On March 30, PayPal launched a new feature of “Checkout with Crypto”. This service will facilitate customers to expand the utility of cryptocurrency. PayPal is globally used over millions of online businesses and is aiming to expand its business far across the globe over coming months. Customers owning cryptocurrency in U.S. can now seamlessly checkout using their PayPal account.
Customers using Crypto Checkout can check out their cryptocurrency holdings easily and safely by converting them to fiat currency, with value assurance and no additional transaction fees, thanks to PayPal’s ability to buy, hold, and sell cryptocurrency. Customers who have enough cryptocurrency in their PayPal wallet to fund a qualified order are checked out automatically.
“As the use of digital payments and digital currencies accelerates, the introduction of Checkout with Crypto continues our focus on driving mainstream adoption of cryptocurrencies while continuing to offer PayPal customers choice and flexibility in the ways they can pay using the PayPal wallet,” said Dan Schulman, president, and CEO, PayPal.
He added “Enabling cryptocurrencies to make purchases at businesses around the world is the next chapter in driving the ubiquity and mass acceptance of digital currencies.”
Cryptocurrency is a new method for clients to pay and companies to get paid, adding a higher value for Cryptocurrency holders, via Checkout with Crypto.
Introducing a New Way for Businesses to Get Paid
Checkout with Crypto allows a business customer to pay with cryptocurrency without incurring additional fees. All transactions are completed using the standard PayPal exchange rates in USD and converted into the relevant business currency. Check-out with Crypto enables customers to sell cryptocurrency via PayPal and then pay for selected online purchases in a one seamless check-out flow.
Checkouts with Crypto continue to allow PayPal to make decisions on how customers pay and how businesses are being paid. These initiatives inevitably expand the variety of services available to retailers in order to improve customer engagement.
Using Checkout with Crypto
If a customer has ample cryptocurrency of a single form in their PayPal wallet to cover the purchase price, Checkout with Crypto will appear for them to use as a payment method. The Checkout with Crypto payment flow, which appears alongside other payment methods in the PayPal wallet such as a bank account, balance, or credit card/debit card, is similar and common to other ways of checking out with PayPal:
- If a customer has enough cryptocurrency in their account to fund an eligible transaction, crypto may appear as a payment choice for that purchase during checkout.
- Customers will be able to choose their preferred cryptocurrency – Bitcoin, Litecoin, Ethereum, or Bitcoin Cash, based on their PayPal balances and the balances available in each cryptocurrency. Each purchase can only be made with one form of cryptocurrency.
- If the buyer has confirmed the purchase, PayPal will convert the cryptocurrency to fiat currency on behalf of the customer, which completes the transaction. Both the cryptography sell and the purchased goods are reported to the consumer.
- PayPal does not charge any transaction fees on crypto check-out – the transfer from cryptocurrency to USD would include a cryptocurrency conversion spread.
Crypto’s eligible check-out provides authentication, security, and other advantages of using PayPal, including 24/7 protection against fraud, return delivery, and purchasing protection for eligible products. The Crypto check-out starts today with PayPal customers in the United States.