Hassan Maishera
TL;DR
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PayPal is expanding its P2P payment system to include cryptocurrencies.
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U.S. users can now send cryptos like Bitcoin and Ether across PayPal, Venmo, and other crypto-compatible wallets.
PayPal Rolls Out P2P Support for Crypto
Payments giant PayPal announced on Monday that it is expanding its peer-to-peer (P2P) service by adding cryptocurrency transfers to its payment flow
In its blog post, PayPal revealed that its users in the United States can now send Bitcoin, Ether, PayPal's dollar stablecoin PYUSD, and other crypto assets across PayPal, Venmo, and an increasing number of crypto-compatible wallets worldwide.
“The peer-to-peer (P2P) experience is about to go even further. Crypto will soon be directly integrated into PayPal's new P2P payment flow in the app. This will make it more convenient for PayPal users in the U.S. to send Bitcoin, Ethereum, PYUSD, and more, to PayPal, Venmo, as well as a rapidly growing number of digital wallets across the world that support crypto and stablecoins,” PayPal added.
PayPal unveiled the expanded P2P option alongside PayPal links, a new feature that allows users to generate a one-time personalized link to send or request money. The links can be dropped into text messages, chats, or emails, embedding payments into everyday conversations.
The payment giant pointed out that friends-and-family transfers through Venmo and PayPal are exempt from 1099-K reporting. Users won't receive tax forms for gifts, reimbursements, or splitting expenses, helping ensure that personal payments stay personal.
This latest development comes as PayPal continues to expand its position in the cryptocurrency space. Last month, PayPal launched Pay with Crypto, a new feature that allows U.S. merchants to accept over 100 cryptocurrencies. This new feature connects shoppers' crypto wallets and allows them to spend their digital assets while the merchants receive U.S. dollars.
