PayPal launches its cryptocurrency service in the UK.
Popular online payments service PayPal said British customers will be able to buy, hold and sell digital currencies starting this week.
This is the first expansion of PayPal's cryptocurrency service internationally, which first launched in the US in October last year.
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“It’s doing very well in the U.S., ” Jose Fernandez da Ponte , general manager for blockchain, crypto and digital currencies at PayPal, told CNBC . “ We expect it to do well in the U.K. ”
PayPal's cryptocurrency service allows customers to buy or sell bitcoin, bitcoin cash, ethereum or litecoin for as little as £1. Users can also track cryptocurrency prices in real time.
As with the US version of the product, PayPal is relying on Paxos, a digital currency company, to enable the buying and selling of cryptocurrency in the UK. PayPal said it has worked with relevant British regulators to launch the service in the UK.
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PayPal’s crypto service is similar to one from British fintech company Revolut. Like Revolut, PayPal users can’t move their cryptocurrencies outside of the app. However, Revolut recently began testing a feature that allows users to transfer bitcoin to their own personal wallets.
PayPal says the cryptocurrency service makes it easier for people to access the crypto market.
The online payments service is one of several major financial companies that are actively embracing and engaging with cryptocurrencies. Despite ongoing concerns about price volatility, consumer protection and potential money laundering, major companies such as Mastercard, Tesla and Facebook are interested and have begun to engage with cryptos.
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While PayPal only recently started accepting cryptocurrency transactions, the company is betting that digital currencies will play a bigger role in e-commerce in the long term. Earlier this year, PayPal began allowing U.S. consumers to use cryptocurrency. The company has also expanded the service to Venmo, the popular mobile wallet.
“We certainly have ambitions to continue to expand the product range in the US, the UK and other markets,” da Ponte said.
Source: CNBC
