PayPal’s CEO, Dan Schulman, believes that digital currencies will gain more power in the coming years, for more people are switching to digital payment methods for transactions.
This can be one of the reasons behind the company’s move into the crypto space. PayPal users have been showing a significant interest in crypto services, particularly Bitcoin.
The World Will Favor Crypto
In a Web Summit Conference, Schulman explained that the “entire world is going to come into digital-first.” Many shops and merchants are switching to smartphones, QR codes, etc., to receive buyers’ payments. Customers are now using digital wallet services, all of which “complements to digital currencies,” said Schulman.
PayPal announced its plans to debut buying and selling services for cryptocurrencies. A few weeks later, the services were launched for United States customers, and it was considered a milestone for the Bitcoin market. Many people have speculated that the development has triggered the bullish runs in the market since September.
The digital platform is already recording an increased demand for Bitcoin since the service started. Last week, PayPal and CashApp reportedly bought more than 100% of newly mined bitcoin. Recent surveys by Mizuho Securities found out that one-fifth of the company’s users have already traded with Bitcoin.
PayPal has about 350M users on its platform.
Who is PayPal’s Major Competitor?
Schulman said that Ant Financial is its biggest competitor in the market. The company is known for the highest mobile payments in China. Schulman stated that Ant Financial holds a strong reputation and success in the country. They also offer a comprehensive digital wallet to the Chinese users, which featured “all elements of financial services, all elements of shopping.”
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