The financial and payment service provider PayPal has announced a new change affecting its crypto purchase function
PayPal shared a post on its website yesterday announcing that its U.S. customers can now purchase up to $ 100,000 worth of crypto per week. The announcement also described that the initial annual limits would be effectively lifted. PayPal customers in the United States were able to buy, hold, and sell a range of digital assets, including Bitcoin, Ethereum, and Litecoin, while making payments through the platform.
The California-based company stated that the new move would provide more flexibility and more choices for customers looking to buy crypto on the platform. PayPal is continuing to rebuild its payments platform to adapt it to crypto transactions that started last November, with users initially having a weekly limit of $ 20,000.
There have been concerns that PayPal only offers custody services for its crypto offerings, making it impossible for users to withdraw their tokens into external wallets. Earlier this year, however, Jose Fernandez da Ponte, Vice President of PayPal and Head of Blockchain & Crypto at the payment solutions firm, confirmed that PayPal is working to enable its users to withdraw funds.
In conjunction with the new announcement, PayPal also reiterated that it remains committed to providing guidance and insight into cryptocurrencies to its customers on an ongoing basis and that it welcomes customer input for the services requested.
“To help our customers learn more about crypto, we are continuing to update our in-app guides and training materials on cryptocurrency, providing answers to frequently asked questions, providing insights into the world of crypto and helping to demystify some misunderstandings. that customers could have through crypto, ”read the article.
PayPal offers its crypto services through a collaboration with the Paxos Trust Company, whereby the company stores the cryptocurrency of PayPal customers and also trades the assets on their behalf.
PayPal previously started a joint venture with Coinbase that enables US Coinbase customers with PayPal accounts to buy crypto on the exchange. PayPal isn’t the only payment solutions company immersed in the crypto space. Visa and Mastercard have also stepped up collaboration with exchanges in recent months as they bring new products to market for their consumers.
Elsewhere, the co-founder of Square Inc., Jack Dorsey, tweeted on Thursday, due to increased institutional ventures into the crypto space, that the company would soon set up a new department specifically focused on Bitcoin. The new department would try to enable DeFi services without custody and without permission for their users.
Twitter’s CEO endorsed the open sourcing and development push he was campaigning for, revealing that the new company, named TBD, would aim to create a business platform and integrate Cash App, Tidal and Seller. Jack Dorsey was one of the preeminent proponents of Bitcoin, as was his company, which he founded in 2009. Early last month, Square revealed plans to develop a hardware bitcoin wallet to improve bitcoin custodial services.