PayPal enables a long-awaited functionality that will allow users to move their cryptocurrency to external wallets and hardware devices. It was recently revealed that cryptocurrency users can now withdraw funds from its platform, a long-awaited feature that would make the company’s offering more comparable to other prominent cryptocurrency services.
We’re excited to announce that PayPal will begin supporting the transfer of cryptocurrencies between PayPal and other wallets and exchanges. This feature is rolling out to all eligible US customers in the coming weeks. Learn more: https://t.co/PelvFv7eRW pic.twitter.com/YkzPOV7teq
— PayPal (@PayPal) June 7, 2022
In a statement, PayPal said, “Starting today, PayPal supports the native transfer of cryptocurrencies between PayPal and other wallets and exchanges.”
External transfers on PayPal’s crypto platform will begin rolling out to users and will be available to everyone in the United States within the next week or two. PayPal’s crypto offering began in late 2020, allowing users to buy, sell, and hold four cryptocurrencies—Bitcoin, Ethereum, Bitcoin Cash, and Litecoin—but not to transfer funds to third-party services like MetaMask, Coinbase, or hardware wallets.
Because PayPal, which also owns the famous app Venmo, is used by hundreds of millions of people across the world to move money and is increasingly used by merchants as a payment platform, the fact that users can now do so is significant.
It’s also worth noting that, despite a financial downturn that has seen PayPal’s share price plummet in recent months, the firm is sticking to its ambitious crypto objectives. A PayPal CEO recently stated in an interview that the firm is taking the long view when it comes to adopting a crypto strategy. Jose Fernandez da Ponte, the company’s SVP of blockchain and crypto, said:
“The whole reason we’re in crypto is because we believe a substantial portion of commerce is going to move to digital currencies,”
According to Fernandez da Ponte, this is one of the main reasons the company doesn’t charge for cryptocurrency transactions: the company’s crypto plans are focused on commerce rather than establishing an exchange. PayPal is also optimistic about more countries adopting stablecoins and central bank currencies, which would benefit the company’s operations.