The Internet has transformed the way people shop, with online stores being the new norm. The premise of making purchases from the comfort of your home can be appealing, but much like other online activities, online shopping comes with cyber risks. You’ve likely heard of issues like missing or stolen credit cards, identity theft, counterfeit goods, and other similar horror stories. To protect yourself against these risks, you can take proper measures like two-factor authentication (2FA).
As cryptocurrencies gain wider mainstream adoption, more and more people are looking for convenient ways to buy Bitcoin online. The latest development in the Bitcoin evolution brings this function to PayPal, one of the most utilized financial platforms online.
With over 340 million users, PayPal facilitates billions of transactions worldwide. Many can attest to its security and convenience, making it easier to stay safe when transacting on the Internet.
But now that cryptocurrencies are gaining more attention, you may wonder how to buy Bitcoin using PayPal. Read on to find out!
What exactly is PayPal?
PayPal is a digital financial application and service that allows you to make online purchases and payments while keeping your information secure. The service encrypts all your payment data, such as your bank details, and hides them behind a password-protected wall. The platform also utilizes 2FA so that you can add an extra security layer to your account and purchases. When 2FA is enabled, you’ll have to type an additional code sent to your mobile phone to sign in or confirm purchases. PayPal may not be your traditional bank, but it’s shaping up to be a top player with over 340 million active users on the platform.
Can you hold, buy, and sell Bitcoin with PayPal?
Late last year, PayPal officially entered the crypto market and launched a new cryptocurrency integration onto its platform. With this service, users from the US can now hold, sell, and purchase Bitcoin with PayPal. By the end of the first quarter of 2021, PayPal will also enable the use of crypto as a funding method for purchases from its large network of merchants.
According to the company, the new service aims to appeal to growing crypto adoption rates and help users learn more about the cryptocurrency ecosystem. With this, anyone interested in entering the crypto space can buy Bitcoins with PayPal instantly and conveniently. PayPal CFO John Rainey described most of their users as “crypto-curious.” He mentioned that they don’t necessarily have heavy traders using the platform at the moment, but the new features have piqued many users’ curiosity about cryptocurrencies.
While the crypto buy-and-sell feature is certainly a welcome addition to PayPal, that isn’t the big news people are looking forward to. Rather, the future enablement of crypto as a payment method is what’s drawing the attention of many. With over 26 million merchants in its network, the upcoming feature can potentially skyrocket coin adoption rates.
Even before Paypal’s cryptocurrency integration, it was already possible to buy Bitcoin with PayPal—no ID needed. However, most exchanges have yet to include PayPal as a payment option, so the platform’s update is a big step toward bringing cryptocurrency to a large market.
Do all cryptocurrency websites accept PayPal?
If you’re wondering, “Does Coinbase accept PayPal?,” the answer is yes! Coinbase is the leading cryptocurrency exchange in the US and one of the most popular trading platforms to buy Bitcoin, Ethereum, Litecoin, and other tokens.
However, most exchanges are yet to follow Coinbase’s footsteps and include PayPal in their roster of payment options and wallet integrations. Some are hopeful that with PayPal’s baby steps toward penetrating the crypto sphere, exchanges will start accepting it as a payment option in the future.
While it would be much easier to buy Bitcoin with PayPal instantly, users are currently limited to holding coins on the platform. As a result, investors have expressed interest in a larger expansion that will allow them to directly exchange crypto through PayPal.
With all that said, it’s important to know that buying cryptocurrencies inherently comes with risks, even if you use PayPal. Any time you buy Bitcoin or any other token, make sure you do adequate research before investing in anything online. Similarly, only trust reputable and credible sites like Coinbase for your transactions.
What are PayPal’s plans in terms of cryptocurrency integrations?
Currently, PayPal supports four cryptocurrencies: Bitcoin, Bitcoin Cash, Ethereum, and Litecoin. Though the service is presently limited to the US, except for Hawaii, the company plans to expand to other markets, such as the UK, in 2021. If the expansion proves successful, people will eventually be able to buy bitcoin with PayPal Australia sometime in the future.
PayPal also plans to bring cryptocurrencies to its subsidiary, Venmo, within the year. The partnership will allow users on Venmo to hold, buy, and sell crypto in its mobile app. PayPal CEO Dan Schulman also expressed the company’s interest in working with central banks and regulators to further enable crypto support. He has an optimistic view of the Bitcoin price and digital currencies as a whole.
Want to learn more about cryptocurrencies? Check out this video from The Top Coins Youtube:
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