This announcement by PayPal provides answers to bankers that wonder if offering custodial services increases deposits. PayPal has increased fivefold the number of cryptocurrencies that can be purchased daily to $100,000 and dropped its annual limit of $50,000. It is unlikely PayPal did this without recognizing the demand exists:
“PayPal’s users can now buy $100,000 worth of bitcoin and other digital assets per week, up from a previous limit of $20,000. The company is also scraped its annual purchase limit of $50,000.
“These changes will enable our customers to have more choice and flexibility in purchasing cryptocurrency on our platform,” Jose Fernandez da Ponte, PayPal’s vice president and of blockchain, crypto and digital currencies said in a statement Thursday.”
Overview by Tim Sloane, VP, Payments Innovation at Mercator Advisory Group
