PayPal is expanding its cryptocurrency capabilities by allowing users in the United States to fund purchases using digital currencies.
The new feature, called “Checkout with Crypto,” enables PayPal customers who hold Bitcoin, Ethereum, Litecoin, or Bitcoin Cash in their accounts to use those holdings to pay at millions of online merchants globally. When making a purchase, users can select the crypto option at checkout, and PayPal will instantly convert the cryptocurrency into U.S. dollars without any additional transaction fees. The process is designed to be seamless, with users able to choose their preferred form of payment—whether crypto or traditional currency—within the PayPal wallet.
PayPal CEO Dan Schulman said the move is a step toward mainstream adoption of digital currencies, calling it a “transitional point where cryptocurrencies move from being largely a class you buy, hold, or sell to now becoming a legitimate funding source to make transactions in the real world at millions of merchants.”
PayPal first began allowing U.S. users to buy, hold, and sell cryptocurrencies in 2020, and later expanded the offering to the U.K. The new checkout feature builds on that effort by turning stored crypto into a usable payment method. While merchants are paid in U.S. dollars, PayPal handles the conversion and processing in the background.
The company said the feature will become available to all eligible U.S. customers over the coming weeks.
