In the light of the world’s hype around Bitcoin and crypto margin trading and digital currencies at all, the services allowing to buy and transfer crypto coins are getting more and more popular.
Thus, the organizations providing payment services adapt to the customers’ needs by adding new features. Recently, the famous payment company PayPal decided to launch a crypto service. Let’s discover what PayPal definitely is, all the particularities of the service, and what new things PayPal has prepared. Read on!
What is a PayPal system?
In the majority of countries throughout the world, PayPal Holdings, Inc. operates an online payments system supporting online money transfers and serves as an electronic replacement for traditional paper methods, such as checks and money orders. The company processes payments for online retailers, auction sites, and many other commercial users and charges a fee for the service.
Most uses of the site are, however, free to you and do not require a subscription. When no conversion of currency is needed, transferring money from one PayPal account to another is free.
PayPal also offers business accounts. Businesses that previously couldn’t accept card payments are now able to do so with PayPal.
eBay once owned PayPal, so the company is often associated with that website. It was spun out in 2015.
In order to use any services PayPal offers, you need to have an account.
How can I register a PayPal account?
PayPal accounts are easy to open. Click on Sign up on PayPal.com. You’ll be prompted to sign up for a personal or business account. Prepare your bank account, credit card, or debit card details beforehand.
Now let’s see how the new crypto service works.
Crypto service in PayPal
The online payment system Paypal has made cryptocurrencies available in the United Kingdom through its platform for the first time.
The company allows its customers to choose from four types of cryptocurrency: Bitcoin, Bitcoin Cash, Litecoin, and Ethereum. Using the PayPal website or mobile app, users can monitor real-time crypto prices, learn more about cryptocurrencies, including opportunities and risks, and access educational content.
According to the payments giant, it hoped that the adoption of the currency would lead to better knowledge and understanding.
Since digital currencies lack regulation and fluctuate in value, they have remained controversial, and critics have raised concerns about the anonymity that users enjoy as part of transactions, arguing that cybercriminals can use the currencies to hide their activities.
Paypal added a new crypto tab to its platform, which shows real-time currency prices and offers educational content on cryptocurrencies, including potential risks. Also a reliable source for up-to-date prices is CEX.IO – a global regulated crypto exchange platform.
PayPal advises customers to educate themselves on the risks and opportunities of cryptocurrencies before buying, holding, or selling them.
Enhancing financial services infrastructure to meet future needs
The announcement by PayPal of its ability to purchase, hold and resell cryptocurrencies last October made it one of the largest companies in the world to enter the digital currency market. As of March 2021, PayPal launched “Checkout with Crypto” – a service that allows customers in the United States to make purchases around the world through their cryptocurrency wallets. Earlier this year, the company launched crypto-based services on its U.S. mobile payment service Venmo.
Besides offering cryptocurrency services, PayPal is exploring the potential of digital currencies through partnerships with regulated and licensed cryptocurrency platforms as well as with central banks around the world. As PayPal has focused on the blockchain research team for the past five years, it has invested resources into exploring the next generation in digital financial services and digital commerce enhancements.
By partnering with Paxos Trust Company, the company has enabled its cryptocurrency offerings. PayPal Ventures has invested in a number of blockchain and cryptocurrency-related companies, including TRM Labs, a leading provider of cryptocurrency risk management software; TaxBit, a provider of crypto tax software for customers and exchanges; and Talos, an institutional-grade trading infrastructure company.
Upcoming PayPal services
September 2021, PayPal has announced launching its brand-new app featuring bill pay, high yield savings, in-app shopping tools, and rewards, up to two-day early access Direct Deposit, and deals.
Customers will be able to earn rewards redeemable for cash back or PayPal shopping credit and find deals with hundreds of merchants. PayPal Savings will be available through the new PayPal app.
Customers can utilize the new app to see their PayPal account dashboard, manage their payment instruments and Direct Deposits, as well as access high yield savings and cryptocurrency capabilities.
In addition, they have a payments hub that includes features for sending and receiving money, international remittances, charitable and non-profit giving, bill payment, and a two-way messaging feature for sending notifications after peer-to-peer transactions.
All in all, with the new PayPal app, customers can:
- pay bills
- get paid up to two days earlier through Direct Deposit through one of PayPal’s bank partners
- earn rewards
- manage gift cards in one place
- pay with QR codes for purchases
- redeem reward points in-store
- manage their credit card accounts
- use Buy Now, Pay Later services
- buy, hold, and sell crypto
- support their favorite causes and charities.
Pay online fast
With this enhancement, PayPal will be adding new investment capabilities and more ways to pay online and in-store, including the capability to use QR codes offline in a controlled environment, as well as PayPal-branded capabilities that offer new ways of shopping and saving in-store.
Shopping becomes easier
A range of new shopping tools will be available in the new PayPal app, allowing customers to discover exclusive deals, earn rewards and make purchases all within the app. The in-app browser will allow shoppers to browse hundreds of popular brands and view discounts and offers. PayPal customers will add offers to their wallets to save them for future use when they check out with PayPal online or in the app and can search for coupons for even more money-saving options while shopping. Those who use the app will earn rewards on eligible purchases with PayPal in exchange for cashback or PayPal credit.
Lisa has a Bachelor’s of Science in Communication Arts. She is an experienced blogger who enjoys researching interesting facts, ideas, products, and other compelling concepts. In addition to writing, she likes photography and Photoshop.