Soon buy Bitcoin directly from PayPal?
On Monday, there were rumors that there could be big news for Bitcoin and the cryptography market as a whole. According to Coindesk’s “well-informed industry insiders,” PayPal is likely to buy cryptocurrency directly through PayPal and/or its Venmo subsidiary within the next three months. The heavyweight’s entry into the cryptographic market could give bitcoin another big boost in legalisation and adaptation. There are rumors that PayPal could offer direct purchases of Bitcoin and other cryptocurrencies within the next three months. According to some well-informed sources, paypal could actually become a password broker, including a wallet.
PayPal and Venmo could, according to the
report, not only sell the previously unnamed cryptocurrencies directly, but
also provide a wallet for storage. In addition, the possibility of a later
resale via PayPal is also under discourse, whereby PayPal would become a kind
of crypto broker.
For a long time, PayPal was considered
rather crypto-hostile, no wonder considering that cryptocurrencies attack
PayPal’s business model and can therefore be classified as direct competition
to the company. Within the crypto community, there have been repeated reports
that PayPal regularly blocked transactions related to cryptocurrencies and did
not execute them.
However, PayPal’s stance may have changed.
According to anonymous sources, the fintech giant plans to sell
cryptocurrencies directly to its 325 million users, as reported by three people
familiar with the matter. Thus, PayPal and Venmo could act as a FIAT payment
gateway, similar to the cash app of Jack Dorsey, the Twitter CEO.
The anonymous source also stated that
PayPal could work with several exchanges to provide liquidity, with the two
renowned exchanges Coinbase and Bitstamp being traded as possible options.
Coinbase would be a likely candidate as both companies have been working
together since 2018 and Coinbase is one of the few exchanges in the world that
offers PayPal as a means of payment for Bitcoin.
The rumor also seems realistic insofar as
PayPal has been around in the crypto and blockchain sector for quite some time.
After PayPal withdrew from the Facebook’s Libra project, PayPal CEO Dan
Schulman hinted that he wants to monetize Venmo aggressively. Jack Dorsey’s
Cash App, but also Revolut and Robinhood have proven with their successes the
profitability of the crypto trade.
PayPal is looking for crypto and blockchain
The rumors are supported by the fact that
PayPal is currently publicly seeking crypto and blockchain experts for its
company. Among other things, a “Technical Lead – Crypto Engineer” is being
sought who will be responsible for “new initiatives for PayPal worldwide with a
focus on agility, market introduction and innovation”. The position involves
the “design, development and maintenance of key crypto products/functions
designed to improve the availability, performance and scalability of PayPal
In addition, a research engineer is being
sought who is looking for a new working group “within the Strategic Technology
Enablement Team” to investigate “the blockchain technologies and their
Author : Jake Simmons