The American payment juggernaut PayPal is now allowing U.S residents to purchase, sell, and keep cryptos in a report credited to FxStreet.
What you must know: Although the crypto service PayPal was set to launch in early 2021, however, based on high demand and sign-ups to such service PayPal has decided to allow eligible U.S. PayPal clients to buy, sell and hold cryptos.
A PayPal spokesperson stated:
Due to the initial demand from our customers, we’ve also increased our weekly cryptocurrency purchase limit from $10K/week to $20K/week.
What you should know: A few weeks ago, Nairametrics disclosed PayPal’s plan to provide its users the opportunity to buy, hold, and sell cryptos directly from their PayPal account by early next year.
It hinted at a strategy to significantly boost its crypto’s utility capability by making it readily available as a funding source for purchases by its 26 million clients globally.
What they are saying: PayPal CEO, Dan Schulman, disclosed its clients are signing up to be the first to use the company’s crypto services at an alarming rate. PayPal has started to permit 10% of its customer base to buy, sell, and hold Bitcoin, Ethereum, Bitcoin Cash, and Litecoin.
Schulman said, “We’re going to take up our $10,000 limit per day to $15,000 per day, based on the demand that we’re seeing and we’ll roll out to 100% in the U.S. in the next two to three weeks. We’re beginning to already see some halo effects that go on with that.
“But what I’m really excited about is what we’re going to introduce next year, which is, I think, going to dramatically increase the utility of cryptocurrencies, by enabling somebody who holds a cryptocurrency in a PayPal account to instantaneously transfer that crypto into fiat currency at a step rate. So, volatility is taken out of the equation, with no incremental fees charged for them to do that transaction from crypto into fiat.’