Financial giant PayPal just announced the launch of a new financial application that will make crypto services even more accessible on its platform.
PayPal is sharing details about the first iteration of its digital wallet and payments app, which features an array of new financial capabilities.
As the announcement explains,
“The new app includes a personalized dashboard of a customer’s PayPal account, a wallet tab to manage payment instruments and direct deposit, a finance tab that includes access to high-yield savings and crypto capabilities, and a payments hub that includes send and receive money features, international remittances, charitable and non-profit giving, bill pay, and a two-way messaging feature to send notes of acknowledgment after peer-to-peer transactions.”
The payments giant will partner with Synchrony Bank to create a high-yield savings account called PayPal Savings. The service is expected to start rolling out to US-based customers in the coming months.
Dan Schulman, president and CEO of PayPal, says that the new app simplifies the customer experience by creating an all-in-one service that eliminates the need for multiple financial applications.
“Our new app offers customers a simplified, secure, and personalized experience that builds on our platform of trust and security. [It] removes the complexity of having to manage multiple financial or shopping apps, remember different passwords, and track loyalty rewards.”
PayPal also plans to add new features and enhancements to the app in the future. The company intends to offer investment capabilities and payment options with the app online and in-store, including offline QR code payments and enhanced PayPal-branded capabilities to offer new ways to shop and save in-store.
According to the press release, PayPal expects the number of digital wallet users to grow vastly over the next few years, with 48% of consumers citing simplicity as the main reason for adopting digital wallets.
“The number of consumers using digital wallets is expected to double to 4.4 billion globally by 2025, and nearly half of consumers (48%) already cite simplicity as the top reason to use a digital wallet.
The new PayPal app aims to address this [need] by offering an all-in-one app as the primary destination for customers to easily manage their day-to-day financial lives.”
PayPal Allows All U.K. Users to Buy and Sell Bitcoin, Ethereum, Litecoin and Bitcoin Cash
PayPal makes its cryptocurrency service available for all of its U.K. customers
San Jose-based financial technology giant PayPal has announced that all of its eligible customers can now buy, sell and hold cryptocurrencies in the U.K.
The list of supported digital assets includes Bitcoin, Bitcoin Cash, Ethereum and Litecoin.
PayPal ventured into the cryptocurrency sector in October, gradually bringing the new functionality to all U.S. users.
As reported by U.Today, the company initially announced that it would expand its crypto service across the pond back in February.
In late August, PayPal started rolling out support for the aforementioned cryptocurrencies in the U.K.
Jose Fernandez da Ponte, the company’s blockchain lead, said that PayPal strived to contribute to shaping the role of cryptocurrencies in global finance:
We are committed to continue working closely with regulators in the UK, and around the world, to offer our support and meaningfully contribute to shaping the role digital currencies will play in the future of global finance and commerce.
In July, the payments behemoth also opened several cryptocurrency-related job positions in Ireland.
Former PayPal employees launch decentralized cross-border payment network on Algorand
Fueling cross-border transactions with regulated stablecoins to represent fiat on-chain has never been done before,” said Borderless Capital CEO David Garcia
Two former PayPal workers in business and technology have launched a cross-border payment system aimed at “faster, cheaper, and more transparent payments.”
In an announcement today, fintech infrastructure firm Six Clovers said it had launched its RAPID network connecting banks, merchants, and payment providers, allowing clients to transact in digital currencies and fiat. Founded by former PayPal employees Jim Nguyen and Nas Kavian and backed by venture capital firm Borderless Capital, the network is built on the Algorand blockchain and employs the technology behind stablecoins to represent fiat.
“Six Clovers is creating a bridge between traditional and decentralized finance, expanding access to the next generation of digital products and services,” said Algorand CEO Steve Kokinos.
The project claims its network will offer an alternative for payment providers currently using the SWIFT protocol for cross-border payments. RAPID uses USD Coin (USDC) to represent fiat on the Algorand blockchain, provides P2P transactions, and can reportedly handle up to 46,000 transactions per second.
Related: JPMorgan and DBS to launch blockchain cross-border payment platform
“Fueling cross-border transactions with regulated stablecoins to represent fiat on-chain has never been done before,” said Borderless Capital CEO David Garcia. “[The network] is going to unleash a wave of mass blockchain adoption across banks, merchants, and payment providers as they see the need to embrace the digital future.”
A proof-of-stake protocol, Algorand said its blockchain is fully carbon neutral as of April. The project has implemented a “sustainability oracle” in partnership with ClimateTrade to notarize its on-chain carbon footprint and then lock the equivalent amount of carbon credits into a “green treasury.”
Paypal CEO discusses the shift in payments, confirms cryptocurrency demand
- PayPal CEO Dan Schulman has in an interview revealed that his company has witnessed cryptocurrency demand beyond the initial expectations.
- He has also shared his views of what the financial infrastructure will look like in 5 to 10 years, a period in which he expects more changes in the financial system than witnessed over the past 10 to 20 years.
The President and CEO of PayPal, Dan Schulman, has been discussing cryptocurrencies and his company’s role in their recent build-up. In an interview with TIME, the CEO talked about how it “was pretty cool” purchasing boots on his own platform and paying in Bitcoin. This was realized because PayPal recently launched a crypto checkout service for US consumers. Users can buy, hold and pay using Bitcoin, Ether, Bitcoin Cash and Litecoin for merchandise. At the time, Schulman celebrated the move stating that this would be the first time where using cryptocurrencies would be as seamless as using a credit card or debit card on the PayPal wallet.
In the recent interview, the CEO has disclosed that the demand on the crypto side is multiple-fold to what the company initially expected. Furthermore, he explained why PayPal took long to adopt them,
We’ve been looking at digital forms of currency and DLT for six years or so. But I thought it was early, and I thought the cryptocurrencies at the time were much more assets than they were currency.
As an asset, cryptocurrencies are prone to price fluctuations discouraging businesses to accept. He added that there were concerns about regulations as digital currencies were still not mainstream. However, in recent months, this has been the case, compelling the governments to formulate regulations.
While PayPal only launched crypto payments last month, the CEO has confirmed that the shift to digital payments was greatly influenced by the outbreak of COVID-19. The lockdowns and a campaign discouraging physical contact spurred online payments. Paypal is reported to have processed 15.4 billion payments, with a value of $936 billion last year.
Schulman: Financial infrastructure needs modernization
Like most fintech executives, Schulman holds the view that the current financial system is outdated. In the interview, he stated that in the next five to ten years, all forms of payments will collapse into the mobile phone. Venmo, a mobile payment system owned by PayPal has only last week adopted cryptocurrencies. The platform announced it will let its more than 70 million users spend as little as $1 to buy Bitcoin, Ether, Litecoin and Bitcoin Cash. Users can also hold or sell using the platform.
The general manager of Venmo, Darrell Esch, stated that Venmo was seeking to be a trusted platform where users can learn and engage with cryptocurrencies. The current financial infrastructure has been slow, inefficient and expensive. One of the ways modern economies plan to upgrade their systems is through Central Bank Digital Currencies (CBDCs).
Central bank-issued digital currencies can also take advantage of distributed ledger technology [DLT] or other modern technologies, but they’re basically digitizing a fiat currency like the U.S. dollar.
The PayPal CEO believes that if the US introduced a digital dollar, it would allow for the Fed to not only fund banks but other institutions such as PayPal. Admittedly the US is lagging behind with other countries already testing, issuing, or in the final stage of development of the same.