On October 21, 2020, PayPal Holdings, Inc. (NASDAQ: PYPL) announced its grand entry into the crypto industry. The giant payment processing company stated that it will partner with Paxos Trust Company, a regulated provider of cryptocurrency products and services, to enable its over 300 million worldwide customers to buy, sell and hold Bitcoin, Ethereum, Bitcoin Cash, and Litecoin.
The announcement was a huge entree in the entire crypto industry, however, Rippe CEO Brad Garlinghouse had a different view on it.
Through his official Twitter page, Garlinghouse did applaud the move but categorically stated that he was disappointed with PayPal leaving out other crypto projects including XRP, Tether USDT, and the rest.
Ostensibly, Garlinghouse highlighted that PayPal might be concerned with regulatory uncertainty.
“2 steps forward, 1 step back…Great to see a payment pioneer leaning in, BUT disappointing some fundamental tenets / benefits of crypto are spurned. I suspect PayPal is concerned about the (wait for it…) regulatory uncertainty, impacting its roll-out on a number of levels.”
Previously, Ripple CTO, David Schwartz, said that PayPal had barred him from accessing their services and that his account is in a lifetime ban.
The difference between the two American companies is publicly evident and perhaps looking good for the competitor projects.
Notably, after PayPal’s entry into the crypto sphere, Bitcoin price accelerated sharply to break above the $12k resistance level. The asset was trading around $12,778.87 having added 5.1% in the past 24- hours.
Its market capitalization at the time of reporting stood at $236 billion, with its daily trading volume in the past 24-hrs at $32 billion.
A similar rise was experienced in Ethereum, and Bitcoin Cash, as they rose 4.3% and 7.1% respectively according to metrics provided by CoinGecko. As for Litecoin, it almost tripled the change by rallying 14.8%.
On the side of XRP, it rose 3.5% yesterday and was trading around $0.255953 at the time of writing.
According to Garlinghouse, some notable benefits of cryptocurrencies were left out, possibly citing XRP which has a higher throughput than the once enrolled. In addition, XRP has cheaper transaction fees and is the fastest in transaction processing.
Notably, PayPal did not include any stablecoin, which significantly helps investors in times of high volatility as a control measure.
Whether PayPal adds other digital assets or not, the move is a huge welcome and will significantly benefit crypto adoption and possibly will add other assets in future.