Bitcoin’s price rose to $ 13,000 this morning after news broke of FinTech giant PayPal’s entry into the crypto market.
It has long been rumored that the payment processing company invented a crypto-related function. However, previous reports of blockchain-specific vacancies could have resulted in digital assets not being seriously investigated.
Today, however, the company made it clear that crypto will have a long-term role on its platform and added a feature that allows users to buy, sell, and store Bitcoin as well as several other digital assets on their PayPal accounts.
Citing the size of the PayPal user base to highlight the importance of this development, an on-chain analyst notes that there are almost twice as many PayPal users as there are Bitcoin users.
This shows the tremendous number of new users who could join the Bitcoin and crypto ecosystem as a result of this switch from PayPal.
PayPal launches bitcoin and crypto trading service
According to a recent blog post published by PayPal this morning, the company notes that the ongoing pandemic has piqued its users’ interest in digital assets like Bitcoin.
Because of this, they decided to introduce a feature that would allow users to buy, sell, and store Bitcoin, Ethereum, and other digital assets in their accounts.
What is important is that users with these digital assets can use them as a means of payment at 26 million PayPal merchants worldwide.
Speaking about this new ability that he has given users, the PayPal CEO said:
“The move to digital currency forms is inevitable and brings clear benefits in terms of financial inclusion and access. The efficiency, speed and resilience of the payment system; and the ability of governments to quickly pay off citizens. ”
There are almost twice as many PayPal users as there are BTC users
On-chain analyst Willy Woo said the importance of PayPal messages should not be underestimated. The platform currently has almost twice as many users as Bitcoin.
User base: PayPal 346m + Bitcoin 187m +. This is a big deal, ”he said, pointing to the table below from analytics firm Glassnode.
News of PayPal’s foray into cryptography came just a week after Square announced it was holding $ 50 million worth of Bitcoin on its balance sheet as reserve.
As this business acquisition trend turns into snowballs, it is likely to continue to prop up Bitcoin’s price.
Featured image from Unsplash.