PayPal Is Still Steadfastly ‘Blockchain over Bitcoin’ But Cryptocurrency Pressure Is Growing

John Rainey, chief financial officer and executive vice president of PayPal Holdings Inc. Photographer: David Paul Morris/Bloomberg

© 2018 Bloomberg Finance LP

Before much was known about cryptocurrencies, PayPal was the go-to for any digital transferring of cash. However, as the mainstream has woken to Bitcoin and its related cryptocurrency industry, the online payments giant has been forced to take note.

PayPal’s perception of Bitcoin, cryptocurrency in general, as well as the underlying blockchain technology, has been quite fluid and ever-changing. There have been suggestions from a co-founder of the company that Bitcoin is a scam, while there have also been recent predictions from a board member that Bitcoin could surge 250 times its current value.

The latest from PayPal, with regards to their stance on the entire ecosystem, is that they are still much more pro blockchain while still not being fully vested in the cryptocurrency side of things; this according to their CFO John Rainey.

A need for maturing

Speaking about the company’s future cryptocurrency plans in an interview with Yahoo Finance, Rainey said:

“We have teams clearly working on blockchain and cryptocurrency as well, and we want to take part in that in whatever form that takes in the future — I just think it’s a little early on right now [for Bitcoin],” Rainey said.

PayPal has dipped a toe into the Bitcoin market before, and perhaps their experience in that very new and raw market was enough to spook them. The firm previously allowed its merchants to accept Bitcoin as a form of payment, but subsequently saw the instability and volatility of the currency.

“If a merchant accepted that [Bitcoin] they would quickly convert it to a more stable currency like the euro or dollar,” Rainey added.

There are a few pieces of evidence to suggest that PayPal, today, is showing signs of interest in getting involved in both blockchain and Bitcoin – the…

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