PayPal Expands Crypto Services for US Business Clients

PayPal Expands Crypto Services for US Business Clients

Global payments leader PayPal has announced that it will enable US business account holders to buy, hold, and sell cryptocurrencies directly from their accounts. This strategic move aims to meet the growing demand from businesses seeking to incorporate crypto services, aligning with the trend of digital currency adoption in mainstream operations. However, the new features will not be available in New York State.

PayPal, along with its peer-to-peer payments app Venmo, first introduced cryptocurrency management for consumers in 2020 and has since been committed to enhancing the use of digital currencies. Jose Fernandez da Ponte, Senior VP of Blockchain, Cryptocurrency, and Digital Currencies at PayPal, expressed enthusiasm about the new offering, stating that business owners have shown significant interest in accessing the same cryptocurrency capabilities that are available to individual consumers.

In addition to buying, holding, and selling cryptocurrencies, the new feature will allow business accounts to transfer crypto on-chain to third-party wallets. PayPal's business clients will be able to send and receive supported cryptocurrency tokens to and from external blockchain addresses, expanding their operational capabilities.

Recently, Crypto.com partnered with PayPal to facilitate crypto purchases for US users. PayPal's own stablecoin, PYUSD, launched in 2023 and is issued by Paxos Trust Company, a regulated entity in the U.S. This stablecoin is designed with robust compliance and security standards, making it a reliable option for digital transactions.

Initially introduced as an ERC-20 token on the Ethereum blockchain, PYUSD has now also become available on the Solana blockchain, providing increased flexibility and control for users. Remarkably, the supply of PYUSD on the Solana blockchain has already exceeded that on Ethereum, highlighting its growing adoption.