The giant online payment firm PayPal has entered the crypto space by announcing that its 346 million users will be able to buy and sell Bitcoin and other cryptocurrencies directly through their accounts.
According to the firm announcement, the other cryptos to be listed first will be Ethereum, Litecoin, and Bitcoin Cash. Users will be allowed to utilize crypto assets to shop things from 26 million merchants that accept PayPal. However, the announcement highlights that the resellers will receive the payments in fiat currencies.
PayPal CEO Dan Schulman said, “The shift to digital forms of currencies is inevitable, bringing with it clear advantages in terms of financial inclusion and access; efficiency, speed and resilience of the payments system; and the ability for governments to disburse funds to citizens quickly.”
Initially, the giant payment firm is looking to roll out crypto service for its United States users over the next few weeks. But PayPal aims to extend its crypto service to other countries by adding new features.
Bitcoin Rallied Through 2020 High
The value of leading cryptocurrency Bitcoin has rallied abruptly after PayPal crypto support news hit the market. Bitcoin has surged above $13,000 for the first since 2019. After jumping up to 10%, BTC is currently trading at $12,970, according to data from CoinMarketCap. Its market cap has also surpassed $230 billion.
Following the growing trend of Bitcoin, several major cryptocurrencies are also presenting great performance. The analysis shows that Litecoin, Bitcoin Cash, and Ethereum are driving the market with 15%, 9%, and 8% increases respectively in the last 24 hours of trading.
While commenting on the PayPal news, the CEO of Celsius Alex Mashinsky said:
“This is definitely a bullish sign for Bitcoin and other cryptocurrencies. Crypto is all about trust, and PayPal has a very high level of trust with its users […] If the UI/UX of the service is done right, we will see millions of new users join each month.”