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Title: Paxos will be holding your PayPal's Bitcoin Post by: bitmover on October 23, 2020, 11:53:29 AM Quote PayPal & Paxos Bring Crypto to Millions of Users https://www.paxos.com/paypal-paxos-bring-crypto-to-millions-of-users/?utm_medium=email&_hsmi=98015516&utm_content=98015516I am very excited to announce that Paxos is powering PayPal’s new service enabling its US users to buy, hold and sell cryptocurrency directly from their PayPal digital wallet. This news includes many firsts and has huge implications for the PayPal community, the crypto industry and, of course, Paxos. For the PayPal community, today is the first time its users can purchase crypto assets directly from PayPal. PayPal is introducing the ability for its users to buy, hold and sell Bitcoin, Ethereum, Bitcoin Cash and Litecoin. To start, PayPal is offering this service to its US customers, then plans to add more geographies and features over time. So, after all, PayPal Bitcoin service will just be an integration with an exchange. Your coins will be in Paxos. I didn't know about that. PayPal is taking some risks here, especially its reputation is on the line. Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Oshosondy on October 23, 2020, 12:14:44 PM Exchanges are susceptible to hack, Paxos even if not yet hacked before does not mean it can not be hacked. Even, I can not make use of PayPal why talking abkut using cryptocurrencies as a payment method, bitcoin and altcoin payment have been easy for me since I started knowing about crypto generally. If it is not my key, it is not my coin is the say. Exchanges can be hacked at any time, while Paxos is an exchange. I will advice people to have this at the back of their mind and never forgotten it, custodial services will only make your coins less safe.
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: OmegaStarScream on October 23, 2020, 12:18:53 PM So, after all, PayPal Bitcoin service will just be an integration with an exchange. Your coins will be in Paxos. I didn't know about that. PayPal is taking some risks here, especially its reputation is on the line. Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. The risk of getting hacked is always there unless they decide to give control over the private keys to their users. It doesn't matter if they're holding the funds themselves or using a third party service for that. Also: Your Crypto Assets are not insured or guaranteed by the FDIC, Securities Investor Protection Corporation (SIPC) or any other public or private insurer, including against cyber theft or theft by other means. If you read the quoted page, you will notice that the word "risk" is all over the place. So IMO, I don't think their reputation would be harmed if something bad happens. It's the user's responsibility to read the TOS and understand the risks and limitations. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: dansus021 on October 23, 2020, 12:22:26 PM Exchanges are susceptible to hack, Paxos even if not yet hacked before does not mean it can not be hacked. Even, I can not make use of PayPal why talking abkut using cryptocurrencies as a payment method, bitcoin and altcoin payment have been easy for me since I started knowing about crypto generally. If it is not my key, it is not my coin is the say. Exchanges can be hacked at any time, while Paxos is an exchange. I will advice people to have this at the back of their mind and never forgotten it, custodial services will only make your coins less safe. and another paypal news but i don't know if paypal backed by paxos ;D and yes no system is safe back in the days there a lot big exchanges got hacked and u still need cold wallet to save ur funds Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: bitmover on October 23, 2020, 12:45:44 PM Even, I can not make use of PayPal why talking abkut using cryptocurrencies as a payment method, bitcoin and altcoin payment have been easy for me since I started knowing about crypto generally. If it is not my key, it is not my coin is the say. Exchanges can be hacked at any time, while Paxos is an exchange. I will advice people to have this at the back of their mind and never forgotten it, custodial services will only make your coins less safe. I agree with you. But as I said in another post, there are still reasons to use Bitcoin with Paypal. Paypal is largely accepted (more than bitcoin). So, theoretically, bitcoin is now a payment method in every website that accepts paypal. If you read the quoted page, you will notice that the word "risk" is all over the place. So IMO, I don't think their reputation would be harmed if something bad happens. It's the user's responsibility to read the TOS and understand the risks and limitations. Who read TOS? ;D I believe mass adoption will inevitably lead to mass custodial services. As Hal Finney once said, it is possible that in the future most transaction will happen off chain, and mostly big players will be making blockchain transactions. Like in this case with PAxos/PayPal, most transactions will be happening only inside paxos system (merchants and customers using paxos via paypal), and no blockchain transactions. Paxos/PayPal may even be fractional reserve of bitcoins (making 2x more bitcoin than they really have). Bitcoin backed banks will solve these problems. They can work like banks did before nationalization of currency. Different banks can have different policies, some more aggressive, some more conservative. Some would be fractional reserve while others may be 100% Bitcoin backed. Interest rates may vary. Cash from some banks may trade at a discount to that from others. ... I believe this will be the ultimate fate of Bitcoin, to be the "high-powered money" that serves as a reserve currency for banks that issue their own digital cash. Most Bitcoin transactions will occur between banks, to settle net transfers. Bitcoin transactions by private individuals will be as rare as... well, as Bitcoin based purchases are today. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: witcher_sense on October 23, 2020, 12:50:10 PM Q: Why have they partnered with PayPal?
A: Paxos wants "a brighter and open financial future" for society. Quote Blockchain technology has forever changed financial markets and the way we conceive of monetary assets, but is still in its early days. As companies like PayPal enter the space, they need a performant and trustworthy partner. We are proud to power this historic development in financial technology as we move society toward a brighter and open financial future. https://www.paxos.com/paypal-paxos-bring-crypto-to-millions-of-users/?utm_medium=email&_hsmi=98015516&utm_content=98015516 Q: What does, according to Paxos, the brighter and open financial future mean? A: Quote “We believe stablecoins and adoption of a Central Bank Digital Currency are critical to our financial infrastructure and maintaining our nation’s leading economic position.” “We believe stablecoins can address the systemic issues that exist in the antiquated plumbing of our financial system.” “Stablecoins bring cost savings and speed to everyone – from the biggest financial institutions to the smallest consumers.” “We deliberately designed our stablecoins to maintain the privacy and open access of physical dollars, while decentralizing the ledger. Central Bank Digital Currencies could follow the same design.” “Supporting growth and innovation with a US CBDC would facilitate the necessary upgrades to our financial infrastructure, reduce systemic risk, increase inclusion for all Americans and reinforce our values and the long-term position of the US dollar.” https://www.paxos.com/paxos-ceo-co-founder-charles-cascarilla-testifies-to-senate-banking-committee/ There is no room for bitcoin in Paxos' future. Don't trust them with your bitcoin. Not your keys, not your coins. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Findingnemo on October 23, 2020, 01:05:44 PM Your Crypto Assets are not insured or guaranteed by the FDIC, Securities Investor Protection Corporation (SIPC) or any other public or private insurer, including against cyber theft or theft by other means. If you read the quoted page, you will notice that the word "risk" is all over the place. So IMO, I don't think their reputation would be harmed if something bad happens. It's the user's responsibility to read the TOS and understand the risks and limitations. Maybe not much people aware of this so its better to spread among this quote to the guys who are excited about Paypal allows crypto payments. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: stompix on October 23, 2020, 01:20:30 PM So, after all, PayPal Bitcoin service will just be an integration with an exchange. Your coins will be in Paxos. It's more like PayPal's exposure to your holdings will be backed by BTC held by Paxos, at least for now. If you read the quoted page, you will notice that the word "risk" is all over the place. So IMO, I don't think their reputation would be harmed if something bad happens. It's the user's responsibility to read the TOS and understand the risks and limitations. This fails into unfair ToS and means about zero in court, if a "cyber theft' or anything else happens and people are losing money. They are just telling you that the amount or its corresponding USD value is not insured, so there is no normal procedure to be reimbursed as in traditional banking with either the FDIC or DGS (deposit guarantee schemes as we have in the EU). That paragraph will not prevent a judge to find them guilty and force them to pay the lost sums if they are found guilty of negligence in a court, the only difference being that they might now have with what to pay up! Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: mk4 on October 23, 2020, 01:33:27 PM Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. Sure. Let's just not forget that to use bitcoin on the PayPal platform, we're not required to deposit every single bitcoin we have LOL(once this option is available in the future). Just like with custodial wallets, of course we'd only deposit "pocket" amounts; just enough money to pay with it once you want to buy something online. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: sunsilk on October 23, 2020, 01:45:39 PM I've missed this information about the recent news about bitcoin and PayPal's integration. But if every deposit of bitcoin will make automatic conversion to Paxos, why do we have to deposit on them? it makes no sense if someone trusts PayPal to hold their bitcoin then they'll just convert it to a stable coin.
Users who understands that concern like us means a lot and we would really take care of our funds. But to those that are riding the hype and doesn't know the risk that it has behind, they're innocently liking the situation. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: witcher_sense on October 23, 2020, 01:50:46 PM Sure. Let's just not forget that to use bitcoin on the PayPal platform, we're not required to deposit every single bitcoin we have LOL(once this option is available in the future). Just like with custodial wallets, of course we'd only deposit "pocket" amounts; just enough money to pay with it once you want to buy something online. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: mk4 on October 23, 2020, 02:07:14 PM What about direct bitcoin payments to buy something online? I see no point in involving additional fee collectors. Let's be realistic here. A lot, and when I say a lot, I mean A LOT of eCommerce websites accepts PayPal, but only a very very small minority accepts bitcoin directly. Sure, direct bitcoin payments is the way to go, but were obviously simply not there yet. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: GreatArkansas on October 23, 2020, 02:37:26 PM Now, with this latest trend on Bitcoin and more on positive news for Bitcoin and the whole cryptocurrency.
I am glad that there is/are involvement of other altcoins, unless this Paxos which I am glad they are just a stable coin, no pumps or dumps will happen with this stable coin, no one will take advantage of this news, like some "buy the rumors, sell the news" things. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: thirdkiller on October 23, 2020, 02:39:28 PM PayPal just started working with Paxos instead of something new? This is not the best news.
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: tsaroz on October 23, 2020, 02:49:12 PM This is a good news for both Paypal and Paxos. Increase in business without the conflict of interest. Could even be a good news for Paypal user depending on what commission both of these companies take. Even if it's on a higher side, people would cheerfully use it as it would bring convenience and security to buying of crypto. I was frightened of thinking how Paypal are going to handle crypto, but with Paxos, I believe it would be lot better.
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: kryptqnick on October 23, 2020, 03:11:11 PM Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. Sure. Let's just not forget that to use bitcoin on the PayPal platform, we're not required to deposit every single bitcoin we have LOL(once this option is available in the future). Just like with custodial wallets, of course we'd only deposit "pocket" amounts; just enough money to pay with it once you want to buy something online. I also wanted to bring up another issue that caught my eye. Namely, it's that Paxos is for US customers. I've looked into the article to find out more, and apparently this Bitcoin feature will first appear only to US citizens. Maybe it's just me, but I didn't realize that it's a US-only thing for the near future. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Artemis3 on October 23, 2020, 03:18:11 PM Not your keys, not your coins. Its as simple as that.
Don't buy with Paypal, because all you will get is some sort of promise that they are held by Paxos, now you have to trust two companies... Bitcoin is about not trusting anyone. Therefore, when you buy bitcoins, they either enter your own wallet or you might as well assume you have been scammed. Seriously stop thinking Paypal is "allowing the masses" access to bitcoin. Its actually the opposite, by doing this they are tainting Bitcoin's name. Bitcoin is not this, this is what the banks and other financial institutions do with fiat and assets all the time. You are not buying "gold", you buy some sort of paper that says you somehow own gold, but in the small letter it says you can't actually change it for gold (Just like the old US banknotes). These two could even collude doing fractional reserve practices. This is not good. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Ayiranorea on October 23, 2020, 04:04:46 PM This is how purse.io had its service offering for Amazon. It is a joint operation, and same as that is the Paypal's partnering with paxos. These services from Amazon might easily reach more users as paypal is a much established payment system available for cross border payment. A mistake from any one of the company will destroy the reputation of both the firms. In short security is a major issue with bitcoin, paypal needs to be more specific in handling its security system.
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: vapourminer on October 23, 2020, 04:20:58 PM Not your keys, not your coins. Its as simple as that. agreed Don't buy with Paypal, because all you will get is some sort of promise that they are held by Paxos, now you have to trust two companies... Bitcoin is about not trusting anyone. Therefore, when you buy bitcoins, they either enter your own wallet or you might as well assume you have been scammed. Seriously stop thinking Paypal is "allowing the masses" access to bitcoin. Its actually the opposite, by doing this they are tainting Bitcoin's name. Bitcoin is not this, this is what the banks and other financial institutions do with fiat and assets all the time. You are not buying "gold", you buy some sort of paper that says you somehow own gold, but in the small letter it says you can't actually change it for gold (Just like the old US banknotes). there will be enough people now exposed to it who will be curious about the real bitcoin. as of course they cant send or receive to a real wallet from paypal but they may not even want that at the start. it can wait.. and let them watch what it does. may take time but enough will get it and buy real coins and keep in their wallets. gotta start somewhere. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: hatshepsut93 on October 23, 2020, 08:04:04 PM I'm not surprised that PayPal doesn't even hold any Bitcoin, at this age everyone tries to outsource as much as possible, like in the past the website owners owned actual server machines, but nowadays you just buy a hosting service. And managing Bitcoin wallets is not an easy task, countless hacking incidents are a proof to that, so most of the traditional companies that will try to get into Bitcoin will be using custodial services.
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: taufik123 on October 23, 2020, 08:46:06 PM Let's be realistic here. A lot, and when I say a lot, I mean A LOT of eCommerce websites accepts PayPal, but only a very very small minority accepts bitcoin directly. clearly still not there and still a minority of payments, because it is constrained by regulatory issues and risks that bitcoin has. Paypal is big because many platforms use paypal as the best way of payment, but when PayPal adopts crypto, maybe it will slightly change the way of making payments on paypal.Sure, direct bitcoin payments is the way to go, but were obviously simply not there yet. Payments using crypto can be made in paypal and then will be converted back to FIAT, so the service provider will not accept crypto directly, but the results of the Crypto to Fiat conversion. https://i.postimg.cc/bNrwGR5g/Screenshot-30.jpg Users are not allowed to send their crypto or make transfers between accounts or outside paypal, they will remain in your account until you sell them. https://i.postimg.cc/hPYPVdWB/Screenshot-31.jpg Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: verita1 on October 23, 2020, 09:27:44 PM Looking at it from the bright side.
Paxos Crypto Brokerage will offer PayPal users the in-app crypto service where the user experience will be easy and intuitive. It is the key for users with no prior knowledge of crypto to quickly learn how to manage their funds. PayPal users can use the following trading pairs in their crypto wallet: BTC/USD, ETH/USD, BCH/USD, LTC/USD and PAXG/USD I just wish that Paxos Crypto Brokerage technology additionally provides maximum security to its users. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: DooMAD on October 23, 2020, 10:59:19 PM PayPal is taking some risks here, especially its reputation is on the line. Exchanges can be hacked. If they held the coins themselves, PayPal could be hacked. It makes sense from a business perspective to have a "fall guy" to blame and distance yourself from if it all goes tits-up. They know exactly what they're doing. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: CarnagexD on October 23, 2020, 11:58:25 PM Quote PayPal & Paxos Bring Crypto to Millions of Users https://www.paxos.com/paypal-paxos-bring-crypto-to-millions-of-users/?utm_medium=email&_hsmi=98015516&utm_content=98015516I am very excited to announce that Paxos is powering PayPal’s new service enabling its US users to buy, hold and sell cryptocurrency directly from their PayPal digital wallet. This news includes many firsts and has huge implications for the PayPal community, the crypto industry and, of course, Paxos. For the PayPal community, today is the first time its users can purchase crypto assets directly from PayPal. PayPal is introducing the ability for its users to buy, hold and sell Bitcoin, Ethereum, Bitcoin Cash and Litecoin. To start, PayPal is offering this service to its US customers, then plans to add more geographies and features over time. So, after all, PayPal Bitcoin service will just be an integration with an exchange. Your coins will be in Paxos. I didn't know about that. PayPal is taking some risks here, especially its reputation is on the line. Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: error08 on October 24, 2020, 12:42:26 AM ............ There is no room for bitcoin in Paxos' future. Don't trust them with your bitcoin. Not your keys, not your coins. First, the service is not for everyone, it's limited to people resident in the US. Second, bitcoiners or people who have learned about basic things of bitcoin acknowledge the risk of store their coins with a third party. Because both Paypal and Paxos shared the same vision about profits in cryptocurrency, so here they are offering 'buy and sell cryptocurrency' option for people who want to, there is no compulsion in it. If PayPal will enable users to transact using cryptocurrency to merchants, it will be even better for the adoption due to PayPal has 346 million active users. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: tbct_mt2 on October 24, 2020, 02:26:02 AM So, after all, PayPal Bitcoin service will just be an integration with an exchange. Your coins will be in Paxos. I don't think using any custodial wallet is good decision and with PayPal, people double their risks by use third-party services two times. PayPal has chargeback and your bitcoin will not be directly sent to your wallet address (in custodial or non-custodial wallet, it depends which wallet type you use).I didn't know about that. PayPal is taking some risks here, especially its reputation is on the line. Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. Charge back on PayPal: risky. Paxos: another type of risky temp storage on exchange. People don't have full control on their bitcoin with PayPal and Paxos. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: TGD on October 24, 2020, 02:33:33 AM So, after all, PayPal Bitcoin service will just be an integration with an exchange. Your coins will be in Paxos. I don't think using any custodial wallet is good decision and with PayPal, people double their risks by use third-party services two times. PayPal has chargeback and your bitcoin will not be directly sent to your wallet address (in custodial or non-custodial wallet, it depends which wallet type you use).I didn't know about that. PayPal is taking some risks here, especially its reputation is on the line. Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. Charge back on PayPal: risky. Paxos: another type of risky temp storage on exchange. People don't have full control on their bitcoin with PayPal and Paxos. Most of the user of PayPal is a beginner or not well educated on BTC so it's better to used a custodial because it's simple to used compared to non-custodial wallet that complex to used and might give a high risk if user don't know how to keep safe there keys. This discussion for the used of custodial and non-custodial wallet has been discussed several times here in the forum. There will be no right or wrong answer here because we have different standards. Newbie will realize later the importance of non-custodial wallet once they are already educated on crypto but for starter. Let them buy crypto and hold on the wallet that makes them comfortable. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Sword555 on October 24, 2020, 06:19:37 AM Only newbies will use paypal. I hope that people will soon understand that paypal may be your entry point to crypto but its much better to store your crypto outside paypal. There are a lot of non-custody soltuions like ownr wallet or coinomi or *name your wallet* that much better storage
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Yogee on October 24, 2020, 07:21:24 AM This is how purse.io had its service offering for Amazon. It is a joint operation, and same as that is the Paypal's partnering with paxos. Is it? You buy Amazon gift cards using BTC in Purse.io but can you trade these cards like you trade BTC on Paypal or Paxos?........ Many people want merchants and other platforms to integrate BTC payments. Paypal partners with Paxos to allow BTC but some people still don't want it. The dilemma for mass adoption. It's hard to strike a balance when a decentralized currency meets with a centralized platform. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Karartma1 on October 24, 2020, 07:28:06 AM PayPal is starting its adventure in the bitcoin world with Paxos yet they are already exploring how to infiltrate the market. Have you read the following news? PayPal's move was not simple marketing buzz
https://markets.businessinsider.com/currencies/news/paypal-explores-crypto-takeovers-including-goldman-backed-bitgo-bloomberg-2020-10-1029713851 Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: The Cryptovator on October 24, 2020, 09:32:22 AM I am assuming PayPal doesn't want to hold bitcoin due to volatility and that's the reason why store into the exchange. Storing bitcoin on a custodial wallet is always risky either it's on PayPal. Who knows if they implement their own custodial or noncustodial wallet for their users. Buying bitcoin on PayPal or via visa/master card and use it on the merchant isn't worth much, at the same time holding BTC on PayPal isn't worthy as well. Rather than better bitcoin hold on the noncustodial wallet. It would be a good move if they allow their user to make deposit and withdrawal, so we can use it on the merchant. Anyway, something is better than nothing, let them do what they want, at least their thought about bitcoin is positive. Because PayPal is the most trusted centralized virtual currency.
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: taufik123 on October 24, 2020, 05:51:57 PM -snip- It would be a good move if they allow their user to make deposit and withdrawal, so we can use it on the merchant. Anyway, something is better than nothing, let them do what they want, at least their thought about bitcoin is positive. Because PayPal is the most trusted centralized virtual currency. For now and according to the information released by paypal deposits and withdrawals will use US dollars and crypto is only traded within paypal. The weekly purchase limit is around $ 10 000 and the limit per 12 month period is around $ 50,000.Paypal refuses and is reluctant to hand over the customer's key because this is a paypal tactic to limit and prevent losses. If the key is given to the customer and the key is lost, no one can withdraw the crypto. At least this is the first step towards PayPal adopting bitcoin and implementing its payment system. Maybe when it develops there will be other regulatory changes. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Leviathan.007 on October 24, 2020, 07:10:19 PM Doesn't really matter if paypal crypto is backed by paxos. Even paxos can't really current the safety of your cryptocurrency investments because you are not really holding the private key to your assets. So, there will be always a chance for your account to be hacked. the rule not your keys not your coin exists everywhere, even on paypal. But generally, since paypal is used more than bitcoin, this can be a great positive step forward. This can the even the reason for bitcoin price to break the 13K area.
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: hatshepsut93 on October 24, 2020, 10:06:47 PM I am assuming PayPal doesn't want to hold bitcoin due to volatility and that's the reason why store into the exchange. Why should volatility be a problem to them? PayPal is not investing in Bitcoin, they let their users do it. They don't really care if Bitcoin goes to $100,000 or $1,000 as long as enough people buy and sell it to generate fees, which is the whole point of adopting Bitcoin for PayPal. If they held the coins themselves, PayPal could be hacked. It makes sense from a business perspective to have a "fall guy" to blame and distance yourself from if it all goes tits-up. They know exactly what they're doing. It also could be cheaper and faster to make a deal with custodial service instead of building the wallet infrastructure from scratch. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: error08 on October 24, 2020, 10:32:57 PM -snip- It would be a good move if they allow their user to make deposit and withdrawal, so we can use it on the merchant. Anyway, something is better than nothing, let them do what they want, at least their thought about bitcoin is positive. Because PayPal is the most trusted centralized virtual currency. Paypal refuses and is reluctant to hand over the customer's key because this is a paypal tactic to limit and prevent losses. If the key is given to the customer and the key is lost, no one can withdraw the crypto.PayPal states that "Currently, you can only hold, buy or sell cryptocurrency on the platform". it still in the early phase of development, 'Currently' doesn't mean forever, as an early stage it is okay, people aware of this. But who knows if they will enable users to buy something from merchants using cryptocurrency someday in 2021 although it should be converted to USD value first. Not only PayPal or Paxos that don't provide private keys to users, but exchanges also do the same, it is not the perfect place to store your coins, just for trade. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Shasha80 on October 24, 2020, 11:23:34 PM I'm sure those who buy Bitcoin on Paypal are mostly newbies who don't understand Bitcoin. If those who already understand Bitcoin
will not buy Bitcoin on Paypal, because we can only make transactions on the Paypal platform. Moreover, holding Bitcoin on Paypal has risks too, because we don't have a private key. That way we have no control over the Bitcoin we have. But this could be the starting to make Bitcoin a means of payment for all merchants. In the meantime we have to be patient with Paypal rules, because in the future there is a possibility that the rules may change. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: bitcampaign on October 25, 2020, 02:05:56 AM talking about the hacking that happened, I think they must have taken into account the security problems of the users, so I don't think it's too much to respond to problems like this, of course no one wants to be hacked, I think they will solve this problem too, especially paypal also wants to keep the name good company
Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: so98nn on October 25, 2020, 04:21:03 AM Quote PayPal & Paxos Bring Crypto to Millions of Users https://www.paxos.com/paypal-paxos-bring-crypto-to-millions-of-users/?utm_medium=email&_hsmi=98015516&utm_content=98015516[…] So, after all, PayPal Bitcoin service will just be an integration with an exchange. Your coins will be in Paxos. I didn't know about that. PayPal is taking some risks here, especially its reputation is on the line. It would be integration but with hard coding. Let’s not mis-judge Mr. Elon in this regards. All the risk factors might have been already thought by this guy. He is futuristic guy so we can count on the security for sure. Exchanges can be hacked. Exchanges are sometimes shady. I don`t trust any of them my bitcoins, and now I see that I wouldn't trust PayPal as well. So, holding bitcoin in PayPal you are literally holding in Paxos. PayPal will never compromise their traditional version just because if their new bitcoin integration upgrade. It’s not about exchanger here, it’s about how PayPal will handle it. I don’t see any issues with PayPal platform. Honestly this integration could also increase share market for PayPal, more users, more investors and thus adding burden of “Data Integrity”. It would be surely far secure than exchanges like binance, huobi, and what not. Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Daltonik on May 18, 2021, 12:31:54 PM Bank of America has joined the Paxos Settlement Service, a blockchain platform for securities settlements, which will allow Bank of America to complete transactions on the same day, although the standard process for the US stock market takes two days. https://www.bloomberg.com/news/articles/2021-05-17/bank-of-america-joins-paxos-blockchain-stock-settlement-network?sref=AACmJ2tc
https://i.ibb.co/ykK2gfQ/2021-05-18-173001.jpg (https://www.bloomberg.com/news/articles/2021-05-17/bank-of-america-joins-paxos-blockchain-stock-settlement-network?sref=AACmJ2tc) Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: Daltonik on July 22, 2021, 12:22:11 PM The company's legal adviser, Dan Burstein, disclosed information about the provision of PAX and BUSD stablecoins, which, according to him, are fully secured with cash and their equivalents, as well as securities of the US Treasury. https://www.paxos.com/a-regulated-stablecoin-means-having-a-regulator/
https://i.ibb.co/bFNTSTS/2021-07-22-172010.jpg (https://twitter.com/PaxosGlobal/status/1417881597479641088) Title: Re: Paxos will be holding your PayPal's Bitcoin Post by: DooMAD on July 22, 2021, 07:45:24 PM Why don't you trust anyone? Have scammers already stolen your crypto? The whole idea is that it shouldn't require trust. Bitcoin actually works better if you don't trust others to look after your funds for you. The moment you introduce an intermediary, you effectively surrender almost all of the security benefits the protocol has to offer. |
