US Businesses Can Now Buy and Sell Crypto with PayPal

Sentiment Status: Positive

PayPal has expanded its involvement in the crypto space since 2020, when it first enabled consumers to buy, hold, and sell Bitcoin, Ethereum, and other cryptocurrencies.

PayPal expanded its crypto capabilities to U.S. business accounts, allowing merchants to buy, hold, and sell digital assets like Bitcoin and Ethereum. Business users can now easily integrate digital currencies into their operations.

PayPal's decision to offer crypto services to U.S. business accounts comes after years of demand from merchants seeking other possibilities available to consumers. Starting now, U.S. business users can buy, hold, and trade cryptocurrencies directly through their PayPal business accounts. This means that businesses will be able to use Bitcoin and Ethereum as part of their payment and trading operations, just as individual consumers have done since 2020.

Jose Fernandez da Ponte, PayPal's Senior Vice President of Blockchain, stated: “Business owners have increasingly expressed a desire for the same cryptocurrency capabilities available to consumers.” 

One of the most remarkable aspects of this update is PayPal’s introduction of external cryptocurrency transfers. Business users can now transfer digital assets to third-party wallets, allowing them to engage in on-chain transactions. 

However, it's important to note that this service is not yet available to businesses in New York State, given the state's stringent BitLicense regulations. PayPal has indicated that there is no specific timeline for when this feature will become available in New York, but it remains a possibility for the future.

PayPal has expanded its involvement in the crypto space since 2020, when it first enabled consumers to buy, hold, and sell Bitcoin, Ethereum, and other cryptocurrencies. The platform continued to evolve, launching its stablecoin, PayPal USD (PYUSD), in 2023. PYUSD is a U.S. dollar-pegged token that runs on both Ethereum and Solana networks. Since its launch, PYUSD has seen an adoption, with over $712 million in market capitalization.

Whether it's holding Bitcoin as a long-term investment or using Ethereum for payments, businesses now have the tools they need to incur in the digital asset space.

The ability to trade and transfer crypto also opens the door for an important adoption in e-commerce and other sectors that can benefit from fast, secure, and decentralized payment methods.