The CEO of PayPal, Dan Schulman, has revealed that he owns cryptocurrency, and specifically only Bitcoin (BTC).
This may seem like an ironic twist, at least in the eyes of untold numbers of individuals and companies that have had problems with PayPal when trying to run crypto oriented businesses. PayPal has banned and frozen numerous accounts related to cryptocurrency activity, often without giving any reason since cryptocurrency is not prohibited in PayPal’s terms of service.
Aside from that, PayPal has created a scammer’s paradise where people who buy cryptocurrency via PayPal can easily reverse a transaction by claiming identity fraud, since cryptocurrency is a digitally delivered good and therefore has no merchant protection.
Despite PayPal’s troubled history with cryptocurrency, Schulman recognizes the potential of Bitcoin (BTC) to be important in countries with weak fiat currencies, saying “you can think of use cases in different countries and different places where it can be more stable than the alternatives”.
Simultaneously, Schulman states that Bitcoin (BTC) is too volatile right now to become widely accepted by merchants, and that it cannot be really considered a currency until it becomes widely accepted by merchants on the web rather than the dark web. Due to that, Schulman believes that Bitcoin (BTC) is more like a commodity than a currency.
It is accurate to say that Bitcoin (BTC) is mostly used as a commodity, since it seems speculators and investors dominate the crypto space. However, there is no doubt that Bitcoin (BTC) is a perfectly functioning currency as well, with instant, secure, and low fee transactions that can be sent and received worldwide.
Ultimately, the most interesting thing about the PayPal CEO owning Bitcoin (BTC) is that Bitcoin (BTC) beats PayPal as an online payment method. Merchants who accept Bitcoin (BTC) never have to worry about chargebacks, reversals, or their accounts being frozen, while PayPal has all of these problems which causes tremendous stress for merchants.