PayPal’s chief executive believes that cryptocurrencies are on the verge of mainstream adoption as more businesses and consumers flock to “digital payments and digital forms of currency.”
According to cointelegraph, in an interview with CNBC, PayPal CEO Dan Schulman noted the COVID-19 pandemic has accelerated the shift to digital forms of payments. PayPal aims to be at the forefront of the digital transformation.
CEO Dan Schulman pointed out the “use of cash has declined precipitously” amid the pandemic, he also added that “40 to 70% of consumers no longer want to handle cash.”
PayPal is not just making it easier for people to buy and hold cryptocurrencies; the service will integrate with existing merchant payments platforms, allowing businesses to accept digital forms of payment.
The PayPal executive stated:
“One of the things that we allowed is not just making it easy to buy, sell and hold cryptocurrencies, but very importantly, early next year, we’re going to allow cryptocurrencies to be a funding source for any transaction happening on all 28 million of our merchants. And that will significantly bolster the utility of cryptocurrencies.”
PayPal consulted with global regulators and central banks before launching its crypto service. Schulman said:
“It’s a matter of not if but when and how we’ll start to see more and more central banks issue forms of digital currencies. I think you’ll have more and more utility happen with cryptocurrency.”
PayPal launched its crypto trading services in the United States at the beginning of this month, mere weeks after first announcing the new initiative. The services will be launched globally early next year.
Some of Bitcoin’s detractors claim that the digital currency lacks inherent value. In this regard, Schulman noted:
“All forms of money are based on trust and set values that come from that trust.”