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PayPal, the digital payment platform has launched a new cryptocurrency service that allows US customers to pay with cryptocurrencies to millions of online businesses: Checkout With Crypto.
With this new feature, customers can convert their cryptocurrencies into FIAT currency at checkout without incurring additional costs, making it easier for cryptocurrency holders to purchase goods and services.
Dan Schulman, president and CEO of PayPal, referred to the new function, saying:
"As the use of digital payments and digital currencies accelerates, the introduction of Checkout with Crypto continues our focus on mainstream cryptocurrency adoption, continuing to offer PayPal customers choice and flexibility in how they can pay using the wallet. PayPal. Allowing cryptocurrency holders to shop in companies around the world is the next chapter in the mass acceptance of digital currencies.
By offering users the option to use cryptocurrencies or fiat currencies at checkout, PayPal is taking advantage of the growing popularity of cryptocurrencies, with the payment giant becoming one of the first major players to offer such a feature.
Checkout With Crypto will support Bitcoin, Bitcoin Cash, Ethereum and Litecoin at launch.
The selected currency will then be converted to fiat if sufficient funds are available, without commissions and with all the benefits that PayPal offers its users when they pay in fiat.
Allowing traders to benefit from cryptocurrencies without holding them
While the acceptance of cryptocurrencies as a payment method has increased in recent years, many merchants are still skeptical or unable to join the movement, preventing interested customers from using the digital currency to pay for their products and services.
PayPal's new functionality will allow these merchants to indirectly benefit from cryptocurrencies while receiving US dollars at checkout, seamlessly creating new opportunities for all parties involved.
Since the feature doesn't involve customers or merchants having to pay additional fees, it works as a natural extension of the platform that has already been used by millions of users around the world.
With companies like Tesla starting to accept Bitcoin and other cryptocurrencies as a valid payment method, more companies and payment platforms are expected to offer similar alternatives to their users, further increasing the adoption of cryptocurrencies.
PayPal continues to integrate cryptocurrencies into its platform
The Checkout with Crypto addition will definitely not be PayPal's latest change when it comes to integrating cryptocurrency into its portfolio of services and features.
In early October 2020, the company announced that US users would be able to purchase and hold their cryptocurrencies using the PayPal app.
At the time, the company added that it would add cryptocurrency payment functions for US customers and extend cryptocurrency capabilities to users around the world, and the first of those commitments is now a reality.
A big change for the company
The addition of crypto capacity in 2020 is the result of a partnership with the Crypto brokerage platform Paxos, which allowed the company to obtain the first license for such a service issued by the New York State Department of Financial Services.
The next country to receive these features is expected to be the UK, as the company said in February and to make these crypto features available to users in the country as soon as the next few months.
While PayPal suffered the backlash from the cryptocurrency community when it introduced the “Buy and Hold Crypto” feature due to the inability of users to transfer their cryptocurrency assets to their accounts.
Adding new cryptocurrency features will certainly have a positive impact on cryptocurrency adoption by creating new use cases and making them easier to use.
