According to the Reuters report, PayPal announced on May 26 that it would begin allowing users to withdraw cryptocurrencies from their platform into third-party wallets. Previously, users could only purchase and sell cryptocurrencies on the platform, which was a major pain point for some users. Jose Fernandez da Ponte, Vice President of blockchain and cryptocurrencies at PayPal, said at a crypto conference that making the whole process open was paramount.
“We want to give a choice to our consumers.”
“We want to make it as open as possible, and we want to give a 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,” Jose Fernandez da Ponte said. However, Ponte did not offer a date on when the feature would be released.
PayPal’s decision could have a positive impact on crypto.
The Vice President of blockchain and cryptocurrencies at PayPal also addressed questions about a potential stablecoin launch by PayPal, saying that it was far too early to consider the matter. However, he did mention that stablecoins and CBDCs would co-exist. With users now being able to move their cryptocurrencies off of the platform, it could spur another wave of purchases. Certainly, users will be happy to keep their crypto holdings in a safer storage solution. Earlier, PayPal’s subsidiary Venmo also announced to enter the crypto market. As the payment transfer firm allowed its users in the United States to hold, buy and sell cryptocurrencies.