PayPal is a giant financial transactions platform. In fact, this platform is using mostly to pay for buying goods and services. As most of the companies entered the crypto market, more businesses began to accept Bitcoin as a payment option. Therefore, PayPal was not an exception as well. PayPal also enabled users to purchase Bitcoin on its platform. As a result, PayPal stock value increased 17% since added bitcoin purchases.
PayPal stock shows high performance
It was on Nov. 12 that PayPal added crypto trading on its platform for U.S. customers. Since then, PayPal’s stock could reach its high on Monday. In fact, PayPal could have a better performance in compared to U.S. stock market and Nasdaq in this period.
Statistics show that Nasdaq could gain 6.5% since Nov. 12. In addition, the broad S&P 500 Index large-cap stocks is more than 3.5% during this same period.
However, adding crypto to the PayPal platform was not the only catalysts, which boosted its stock value. In fact, PayPal could benefit from the mass adoption of crypto assets. It means that surging Bitcoin price could have a positive impact on its prospect.
On other hand, PayPal also may affect the BTC price. The recent statistics show that PayPal has collected over 70% of the newly mined Bitcoins at the beginning of launching its platform in the U.S.
Cryptos are popular in the U.S.
The collected data estimates that 6.2% of U.S. citizens above the age of 18 own Bitcoin. In addition, around 7.3% are also planning to buy Bitcoin for their first time. This survey conducted in 2019 by participation of around 5000 people.
In conclusion, the increase in mass adoption of cryptocurrencies may impact PayPal business positively. The reason is that more people will attract to use this platform to buy cryptos due to its simplicity and user-friendly interface. PayPal is a well-known platform and the majority of Americans know how to use this platform for many years.
PayPal stock value increased 17% ; An example of a similar success story
Cash App could be an example, which has a similar experience. The revenue for Square’s Cash App surged significantly since enabled Bitcoin purchases. Around 80% of Cash App’s third-quarter revenue collected from transaction fees charged by Bitcoin buyers.