PayPal close to securing a deal with Paxos

PayPal is moving closer to bringing cryptocurrencies to it's platform by partnering with Paxos, a New York based fintech startup that offers crypto services.

By · Jul 20, 2020 . 4min read

Photo by Morning Brew on Unsplash

PayPal has been vocal about bringing cryptocurrencies to its platform for some time now. It’s 300+ million users may not have to wait for much longer. According to certain sources, PayPal may be on the verge of signing a deal with Paxos in order to make this a reality.

Paxos is a fintech startup based out of New York. They describe themselves as a, ‘regulated financial institution that builds infrastructure to enable movement between physical and digital assets.’ Paxos had last week announced the news of securing its first customer as Revolut US. The latter is a fintech firm that offers Bitcoin trading and consumer banking services.

PayPal would become the third mainstream platform to offer crypto-related services after Robinhood and Square.

Paxos uses API’s to facilitate the buying, selling and holding of digital assets. It is legally permitted by the state of New York to hold gold and digital assets on its customer’s behalf.

With crypto coming to PayPal, it is becoming increasingly evident that crypto is quickly shaking off their ‘fringe asset’ identity. More and more major financial institutions are becoming aware of the fact that they need to offer crypto services. Moreover, the client’s demand for the same is growing. This is especially the case in a year like 2020 where economic uncertainty is particularly high. The global pandemic ensuing is wreaking havoc on the world’s economy. Inflation will go up. As a result, many are looking for alternative ways to store their assets, hence crypto is proving to be a stable and reliable alternative.

         All News