A new report from Bloomberg says that PayPal is considering launching its own cryptocurrency. The move comes as they look for ways to integrate ways to engage with digital coins on its platforms. Right now the company is just exploring the idea of releasing its own crypto coin. A digital currency that will be backed by and linked in value to a current currency.
Newsweek reported that Tech developer Steve Moser was tinkering with the PayPal app and discovered evidence that PayPal was toying with a cryptocurrency called PayPal Coin, backed by the U.S. dollar. Moser found references to another crypto coin, Neo, in PayPal's iOS app. Paypal supports buying, selling, and holding Bitcoin and other forms of cryptocurrencies.
American customers started having the ability to hold cryptocurrency on PayPal in October 2020, then later enabled them to make purchases with supported crypto coins from PayPal's countless merchants the following March. PayPal charges a minor transaction fee but doesn't charge fees for holding cryptocurrency. With PayPal, crypto coin purchases are covered by fraud protection, just like regular payments.
We still don't know how far PayPal has developed its digital currency, though a PayPal Coin logo was found inside the app, as a result of a hackathon. For now, the name and actual details of the digital coin could be changed as PayPal moves forward with its cryptocurrency. We will have to wait and see what PayPal does with its PayPal Coin. PayPal has not said much about what more they are doing with PayPal Coin.