Paxos to help PayPal as the latter continues push for cryptocurrency services

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Posted on: July 20, 2020 6:00 pm EDT

PayPal is reportedly getting serious about integrating crypto into its platform

A new partnership between a cryptocurrency firm and a giant payment processor might be announced as soon as this week, according to Coindesk. The new partnership is between PayPal and Paxos, and the goal is to supply digital currencies so PayPal can run its crypto services. This news comes only a few days after Paxos launched its crypto brokerage services, which allows companies to offer services of trading, holding and sending of digital tokens to their customers.

According to anonymous sources cited by Coindesk, this new platform offered by Paxos is handling the regulatory, technological and liquidity aspects pertaining to crypto-related services, so the companies using the service only need to think about the front-end part of it. This service is already being provided to Revolut US, the US subsidiary of the British challenger banking giant.

But the deal with PayPal is poised to be massive as the giant payment processor has over 300 million global users. PayPal has been making a solid entry into the crypto industry and, just recently, the company closed ties with the biggest crypto exchange in the US, Coinbase, so crypto users have a space to purchase digital currencies using their PayPal account. Now, with this new addition, PayPal is seeking to enter the crypto world more in-depth by offering buying and selling services, and even more, according to several reports.

Until now, it is not known for sure if PayPal will begin offer services only with Bitcoin or if it’s going to include other digital currencies, as well. In an interesting note, PayPal was one of the original members of the Libra Association, but it was also one of the first companies to pull out due to the rising concerns from US authorities.