PayPal fears Bitcoin :) PayPal CEO Dan Schulman Disses BTC & Praises Blockchain

[peonminer]

This is really interesting. PayPal CEO Dan Schulman disses BTCitcoin for price fluctuation and claims it can't be used as a currency for businesses due to the fact of needing to be converted to fiat after the sale (which takes a fee to convert, thus losing your margin). He also argues that the extreme price fluctuations of 10%+/- can be a hindrance for businesses to accept BTC.

Here's the article

https://www.ccn.com/bitcoin-could-disrupt-paypal-visa-analyst

Here's the interview

https://youtu.be/Z4gah7TROuM


He obviously doesn't realize there is an ever growing list of large name companies that accept BTC as payment!

https://99bitcoins.com/who-accepts-bitcoins-payment-companies-stores-take-bitcoins/

What do you think?

[mrdeposit]

This is really interesting. PayPal CEO Dan Schulman disses BTCitcoin for price fluctuation and claims it can't be used as a currency for businesses due to the fact of needing to be converted to fiat after the sale (which takes a fee to convert, thus losing your margin). He also argues that the extreme price fluctuations of 10%+/- can be a hindrance for businesses to accept BTC.

Here's the article

https://www.ccn.com/bitcoin-could-disrupt-paypal-visa-analyst

Here's the interview

https://youtu.be/Z4gah7TROuM


He obviously doesn't realize there is an ever growing list of large name companies that accept BTC as payment!

https://99bitcoins.com/who-accepts-bitcoins-payment-companies-stores-take-bitcoins/

What do you think?

The main disadvantage of bitcoin is volatility that is why big companies refuse to implement cryptocurrencies to their payment gateway. IMO  5 years later we can discuss this idea about stabilizing the price of volatile cryptocurrencies.

[MakeMoneyBtc]

I doubt he actually fears Bitcoin since he came with these arguments on why bitcoin is not a good currency to be used by businesses. They know bitcoin will be something big in the future but I'm sure they trust their services and have a large base of clients and contractors to sustain their lives until bitcoin is going to take control over payments system.

[pooya87]

every time i hear another FUD story by some big company, or bank,... i become more confident in bitcoin  because that only proves that bitcoin has been growing strongly to the point that it has successfully struck fear in the hearts of those that it can easily replace. and PayPal with all its flaws and the fraud that it enables is going to be the first thing that bitcoin is already replacing so it is understandable for their CEO to be afraid like this.

[pushups44]

There is truth in the claim of price volatility scaring away certain merchants, but I believe as the industry matures mechanisms will be in place for quick conversion to fiat so that merchants are not hit with the risks. Also, given that this criticism is coming from a centralized entity with a reputation of high fees, we should be skeptical of these comments.

[Jating]

Lol, his predecessor (Bill Harris) is worst though,

https://www.cnbc.com/2018/04/26/fmr-paypal-ceo-says-investors-are-drinking-the-bitcoin-kool-aid.html

https://www.newsbtc.com/2018/08/15/is-bitcoin-a-cult-a-former-paypal-ceo-seems-to-think-so/

https://www.investopedia.com/news/former-paypal-ceo-calls-bitcoin-scam/

So I'm not surprised by Dan's statement because they know that bitcoin is out there taking a big slice on their profit earnings that's why they continue to attack it in the media.

[Pursuer]

There is truth in the claim of price volatility scaring away certain merchants, but I believe as the industry matures mechanisms will be in place for quick conversion to fiat so that merchants are not hit with the risks. Also, given that this criticism is coming from a centralized entity with a reputation of high fees, we should be skeptical of these comments.

there is no truth to that actually.
you can easily verify this by looking at the growth of the number of merchants that have started accepting bitcoin over the past years and also the total amount of bitcoin that has changed hand among merchants and customers during that time. you can clearly see that there has been a big growth in both which shows that it is not "scaring anybody away" it is just happening slowly because bitcoin adoption is happening slowly.

[mk4]

I mean, what do you expect from a competitor? They have the financial incentive to trash on their competitors regardless if it's a direct competitor or not. It's the same as Peter Schiff trashing on bitcoin because he has a gold selling business.

About the price fluctuations, well, bitcoin is a 10 year old asset. Of course it's going to be volatile. It doesn't take a genius to understand that.

[Kakmakr]

Dan old man, you are obviously missing the whole point of Bitcoin and how it will evolve into a true currency in the future. Bitcoin started out with only a few people buying loads of coins and this led to a situation where you have a uneven distribution of coins. <Whales with the power to manipulate the price>

As Bitcoin matures and gets distributed more evenly, the volatility issue will resolve it self. Once Bitcoin adoption grow enough, people will not have to convert to fiat currencies, because they can pay directly with bitcoins at merchants. 

[happy5571]

Currently, the smallest unit of bitcoin is Satoshi based on bitcoin currency recorded on the blockchain. Satoshi is one hundred millionth of a single bitcoin (0.00000001 BTC). so applying the smallest unit to measure it rear can't feel the change of price for 1 Satoshi as if the fluctuation in BTC price.
The transfer fee also can be very low. one Chinese person tries successfully one experiment only paying 1 Satoshi to transfer bitcoin.
I believe that Bitcoin, as current fiat currency, will become a popular currency with high liquidity in the future.

[davis196]

He is kinda right about the price fluctuation,but this is something that can be solved.
The btc price patterns will become more and more stable and  the bullish/bearish trends will last longer,just like the recent bearish trend.He is right about the fiat conversion,though.

[killat]

It is normal that PayPal and Banks not to be big fans of crypto, as sooner or later they will be bypassed when crypto adoption rate will be sufficiently high.

Till then, expect a lot of FUD from their side 😊

[Bitcoindigger02]

No wonder XAPO can make so much money. The founder himself is a big man.

[marcbitcoins]

Sounds JP Morgan to me that after his series of criticizing Bitcoin investment before because in fear of losing his banking businesses but what comes next was he become one of the known supporter of Bitcoin until today. There is no reason for him to fear Bitcoin as still we can use PAYPAL after converting our Bitcoin assets to fiat.

[eternalgloom]

Well of course he's going to publicly denounce Bitcoin, I mean Bitcoin has just surpassed Paypal in terms of yearly transaction volume.
Source: https://www.newsbtc.com/2019/02/26/bitcoin-surpasses-paypal-in-yearly-transaction-volume-at-1-3-trillion/

Then there's this, an ex Paypal COO has had some very positive things to say about Bitcoin recently.
Also participating in the Lightning Torch Bitcoin transaction relay.

If I were Paypal's CEO, I'd be worried too.

Source: https://cointelegraph.com/news/ex-paypal-coo-hails-bitcoin-acceleration-as-he-joins-lightning-torch-relay

[therhslv]

Last year i needed to use paypal and like 3-4 years ago i did some purchase for 20 Euros with paypal . So the story is , i sold item for 300 euros and got payment in paypal . Did try to withdraw to my bank account , got no sucess . It did show failed . Did contact customer support on e-mail , got response next day with counter question lol . Then i decided to call customer services . Did speak with them for like 10 min to explain me why i can't withdraw , they told something about suspicious acitivity on my account and to wait for few hours . Next day nothing happens . So after 4-5 or even more days my withdraw went tru . After this situation i no longer try to use paypal , atleast trying to avoid it . Maybe the problem was because of my paypal innactivity for few years , not sure , but 4-5 days to withdraw my money and then 1-3 working days to wait for it to reach my bank account is sad....

[drumamat]

He is not afraid of anything and just tells it like it is.At the moment, no serious business really wants to use Bitcoin as a payment due to its volatility.I would not be surprised if in time the Paypal payment system itself starts using cryptocurrency as an additional service. Time will tell.

[jseverson]

He's...not wrong. Rapid fluctuations are a pain. It's often said that volatility must be addressed for Bitcoin to mature. Some might deny this, but if they're the same people who don't want to spend coins because they're waiting for the price to go up, then they probably have to take a good look at themselves lol.

Bitcoin is in some ways unsuitable as a currency now, but I believe it won't be long until these competitors start shaking in their boots. They can talk trash in the meantime.

[Kemarit]

Of course, they're going to attack Bitcoin here, it's competitor for them. You just have to look at 2017 at how Paypal, Visa and Mastercard put a lot of spin on Bitcoin's disruptive effect in the financials of any country so I'm not surprised by this statement coming from Dan himself. They're been threaten ever since people uses Bitcoin as money or mode of payment and I'm sure it put a big dent on their quarterly earnings. So they need a continuous media tirade against the whole crypto so that they can stay on their private payment systems. Let them do the talking, people in time will eventually chooses cryptos.

[Reid]

It is a competition.
Let us thank him though for mentioning bitcoin in all of his  interview. Yes, make it known by others in  their own mouth.

Take down what is going to get large someday while it is early. It is a good strategy but will never work.
Let us wait for a new crypto currency being released someday.
PPC = PayPal Coin.