Mainstream interest for cryptocurrency is becoming ever-apparent as major online payment systems such as PayPal begin to offer support for digital currencies. While a revolutionary step for both the crypto and traditional finance spaces, meeting regulatory requirements is crucial in order for such companies to support cryptocurrencies.
This year, PayPal secured the first conditional cryptocurrency license from the New York State Department of Financial Services, allowing for the purchase of Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH) and Litecoin (LTC).
On the surface, it would appear that PayPal has undergone the basic requirements to support digital currencies. However, what’s really notable is that to ensure delivery of its cryptocurrency service, PayPal, a company with a market capitalization valued at over $127.58 billion as of December 2019, chose to partner with Paxos, a regulated financial institution specializing in digital assets.
Bob Reid, CEO and co-founder of Everest, a fintech company providing regulatory compliance for financial institutions, told Cointelegraph that it’s