Venmo, the social payment arm of the online payments giant PayPal, has now officially made it possible for users to hold, sell and buy cryptocurrency through the use of the mobile app.
‘Crypto on Venmo’ is the name given to this service, as had been announced by PayPal itself. This service will begin to be implemented from here on and shall be made available to 70 million users worldwide, who can all take advantage of the service with the Venmo app throughout the upcoming weeks. Much like PayPal, the Venmo offering is made possible via the Paxos Trust Company partnership, one which operates behind the scenes to take care of the transactions.
As of the time of this writing, only Bitcoin, Bitcoin Cash, Ethereum, and Litecoin are supported on the app.
PayPal obtained the license to start dealing in crypto
There had been reports in the previous year which provided details pertaining to Venmo. Basically, any and all cryptocurrency-based offerings would begin with PayPal initially before making the jump to Venmo in 2021. To achieve this, PayPal was required to get a conditional license. This license was eventually granted to PayPal by the NY Department of Financial Services, and the selling and buying of crypto shortly followed.
Furthermore, according to Venmo’s statement involving reference to the Customer Behaviour Study conducted last year, more than 30% of the customers have begun using the service, and nearly 20% of this statistic had come from individuals buying and selling crypto throughout the COVID-19 global pandemic.
PayPal happy with its decision
No one would deny that cryptocurrency has been receiving a lot of mainstream attention these days. The fact that many regulators can no longer consider Bitcoin a ‘fringe asset’ combined with the recent success of DOGE proves this. As such, PayPal, like many other companies, realized both the need and the desire for the implementation of cryptocurrency into the services that were already being provided to the customers.
Additionally, Venmo will also enable users to see the current trends regarding cryptocurrency through the use of in-app videos and guides. Newcomers to cryptocurrency can use this to educate themselves in a very accessible way.
The GM and SVP at Venmo, Darrel Esch, had commented that ‘Crypto on Venmo’ will allow the company to explore further into the cryptocurrency industry. “Venmo will be built on trust and reliability, two vital elements necessary to ensure its success in the daily financial lives of its users”, he added.