PayPal Holdings will open up the ability for US customers to use cryptocurrencies to pay for goods and services around the world. At the time of purchase, crypto assets will be converted to fiat currencies.
As reported by Reuters, today payment company Paypal will announce support for cryptocurrency payments to pay for goods and services. Customers holding BTC, ETH, BCH and LTC in PayPal digital wallets will be able to convert their crypto assets to fiat currencies at checkout.
PayPal has been working on launching this service since the end of last year. In the coming months, all 29 million merchants connected to the Paypal payment system will be able to accept payments in cryptocurrencies.
“For the first time, you can seamlessly use cryptocurrency just like a credit or debit card in your PayPal wallet,” Paypal President and CEO Dan Schulman told Reuters.
Recall that the PayPal payment system has added the ability to buy, sell and store cryptocurrencies for American users since November 12 last year. This proposal has made PayPal one of the largest major financial companies to add support for cryptocurrencies and has fueled the growth of the cryptocurrency market.
The launch of the new PayPal service comes less than a week after Tesla said it would begin accepting BTC payments for its vehicles. Unlike PayPal, where merchants will receive fiat currency, Tesla will not convert the received BTC. PayPal hopes to eliminate the risks of cryptocurrency volatility for merchants by converting cryptoassets to fiat currencies.
“We believe this is a transitional moment where cryptocurrencies are changing and becoming a legal source of funding for transactions in the real world for millions of merchants,” Shulman said.
According to him, the company will not charge a transaction fee when placing an order using cryptocurrency, and only one type of coin can be used for each purchase.
Recall that this week, the operator of bank cards Visa, together with Crypto.com, launched a pilot program to conduct international transactions using the USDC stablecoin in its network.
