PayPal Holdings will enable its US-based customers to use their cryptocurrency holdings to pay millions of its online merchants globally, according to Reuters. The service will be available at all of PayPal’s 29 million merchants in the coming months.
Customers who hold Bitcoin, Ether, Bitcoin Cash, and Litecoin in PayPal digital wallets will be able to convert their holdings into fiat currencies at checkouts to make purchases.
PayPal hopes that settling a transaction in fiat currently will eliminate the volatility risk for merchants.
Checkout with crypto builds on the ability for PayPal users to buy, sell and hold cryptocurrencies, which the payments company launched in October.
PayPal will charge no transaction fee to checkout with crypto, and only one type of coin can be used for each purchase.
PayPal’s launch comes less than a week after Tesla Inc. announcing it would start accepting Bitcoin payments for its cars.
PayPal stock is currently declining as major cryptocurrencies gain. PYPL: NASDAQ is down 1.08%, BTCUSD is up 2.36%, ETHUSD is up 1.06%
