PayPal Opens Crypto Trading for US Businesses

PayPal has expanded its cryptocurrency services by allowing US business accounts to buy, sell, and store crypto directly from their accounts. Announced on September 25, this new feature gives millions of American merchants access to digital assets, enhancing flexibility for companies that want to integrate crypto into their financial operations. However, New York merchants won’t have access to this feature due to regulatory restrictions.

This move is part of PayPal’s broader push to support both individuals and companies in managing digital currencies. By providing business accounts with the ability to handle crypto transactions, PayPal makes it easier for merchants to use cryptocurrencies in their day-to-day activities. According to Jose Fernandez da Ponte, PayPal’s Senior VP of Blockchain, there is growing demand from business owners for the same crypto tools available to consumers. This new offering enables merchants to engage in cross-border payments more easily, as they can send and receive crypto from external wallets.

PayPal’s crypto journey began in 2020, when it first allowed personal accounts to trade cryptocurrencies like Bitcoin. This move marked a major step toward making digital currencies more accessible, bringing millions of new users into the crypto world without the need for specialized platforms. By providing crypto services on a trusted platform, PayPal made it easier for consumers to explore digital assets.

In 2023, PayPal introduced PYUSD, a stablecoin backed by the US dollar and launched on the Ethereum network. PYUSD was later made available on Solana in 2024, further enhancing its scalability. However, PYUSD has faced challenges. Between August and September 2024, its market cap dropped by nearly 30%, falling from $1.012 billion to $712.52 million, primarily due to decreased demand on the Solana blockchain. Despite these hurdles, PYUSD continues to be one of the leading stablecoins, and PayPal is committed to promoting its use.

Overall, PayPal’s expanding crypto services for business accounts aim to simplify the integration of digital currencies into commercial transactions, positioning the platform as a top choice for businesses looking to incorporate cryptocurrency into their operations. PayPal's efforts reflect a larger trend of growing mainstream adoption of digital assets, and the company is playing a key role in making cryptocurrencies more accessible to both consumers and businesses.