PayPal is launching a new service to allow businesses to buy, hold and sell cryptocurrency, making it much easier for US merchants to use crypto for payments.
Although the company already allowed its PayPal and Venmo users with consumer accounts to use bitcoin and other virtual coins via its online wallets, it's now rolling out similar capabilities to businesses.
The effort marks a major play in expanding the functionality of digital assets for businesses. It comes as cryptocurrency has gained wider market acceptance after the US Securities and Exchange Commission approved bitcoin exchange-traded funds in January.
"Business owners have increasingly expressed a desire for the same cryptocurrency capabilities available to consumers," said Jose Fernandez da Ponte, PayPal's senior VP of blockchain, cryptocurrency and digital currencies in a press release Wednesday.
The change will make crypto available to "millions" of merchants across the US, many for the first time. However, the functionality will not be available for businesses in the state of New York, according to the company.
PayPal added that it is also allowing businesses to externally transfer cryptocurrency on chain to third-party eligible wallets.
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