Online payments giant PayPal is expanding its cryptocurrency services, partnering with cryptocurrency company MoonPay to provide its more than 426 million customers with access to more than 100 digital assets.
By wrapping cryptocurrencies within the PayPal app, banking rules may no longer be a barrier.
“Due to certain banking restrictions, crypto purchases often fail when users try to use their debit cards directly,” a MoonPay spokesperson said. “The MoonPay and PayPal partnership provides a solution that significantly increases the success rate of cryptocurrency transactions, even when using the same debit card.”
MoonPay added that PayPal customers will be able to purchase cryptocurrencies without separately providing personal or card information to MoonPay.
PayPal customers have previously been able to purchase Bitcoin (BTC), Ethereum (ETH), PayPal USD (PYUSD), Bitcoin Cash (BCH), and Litecoin (LTC). MoonPay transactions also give customers access to Solana (SOL), Tether (USDT), Dogecoin (DOGE), Cardano (ADA), Polygon (MATIC), and more.
According to MoonPay, customers in all 50 US states will be able to purchase cryptocurrencies on the PayPal platform using their account balance, direct bank withdrawal, or debit card.
The company says that 50% of its U.S. users currently have access to the PayPal integration.
MoonPay touted greater flexibility and choice, support for a variety of tokens, seamless onboarding, and convenience.
“Unlike other solutions that limit purchases with PayPal to PYUSD or ETH, users with a PayPal account can buy and sell over 110 different cryptocurrencies via MoonPay,” the company spokesperson added.
MoonPay said it takes a multi-pronged approach to operate within the law, including intellectual property management, blockchain monitoring, and robust KYC processes.
A MoonPay spokesperson said, “MoonPay takes its commitment to compliance and regulation seriously, and maintaining bank-level compliance controls is one way to demonstrate that commitment.”
PayPal first announced plans to bring cryptocurrencies to its platform in October 2020.
“We are pleased to announce that all eligible PayPal account holders in the United States can now buy, hold, and sell cryptocurrencies directly on PayPal,” the company said at the time, adding that payments are denominated in fiat currency at the point of sale. It added that it would be converted to .
In April 2021, PayPal added a crypto purchase option to its Venmo social payments platform, followed by a UK rollout in August 2021.
Although PayPal initially restricted its customers from transferring digital assets outside of its platform, PayPal began allowing users to transfer Bitcoin and Ethereum to external wallets in June 2022.
PayPal did not respond immediately Decryption Request for comments.
Edited by Ryan Ozawa.
