PayPal’s adoption of cryptocurrencies appears to be on the rise after the digital payments provider announced that it would allow users to withdraw their digital assets to third-party wallets.
The news reported by Reuters on Wednesday afternoon comes just seven months after PayPal first allowed cryptocurrency purchases on its platform. At the time, the decision was heralded as a major milestone in digital asset recognition.
Wednesday’s announcement means PayPal users will be able to send their cryptocurrencies to other wallets instead of simply leaving them on PayPal or selling for fiat currencies to withdraw. However, Neither Reuters nor PayPal have indicated when the withdrawal feature can be used. If it is something like PayPal’s decision to allow cryptocurrency purchases last fall, the roll out of the new feature could be gradual and location-based.
PayPal’s adoption of cryptocurrencies appears to be based on a well-defined strategy with digital asset use cases growing rapidly over time. As previously reported by Cointelegraph, CEO Dan Schulman believes we will see “a huge drop in cash use” over the next decade, adding:
“All elements of payment methods are applied to cell phones. Credit cards as a payment element are disappearing and phones are being used because a phone can age. They offer much more value than just being able to touch the credit card.”
Schulman also stated earlier this month that PayPal’s cryptocurrency business was already paying dividends to the company. “We have achieved a tremendous amount of really great tactically with our cryptocurrency efforts.” He said.