PayPal wants to offer its crypto services worldwide. CBDCs should also be considered.
Executives of the global payment giant PayPal announced further details about entering the crypto sector next year during a company meeting on the third quarter of 2020. They also discussed support for digital central bank currencies (CBDCs).
„We are rapidly moving from a physical to a digital world,“ said Dan Shulman, PayPal’s CEO. He also emphasised that there is an increasingly rapid change within the payments and financial services sector.
Mr Shulman mentioned discussions with central banks, regulators and crypto industry leaders, stating: „There is no question that digital currencies are becoming more and more important, have more and more functionality and will continue to grow in importance“.
„CBDCs are only a matter of time now.“
The PayPal boss said that the company’s size and reputation would „help shape the benefits of CBDCs“. It will also help to promote interoperability with existing payment systems and encourage acceptance among merchants. Mr Shulman said the old financial system would „not work“ for many ordinary people.
„I believe that our platform and the new digital infrastructure we are developing can help to make administration and cash flow more efficient, cheaper and faster“.
Last month, PayPal announced its intention to offer customers services that allow them to buy, sell and hold crypto assets. This has triggered growth in the crypto market. The crypto assets are also supported by PayPal’s merchant network of 28 million merchants.
PayPal’s executives again emphasised the strong demand for Bitcoin News Trader services among customers. PayPal’s CEO said: „Our customers are eagerly awaiting the opportunity to offer this feature“.
Currently only 10 percent of US PayPal users have access to the crypto services. Shulman said that the service will be available to the entire country before December.
„Our waiting list was two to three times longer than we expected.“
„We have seen people who have already bought crypto open their wallet several times a day to see what happens to their crypto investments,“ he added.
In response to the demand, Shulman announced that PayPal would increase its weekly crypto purchase limit from $10,000 to $15,000.
Shulman also revealed that PayPal’s virtual currency services will be made available internationally in the first half of next year. This will happen in parallel with the launch of the mobile payment app Venmo.
„Over the course of next year, we will move into a number of different areas,“ he said.