Fresh Features: PayPal’s crypto trading

By Aisling Finn on Tuesday 28 September 2021

Savings and Investment

The fourth instalment of our deep dive into fun and quirky fintech app features you should probably know about.

Fresh Features: PayPal’s crypto trading
Image source: PayPal

 

Fintech and innovation go hand in hand. Fresh Features is our weekly rundown of the best weird and wonderful fintech app features you probably haven’t discovered yet.

A whole host of apps come across our desk each day, and this new weekly series is an opportunity for us to share our favourite app features that you should probably know about.

We'll be covering everything from digital banking apps and trading to savings and investment to show you the top innovative and downright quirky features that have caught our eye. 

Missed the last Fresh Feature? Check it out here.

Now for the fourth instalment of our new series…

Feature of the week: PayPal’s crypto trading 

Crypto has been around for over a decade, but it’s really begun to boom in the past few years. And with that boom comes more and more people jumping on the bandwagon. 

Now, fintechs and financial services alike are integrating cryptocurrency features into their apps to entice cryptocurrency fans to join. 

Payment platform giant PayPal is now seemingly joining in on the hype, launching its own crypto trading service.

Powered by crypto brokerage Paxos, PayPal’s users can buy, sell and hold four cryptocurrencies—Bitcoin, Ethereum, Bitcoin Cash and Litecoin—in its app.

Purchases up to £24.99 are subject to a 50p transaction fee, £25–£100 2.3 per cent fee, £100.01–£200 two per cent, £200.01–£1,000 carry a 1.8 per cent fee and purchases over £1,000.01 are charged 1.5 per cent.

The minimum purchase is just £1, but a customer will be charged half of that just as a transaction fee, making it more beneficial for customers to buy more. 

PayPal’s crypto trading service is not regulated by the Financial Conduct Authority (FCA), meaning that any money held is not covered by the Financial Services Compensation Scheme nor can customers officially complain to the Financial Ombudsman if something goes wrong.

The addition of crypto trading to PayPal’s app means the OG fintech is one step closer to becoming a ‘super app’.

While PayPal’s crypto offering is still in its infancy, the layout within the app itself is clear, easy to use, and there is a fair bit of useful information for prospective crypto buyers to read before they jump into trading.

One can imagine that on its quest to become a super app, that PayPal will join the likes of Revolut and eToro and add even more coins in the future.

Plus, a key advantage of PayPal over its rivals is that millions of people already have a PayPal account.

Seen a Fresh Feature out there that we should be writing about? Let us know editorial@altfi.com

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