PayPal CEO Dan Schulman believes that cryptocurrencies should be used for any payments, and the release of government cryptocurrencies is only a matter of time.
In an interview, Shulman stated that cryptoassets are on the cusp of mass adoption as more organizations move to digital payments due to the pandemic. According to him, 40-70% of customers no longer want to use cash, so the PayPal payment system intends to further contribute to digital transformation. So, on November 13, PayPal added support for cryptocurrencies for American citizens.
The company executive said the initiative will not only make it easier for people to buy, sell and store cryptocurrencies, but also allow businesses to use digital forms of payments, given that the service will be integrated with trading platforms. At the beginning of next year, these opportunities will be available not only to US citizens, but also to residents of other countries. Shulman added that before launching the service, he consulted with regulators from different countries and central banks.
“People will be able to make any transactions using cryptocurrencies. This will greatly increase their value. Now all that remains is to wait for central banks to issue their own digital currencies. The question is not whether they will do it, but when and how they will be able to do it. Cryptocurrencies will soon become a part of our life, ”Shulman said.
In 2018, a PayPal executive stated that Bitcoin is not profitable for retailers due to its volatility, which can lead to a significant difference between the profit and loss on each sale. However, over time, Shulman changed his attitude towards bitcoin and cryptoassets in general. He now believes that their intrinsic value is based on people’s trust.
Note that some central banks have already introduced their own digital currencies. So, in October, the Central Bank of the Bahamas launched the state stablecoin Sand Dollar. In the same month, the Central Bank of Cambodia officially released the state digital currency Bakong to improve the efficiency of the country’s payment system.