PayPal Expands Crypto Services with Solana and Chainlink
In a significant move for the cryptocurrency market, PayPal has announced that digital asset users in the United States and U.S. territories can now buy, sell, hold, and transfer Solana (SOL) and Chainlink (LINK) directly on the platform.
This is the first time users can engage with these two digital assets without needing a third-party service provider like MoonPay, which previously facilitated purchases through PayPal.
A Shift in PayPal’s Crypto Offering
Prior to this new update, PayPal customers could only use the platform as a payment method to buy Solana and Chainlink through MoonPay, a crypto-native service provider. However, with the introduction of direct support for SOL and LINK, PayPal is further enhancing its crypto ecosystem, making it easier for users to interact with these popular assets.
Despite the new development, the prices of Solana and Chainlink were largely unchanged following the announcement, according to The Block’s price tracking page. This suggests that while the news is significant in the context of PayPal’s growing crypto services, it may not have had an immediate market impact.
Expanding Crypto Services Since 2020
PayPal has been gradually expanding its digital asset services since launching support for Bitcoin, Ethereum, Litecoin, and Bitcoin Cash back in October 2020. The platform continued its expansion with the introduction of PayPal USD (a dollar-pegged stablecoin) in August 2023, which operates on both Ethereum and Solana blockchains. These steps show PayPal’s ongoing commitment to integrating more cryptocurrencies and payment options into its services, providing users with a broader range of assets and capabilities within the platform.
Regulatory Challenges and Cautious Expansion
One factor that may have influenced PayPal’s gradual approach to listing new cryptocurrencies is the regulatory uncertainty surrounding digital assets in the U.S. Federal agencies have been particularly active in scrutinizing the crypto sector, with the Securities and Exchange Commission (SEC) filing lawsuits in June 2023 against major crypto exchanges like Binance and Coinbase. These actions raised concerns about the regulatory treatment of assets like Solana, with the SEC considering it as a potential unregistered security. However, the SEC later withdrew its complaint against Coinbase and paused litigation in the Binance case, which may have cleared the path for further crypto listings.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a "detective-like" mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
