Coinbase, an American-based platform known for exchanging cryptocurrency, is partnering with PayPal, a multinational payment platform.
The partnership would involve the addition of the PayPal option to the Coinbase platform.
It would also allow users to buy cryptocurrency using their PayPal account.
However, it would only be available to millions of users in the US, said Coinbase in a blog post.
Buy cryptocurrency easily
“We are now offering millions of customers in the US a simple and speedy way to buy crypto on Coinbase using your debit cards and bank accounts linked to PayPal,” announced Coinbase.
It explained that the purpose of the partnership is to offer customers a simple and seamless manner of cryptocurrency through the platforms.
“Buying crypto should be simple and easy. However, moving money in the traditional world of finance can be anything but. ACH and wire transfers can take time and effort, and we know you are expecting faster and more seamless ways to make crypto purchases. Now, you can instantly fund crypto purchases with PayPal in just a few taps.”
Previously, customers would buy cryptocurrency through ACH or wire transfer, credit card, funds in their Coinbase USD wallet.
However, the new addition would make the exchange process so much easier.
Also, it plans on offering customers the experience of every existing cryptocurrency that the platform supports in a “familiar and trusted” manner.
However, Coinbase announced its plan of expanding the ability to purchase from funds on its site to more countries in the coming month.
Although, in countries like the US, Canada, EU and UK, cash withdrawal to PayPal is available.
How to use it
Coinbase said users could add their PayPal account by choosing PayPal as their payment method option for users interested in using the option.
It would be linked to a user’s PayPal login screen.
Make sure that both the email address on your Coinbase and your PayPal account corresponds.
If it does not, two-step verification will take place on the platform to confirm your eligibility after you log in, select debit cards and accounts linked to your PayPal account.
Customers can make up to $25,000 purchases a day with their PayPal account.
PayPal journeys into cryptocurrency
However, this was part of PayPal’s strategy to progress as a financial payment platform.
PayPal jumped on the existing trend of embracing the use of cryptocurrency into its system.
In March, it had announced that it would begin to allow its US customers to use their crypto holdings to pay merchants online.
At checkout point after purchase, the digital asset taken from their digital wallet would be converted to fiat currency; and it would be used for purchases.
Also, in November 2020, PayPal announced that it would let its US customers sell, buy and hold cryptocurrency straight from their Paypal account.
This has resulted in making PayPal one of the largest mainstream financial companies to open up its financial network to cryptocurrency.