PayPal Opens Door to Bitcoin for Digital Merchants
Sept. 25, 2014
This week, PayPal took another step toward enabling its merchants to accept Bitcoin. The company said it signed agreements with digital-currency processors BitPay, Coinbase and GoCoin so that PayPal merchants that sell digital goods can accept Bitcoin and process the transactions through one of those providers by integrating to them through the PayPal Payments Hub. PayPal acknowledged the move was another baby step , testing the Bitcoin waters by restricting this to digital merchants in North America and structuring it essentially as a referral agreement.
“To be clear, today’s news does not mean that PayPal has added Bitcoin as a currency in our digital wallet or that Bitcoin payments will be processed on our secure payments platform,” said Scott Ellison, senior director of corporate strategy at PayPal. “PayPal has always embraced innovation, but always in ways that make payments safer and more reliable for our customers. Our approach to Bitcoin is no different. That’s why we’re proceeding gradually, supporting Bitcoin in some ways today and holding off on other ways until we see how things develop.”