Paypal Plans to Allow Its Users Transfer Crypto into Third-Party Wallets
Paypal users will soon be able to withdraw their crypto holdings into third party wallets, following an announcement by Jose Fernandez Da Ponte at Coindesk’s Consensus 2021.
Crypto is All About Choice
The fintech giant has found tremendous success with cryptocurrencies in the past year and is increasingly making crypto-positive decisions to make sure it stays ahead of the curve.
Speaking at Consensus 2021, Jose Fernandez Da Ponte, VP of Global Business Development at PayPal, Inc. revealed the company was planning to allow its users move their crypto out of PayPal into third-party wallets should they choose to do so. An interesting update, especially considering the argument that PayPal could force in more profits if it coerces token sales from its users should they want to move their crypto out, while also reducing the proclivity of its users to move digital coins at will.
“You currently are not able to send crypto assets to family or friends, or withdraw crypto assets to an external cryptocurrency wallet,” used to be Paypal’s policy.
It is what it even reads at press time.
“If you want to withdraw the value from your Cryptocurrencies Hub, you will need to sell your crypto assets and withdraw the cash proceeds from their sale or use those cash proceeds to pay for purchases.”
A seemingly beneficial situation to PayPal, but one that is about to change soon. Da Ponte did not say when this update will happen, but he is positive about PayPal’s resolve to make changes. PayPal wants to provide its users with flexibility and more choices; Ponte believes the cryptocurrency industry requires it in the first place. After all, the need for a public consensus was behind the innovation of decentralized cryptocurrencies.
“We want to give choice to our consumers, something that will let them pay in any way they want to pay,” Da Ponte explained.
Paypal Has Crypto-Centric Future Plans
The American giant payments company became one of the leading fintech companies to integrate crypto offerings into its ecosystem and hasn’t turned back since.
After launching cryptocurrency services in its apps — PayPal and Venmo — last year, the company recorded 1200% more profits than it made during the same period the previous year. PayPal’s CEO, Dan Schulman, attributes the massive improvement to its decision to offer users options to buy and trade crypto with its apps.
With Da Ponte, the integration of digital currencies into PayPal does not end here. Just as it plans to offer a wide range of choices to its customers, Ponte also sees PayPal as a “natural way” to distribute central bank digital currencies to the public once the whispered national coins are finally launched, and is confident PayPal is doing its best to stay just ahead of everyone else.