US crypto enthusiasts will be happy to know that from today they can make payments via their Paypal account using their Bitcoin (BTC), Ethereum (ETH) or Litecoin (LTC) holdings. The news is a significant boost for the cryptocurrency market which has only recently recovered from a week-long slump that saw it fall in value by almost 15 percent.
Earlier this week the market began a swift recovery following news that electric car company Tesla will begin accepting Bitcoin as payment and VISA will begin settling payments via stablecoin USDC. Both announcements came at a critical time for Bitcoin which was on the verge of losing a key support point at $50,000. Now back up to near $60,000, positive market sentiment appears to have returned and the upside is confirmed.
Crypto Payments on Paypal
Last year Paypal pre-empted today’s announcement with the news that it will begin allowing US citizens to purchase Bitcoin via the platform. Now its crypto ambitions appear to have increased dramatically with the introduction of a ‘Checkout with Crypto’ button on its platform.
PayPal CEO Dan Schulman spoke of the new feature in a press release, noting the growing adoption of cryptocurrencies around the world.
“Enabling cryptocurrencies to make purchases at business around the world is the next chapter in driving the ubiquity and mass acceptance of digital currencies,” he said.
The crypto payment function works much like most other existing crypto credit cards, converting the chosen cryptocurrency to fiat cash and completing the payment in local currency, ie: US dollars. This is unlike Tesla’s Bitcoin purchase method which CEO Elon Musk assures will keep the Bitcoin in its native form.
Paypal assures its customers that all usual coverage still applies for crypto payments, including 24/7 fraud protection, return shipping and purchase protection on eligible items. The company is also looking to extend its offerings to its easy money-sending app Venmo, something its main competitor Square has offered for several years now.