaction fees that PayPal then uses to complete the transaction. “This is the first time you can seamlessly use cryptocurrencies in the same way as a credit card or a debit card inside your PayPal wallet,” President and CEO Dan Schulman told Reuters ahead of a formal announcement.
This feature shall be visible in their PayPal wallet if the user has a sufficient crypto balance. However, only one kind of cryptocurrency can be used for each purchase. PayPal is not the first payment app that is rendering support to cryptocurrency. Square has already shown its support for the same in 2018. “We think it is a transitional point where cryptocurrencies move from being predominantly an asset class that you buy, hold and or sell to now becoming a legitimate funding source to make transactions in the real world at millions of merchants,” Schulman said.
Also, this is significant as PayPal becomes one of the largest mainstream financial companies to accept transactions in cryptocurrencies. With Bitcoin that has almost doubled in value since the inception of the year, investment in it has seemingly gained a lot of interest. Even Tesla Inc has announced to start accepting Bitcoin payments for its cars. This in a way is signing towards a monumental change in the field of money and transactions.