The payment giant expands crypto services to business accounts, excluding the state of New York.
On September 25, PayPal announced the expansion of its cryptocurrency services. U.S. businesses will now be able to buy, hold, and sell cryptocurrencies directly from their PayPal business accounts.
This move comes after years of PayPal offering similar services to its private users through PayPal and Venmo accounts. According to Jose Fernandez da Ponte, Senior Vice President of Blockchain, Crypto, and Digital Currencies at PayPal, the decision to extend these features to businesses arises from the growing demand from entrepreneurs:
“Business owners have increasingly expressed a desire for the same cryptocurrency capabilities available to consumers. We’re excited to meet that demand.”
In addition to the ability to buy, hold, and sell cryptocurrencies, PayPal will also allow U.S. merchants to externally transfer cryptocurrencies to ‘eligible’ third-party wallets.
The company has indicated that, at least initially, crypto services will not be available for businesses in the state of New York. PayPal has not provided a specific timeline for the potential inclusion of New York, a state known for its strict cryptocurrency regulations.
PayPal began offering crypto services to consumers in 2020 and last year launched its dollar-pegged stablecoin, PayPal USD (PYUSD), which has recently reached a market capitalization of $1 billion.