PayPal enables US business accounts to buy, hold, and sell crypto

PayPal has been revolutionizing commerce globally for more than 25 years. The company creates innovative experiences that make moving money, selling, and shopping simple, personalized, and secure. PayPal empowers consumers and businesses in approximately 200 markets to join and thrive in the global economy.

PayPal now enables U.S. merchants to buy, hold, and sell cryptocurrencies directly from their business accounts, expanding crypto access to approximately 36 million merchant accounts as of 2023. This update includes the ability to send and receive tokens on-chain to third-party wallets. Building on its crypto features first introduced in 2020, PayPal aims to enhance the utility and accessibility of digital assets for businesses. In 2023, the company also launched its PayPal USD (PYUSD) stablecoin, which has since been integrated with the Solana blockchain and Xoom for fee-free international transfers.

PayPal Enables Business Accounts to Buy, Hold and Sell Cryptocurrency

PayPal Holdings, Inc. (NASDAQ: PYPL) announced it is enabling its U.S. merchants to buy, hold and sell cryptocurrency directly from their PayPal business account. At launch, this functionality for Business Accounts will not be available in New York State. Today's announcement is PayPal's latest step to increase cryptocurrency's utility by making increased functionality available to millions of merchants in the U.S.

"Since we launched the ability for PayPal and Venmo consumers to buy, sell, and hold cryptocurrency in their wallets, we have learned a lot about how they want to use their cryptocurrency," said Jose Fernandez da Ponte, Senior Vice President of Blockchain, Cryptocurrency, and Digital Currencies, PayPal. "Business owners have increasingly expressed a desire for the same cryptocurrency capabilities available to consumers. We're excited to meet that demand by delivering this new offering, empowering them to engage with digital currencies effortlessly."

PayPal is now allowing U.S. merchants to transfer cryptocurrency externally on-chain to eligible third-party wallets. Business account holders can send and receive supported crypto tokens to and from external blockchain addresses.

PayPal’s gradual expansion on the utility of cryptocurrencies

PayPal has steadily expanded the utility of cryptocurrencies. In 2020, it introduced the ability for customers to buy, hold, and sell crypto directly from their PayPal and Venmo accounts. In 2023, the company launched its U.S. dollar-backed stablecoin, PayPal USD (PYUSD). By April 2024, PYUSD was enabled as a funding option on the Xoom platform, offering fee-free transfers when used to send money internationally to friends and family. Most recently, PYUSD was made available on the Solana blockchain, giving users access to multiple blockchains for greater flexibility and control.

1. Initial Introduction (2020): In 2020, PayPal allowed customers to buy, hold, and sell cryptocurrencies directly through their PayPal and Venmo accounts, marking a significant step in integrating digital currencies into everyday transactions.

2. Launch of PayPal USD (PYUSD) (2023): In 2023, PayPal introduced PayPal USD (PYUSD), a stablecoin pegged to the U.S. dollar, providing users with a reliable digital currency option for transactions.

3. Fee-Free International Transfers (2024): By April 2024, PYUSD was enabled as a funding method on the Xoom platform, allowing users to make international transfers without incurring transaction fees when funding those transfers with PYUSD.

4. Expansion to Multiple Blockchains (2024): Most recently, PYUSD became available on the Solana blockchain, offering users increased flexibility and control by providing access to multiple blockchain networks.

5. External Transfers to Third-Party Wallets: PayPal also introduced the capability for U.S. merchants to transfer cryptocurrency externally on-chain to eligible third-party wallets, allowing business account holders to send and receive supported tokens to and from external blockchain addresses.

Through these initiatives, PayPal continues to enhance the practicality and accessibility of cryptocurrencies for its users and merchants.

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