PayPal Adds Crypto Transfers Amid A Rising Market

One of the biggest names in the world of sending and receiving money – PayPal, is entering crypto transferring, as until now PayPal users had the ability only to purchase digital assets.

The new feature of PayPal will allow it to transfer cryptos to other users' PayPal wallets or their own external hardware-based wallets. However, if any transaction fees occur, they will be borne by customers, while the PayPal-to-PayPal transfer is free for now.

“We’re excited to announce that PayPal will begin supporting the transfer of cryptocurrencies between PayPal and other wallets and exchanges. This feature is rolling out to all eligible US customers in the coming weeks,” PayPal announced on Twitter.

In the beginning, PayPal customers will be able to move their crypto assets (Bitcoin, Ethereum, Bitcoin Cash, or Litecoin) into, outside of, and within PayPal. According to the company, the move “reflects the continuing evolution of our best-in-class platform and enables customers to interact with the broader crypto ecosystem.”

PayPal’s second encounter with cryptos

PayPal, the company co-founded by Tesla’s CEO Elon Musk, has prior experience with cryptos, as users already purchased digital assets via PayPal back in October 2020, when the payment processing company launched the crypto buying functionality. Market speculators made assumptions that eBay, PayPal’s mother company, would use the payment processing company as a gateway to silently allowing users to spend their cryptos on the world’s biggest marketplace to date.

Furthermore, one of PayPal’s latest acquisitions, Venmo, could also potentially see such integration in the near future.

"We will continue to roll out additional crypto features, products, and services in the months ahead," PayPal's Jose Fernandez da Ponte said in the announcement.

"We believe that we play an important role in bringing increased access and utility to the digital currency space and that digital currencies will play a crucial role in the future of commerce," da Ponte added.

Crypto Markets on the rise

Almost all of the crypto projects are welcoming the 4% increase in the sector’s market capitalization, as Bitcoin broke yet again above the now almost impossible to hold $30,000 resistance zone. Ethereum follows suit with a 3% price increase and a price just above $1,800 per ETH.

Source: CryptoBrowser

Cardano, however, soared with a 10% price increase in the past 24 hours, joined by projects like Chainlink (LINK), Theta Network (THETA), Neo (NEO), and others.

Nevertheless, the latest market uptick is not good enough to mitigate the consequences of the past three months, with the crypto sector losing as much as 1 trillion U.S dollars from its market capitalization from April to press time. After the LUNA market wipeout, the crypto market managed to find a steady pace at around $1,25 trillion and seems like it entered an accumulation phase, which is welcomed by traders and crypto enthusiasts, as it is a common bullish indicator.