- PayPal will soon enable its users to transfer their crypto to and from third-party wallets.
- The platform believes this will give their users more token utility.
- Also, the COVID-19 pandemic has increased digital currency adoption.
PayPal, a global payment provider, will soon enable crypto holders to transfer their coins to and from third-party wallets on its platform. In addition, PayPal is working on a crypto withdrawal system.
While the payment giant has allowed users to purchase and store cryptos on the platform. However, up to now, PayPal users have been unable to move around or withdraw their coins. In light of this, PayPal’s blockchain lead, Jose Fernandez da Ponte, noted,
“We want to make it as open as possible, and we want to give choice to our consumers, something that will let them pay in any way they want to pay. They want to bring their crypto to us so they can use it in commerce, and we want them to be able to take the crypto they acquired with us and take it to the destination of their choice.”
The platform’s decision comes at an opportune time. A recent survey by EIU revealed a growing preference for cashless payments. In fact, the study revealed that 81% of respondents believe their countries will soon be cashless societies.
Also, the COVID-19 pandemic helped drive the mainstream adoption of cryptocurrencies. The uncertainty led more individuals and companies to look to diversify their portfolios. As such, the utility of cryptos needs to evolve with user needs.
In light of this, da Ponte added, “We understand there is more utility to those tokens if you can move them around, so we are definitely exploring how we can let people transfer crypto to and from their PayPal addresses.”
Also, the company enabled crypto payments for goods and services in March. Reports to date show that its crypto customers have doubled their use of the platform as a result.