PayPal continues to lose ground to Bitcoin
PayPal payment platform has been losing ground to Bitcoin with the passage of time. Although cryptocurrency still does not have a significant market share against large domineering VISA and MasterCard, and Bitcoin would be longer a threat to PayPal.
The US company has revolutionized the financial technology sector with a payment option for safe, fast and much cheaper than traditional alternatives offered by internet banks. But the arrival of Bitcoin to the scene represents an enemy to the entire sector and all indications are that PayPal will be the first "victim".
PayPal in recent years has led many headlines which contains a curious feature: the abandonment of certain countries due to government regulations. Greece, Puerto Rico and recently Turkey, have been cool cases where the company has closed its doors leaving a perfect vacuum to be exploited by Bitcoin.
The disadvantages of regulations
Not being subject to government regulations, Bitcoin (not to be confused with the exchange) is exempt from government and banking restrictions that prevent its operation. Something that can not boast PayPal already has been harmed by the freezing of funds in Greece, the asphyxiating tax policies in Puerto Rico and the denial of licenses for infrastructure policies in Turkey.
Technological and economic decentralization of Bitcoin allows your infrastructure is built around node, mining equipment, computer or mobile phone where life takes cryptocurrency. Allowing users to relaxing about often absurd regulations that threaten the financial freedom of citizens.
PayPal took a major slice of the banking sector regarding online shopping, but still retains a resaltante default: works with fiat money. This feature enables them to be central and private banks who issued the main rules of the game of money flowing through alternative payment platforms that have emerged in the FinTech sector.
But the growth of Bitcoin has been surprising and new FinTech companies have already evolved in its proposals and are including the cryptocurrency in their services. Being the main PayPal payment platform of this sector do you join this trend?
The company was denying this possibility in the past and even in the media ever looked certain offensive position, but subsequently PayPal executives admitted their interest in integrating Bitcoin. With PayPal's recent moves in recent years, everything seems to indicate that will integrate cryptocurrency.
The slow road to integration
PayPal made some "flirtation" with Bitcoin publicly, however , the possibility of integration was mentioned in 2014 by CEO of eBay, as a way to "legitimize" the use of cryptocurrency on the web.
"We are integrating the integration of Bitcoin via PayPal, will exercise an important role in the future"- John Donahoe
However, it was not until the inclusion as an adviser to Wences Casares, CEO of Xapo portfolio, PayPal gave clear signs of wanting to work with Bitcoin and criptomonedas. Casares to add to the team of advisors of the board, the company and gave a first small step towards the integration of cryptocurrency payment on your platform.
"I join PayPal directors and all equipment PayPal Wences in welcoming our board. Line Wences unique vision of the future of trade is very well aligned with PayPal's vision of transforming the management and movement of money for people around the world "- Dan Schulman, President and CEO of PayPal
Although only they are running speculation about the role of the Argentine manager and objectives PayPal was not until last month when we saw much more clearly the intentions of the US company.
if you can not beat them join them
PayPal launched last month before the patent office of the United States an application to register a hardware device that not only make payments using fiat currencies, but also various cryptocurrency as Bitcoin, litecoin and dogecoin.
As mentioned document , it would be a physical device that various digital portfolios stay where users can lodge money in different currencies and even different cryptocurrency. A payment solution which undoubtedly points to place on the market a digital physical portfolio that meets the major currencies and cryptocurrency one.
The approval of the application would be a step by PayPal to more comprehensive solutions that meet the current market demands payments. But it would be a new great victory for Bitcoin and financial criptomonedas as disruptive technology that has arrived to revolutionize traditional banking services.
Integration with PayPal Bitcoin would allow stay in the market and possibly expand due to good legal time cryptocurrency lives worldwide. Whereupon it was a smart move by PayPal pate get on that train before it was too late.
Bitcoin another step toward global adoption
The popularity of PayPal worldwide would mean a big boost to Bitcoin as payment in shops. To materialize, it could perhaps be the strongest ever accolade awarded to the cryptocurrency created by Satoshi Nakamoto.
A massive platform payments like PayPal would be the perfect place to take the cryptocurrency into the hands of millions of consumers around the world almost instantly trampoline. Pushing in a way unimagined by many the scope of Bitcoin across the network.
Risks users to discover the advantages of Bitcoin above the same PayPal are latent, but the company certainly bet on what the traditional financial sector and many other companies in the FinTech promote: the "legal" use of money through their private payment platforms.
While it is not certain yet as integration, everything indicates that we are very close to see it. And this would be nothing more than the confirmation of something we have already been seeing in recent times: the great escalation of Bitcoin in the traditional banking sector and new financial technologies.
Source: Coin Telegraph
