PayPal & Crypto Rumour
In the past 24 hours, rumours began circulating about PayPal looking to offer cryptocurrency purchases directly to their 325 million user base. The news came from a single crypto-news source and was not verified by PayPal itself. Nonetheless, it has taken the crypto-sphere by storm with many viewing it as a bullish sign.
Mechanism & Timeline
The sources, which remained anonymous, had stated that both PayPal and Venmo will be offering a built-in wallet functionality as well as direct crypto-sales that will be sourced from multiple exchanges for better liquidity.
Sri Shivanada, PayPal’s CTO, had stated back in March of this year; just a few days before Black Thursday, that consumers must feel that there is an advantage to using cryptocurrencies for it to catch on: “The main thing to keep in mind in this business is to follow consumers. If consumers start to feel like there’s some leverage that they get through cryptocurrencies, everything else will automatically fall in line.”
New Bitcoin Interest
Following the word of the CTO, it would not be surprising if the news of PayPal and Venmo offering crypto to their clientele turns out to be true. Since Black Thursday and the excessive printing of dollars from the Federal Reserve, many started contemplating Bitcoin as a hedge against upcoming inflation. Market veterans such as Paul Tudor Jones had stated this themselves which popularized it amongst Wall Street as he removed the career risk.
Rumour to Reality?
PayPal offering crypto to their customers started out as a mere rumour which has expanded to further details. It seems that the offering will be made possible via a partnership with Paxos. The latter offered a plug-and-play system to large fintech bank Revolut in the US and the community is speculating that more businesses will add that option as it has become relatively simple.