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[Symmetrick]

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[Charles-Tim]

What we people have known very well and have noticed is that many organizations are trying to make bitcoin and cryptocurrencies in general to be centralized, they are working towards centralization which is failing people but those centralized bodies and governments will not accept the fact. And many people do not know about this, all they like is to do kyc and follow the rules and regulations of these centralized bodies, but the centralized bodies are indirectly making them to be more vulnerable to cyber attacks, making them not safe and secure, and also not letting them realized what the initial purpose of money is which bitcoin has started to create. There is nothing we can do than to only be educating these people how custodial means of keeping bitcoin and other cryptocurrencies is very dangerous.

1. Not your key not your coin
We should know that if we do not have the private keys to our bitcoin, that means we are not just the owner on blockchain. This also applies to all cryptocurrencies. It will be the third party that will be controlling it for us.

2. High transaction fees in custodial wallets and exchanges
One of the issues we are still facing is the scalability issue, but there are ways we bitcoin users are still going about it. On my noncustodial wallets like electrum, I can still make transactions with a very small fee, I can adjust the fee the way I want and still even reduce it and make it flexible for me by making use of bitcoin network condition (congested or not congested) to regulate the fee and make a low fee transaction, unlike on custodial parties, their fee is very high. The reason is that, on noncustodial wallet, I only pay fee to miners during transactions, but on custodial, the fee are paid to the custodial providers, while out of 100% of the fee, the custodial providers only pay 30% or less to miners.

3. Issue of scam
Customer data can breach and known to hackers on custodial wallets and exchanges, it can even happen in a way the custodial party will not know such has happened until the hackers demand for ransom to remove ransomware on their database. This can also lead to a means by which the hackers will know vital information through the kyc leak about the customers and leading to stealing of bitcoin or other cryptocurrencies from the customer as a result of hack directly on the customers device.

So, I will not advise anyone to use custodial services, they are extremely dangerous, and also, they are highly vulnerable by design, that is why custodial wallets and exchanges are often hacked.

[Lorence.xD]

This adds a reasons for why I am still a little skeptical towards the news. Funny how they mask the news that they support bitcoin by integrating it in their system when they are the one in control.This is alarming because the adoption is progressing slowly and people who are Post-Paypal integration will think that what they are doing is normal and we all know what happens when masses are conditioned to this information, few knowledgeable people will not be enough to voice out the concern that the system integration is defeating the true purpose. It will be unpleasant but I believe there will be another divide within this ever expanding community.

[Ayiranorea]

PayPal into cryptocurrency is pure business and it isn't gonna support the adoption of bitcoin in the global market. More companies made huge investment on bitcoin considering it a reserve that won't drop in value in the short term. Square making an investment is a big step forward, because they serve to be a competent for PayPal. Knowing the need and to stay strong in the global market it is must to go with the development happening with time. As a result I see the PayPal's decision of getting into bitcoin.

[DeathAngel]

We’re all veteran bitcoin users, whilst PP’s bitcoin integration isn’t perfect (far from it) it provides a platform for average Joe who isn’t tech savvy to buy bitcoin. It will help with mainstream adoption, as time passes I believe they’ll change their minds & allow private key retention for the user. Let’s just ride the wave for now & enjoy the price increase.

[cryptoaddictchie]

The news is really hype over mass community. But for true bitcoiners who understand the putpose of crypto in terms lile security means this one is totally going far from what satoshi wants. Yes he indeed mentioned that he created bitcoinfor peer to peer but with the third party it becomes still the same on a traditional aspect making it more centralized. Yes Im happy bitcoin is flying now but of course the idea of bitcoin is being overhyped with different companies and soon it will be a centralized market or form of digital payment where anyone can inflict such provision.

[acquafredda]

PayPal is simply doing business with Bitcoin. They got a huge marketing boost (for free) simply mentioning the word bitcoin and now they will offer a Revolut/eToro style bitcoin to nocoiners mostly. I see it as simply as that and by no means I would use it to buy/use bitcoin 

[semobo]

Paypal doesn't allow the user to send or receive cryptos, only they allows them to buy or sell cryptos, am I correct?

Use of any centralized service always comes with risk and they clearly stated that you will not be provided with private keys so it just making the people to go towards centralized crypto adoption.

[Wexnident]

Paypal doesn't allow the user to send or receive cryptos, only they allows them to buy or sell cryptos, am I correct?

Use of any centralized service always comes with risk and they clearly stated that you will not be provided with private keys so it just making the people to go towards centralized crypto adoption.

Yes, from what I understood. The option of buying with Bitcoin through PayPal is actually just Paypal converting said Bitcoin to fiat before first sending it to the partnered merchants. Their concept of crypto right now is basically something like you bought something, but you don't have it. Tbh, this just ended up in being hyped up too much, especially since their way of providing the system of being able to buy Crypto is flawed in itself.

I just hope their so-called education about crypto and what not provides how their service of buying and selling crypto is unlike what it supposed to really be, though that's very unlikely, I can still hope for it right?

[witcher_sense]

We’re all veteran bitcoin users, whilst PP’s bitcoin integration isn’t perfect (far from it) it provides a platform for average Joe who isn’t tech savvy to buy bitcoin. It will help with mainstream adoption, as time passes I believe they’ll change their minds & allow private key retention for the user. Let’s just ride the wave for now & enjoy the price increase.

The price of bitcoin has increased because most of the people involved in the cryptocurrency space are still prone to believe that every "good" news that another potential rival of bitcoin started integrating and accepting it is somehow positive for its adoption. It is a fallacy. It may be that such companies and services like PayPal help to spread awareness about the existence of bitcoin, but they are indeed harmful for its adoption. Being an ideological opponent of bitcoin, PayPal distorts the ideas of bitcoin and is trying to show its users and everyone else that bitcoin can be controlled by centralized organizations.

My opinion has not changed since the first rumors about PayPal and bitcoin:

If PayPal to add cryptocurrencies, it will be another way to control your purchases, transactions, surveill on your habits, etc. It doesnt increase the level of adoption in places where people have no access to banks. It won't help them to buy bitcoin and transact at any time they want. Governments will have an ability to prevent your from using bitcoin through PayPal that discrediting the whole network by creating an illusion that bitcoin is censorable. As a result, 325 millions will have misconception of how to use bitcoin network properly. Adoption of illusions, misconceptions and underestimations, not adoption of cryptocurrencies.

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The positive effect is people will be use bitcoin almost everywhere where PayPal accepted
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That's exactly the delusion I was talking about. There is a small distinction between Bitcoin and, let's name it, "PayPal-coin". The first is the real one invented by Satoshi Nakamoto and is being run on a blockchain, which is, as we all know, decentralized, neutral, open, censorship-resistant, borderless, immutable, disintermediated, etc. We are using it because it has all of properties mentioned above and we also didn't ask for permission to access it. The second is fake bitcoin, it just pretends to be real bitcoin, because it doesn't have qualities natural for bitcoin. PayPal-coin is centralized, biased, closed, censorship-friendly, jurisdiction-based, mutable, intermediated and so on. People, who are not familiar with real bitcoin, may get a misconception about what bitcoin is and why it is valuable. They will never use bitcoin through PayPal, they will use PayPal-coin or rather PayPal-coin will use and control them.

[Bitstar_coin]

Paypal doesn't allow the user to send or receive cryptos, only they allows them to buy or sell cryptos, am I correct?

Use of any centralized service always comes with risk and they clearly stated that you will not be provided with private keys so it just making the people to go towards centralized crypto adoption.

That is a very absurd way to try provide service to the people, how do they claim to support the trade of btc in their platform yet they take the ability of people to be able to withdraw away from them!  assuming i want to buy btc from PayPal and withdraw to my personal wallet i won't be able to do so! then what is the need of using PayPal when i can use other service that will give me the opportunity to withdraw my btc to my personal wallet where i have control of my keys,

despite all their bad reputation, i thought this time they will be more reasonable and less selfish but it appears PayPal will always remains the same, always trying to manipulate users any way they can, well, in the end it will all depend on individual preference, those who trust PayPal with their life might decide to use their service, but the true btc maximalist will not give them the satisfaction.

[kryptqnick]

I get it that PayPal possesses the BTC one will 'have' there. And I understand why many wouldn't want to use it because of that. But technically, we probably all have bank accounts with money there that we consider to be ours, but it's actually the money of the bank. It's just that it's hard to use money you truly own (I avoid cash, and most online payments require a bank account). PayPal might provide a way to pay for something with Bitcoin directly, widening the options vastly because it's PayPal. So I think it should be treated like an exchange (don't hold lots of money there, but use it if it's useful in a particular situation). Moreover, I think it's highly unlikely that PayPal will steal BTC of the customers. Maybe it's even less likely than one losing access or falling a victim of a scam.

[100bitcoin]

As I have understood from various media publications, PayPal is merely offering buy/sell of Bitcoin IOU. This will lead to fractional reserve banking and a turbulent market may even make them insolvent. So, I wont touch their service till they allow BTC withdrawal from their wallet.

[TGD]

But it's better to buy/sell BTC directly using PayPal funds rather than to use other 3rd party p2p exchange like localbitcoin, paxful and Bitcointalk because the value of PayPal balance is very undervalued there due to it's reversible feature on transaction. I'm so tired of exchanging my PayPal funds to negative 10% rate

But I agree with you that it's not advisable to deposit crypto on PayPal because user don't have total control on the wallet.

[mich]

The Paypal announcement is good news for the all Crypto enthusiasts and we watch our wallets gain in value.

For me I am not using any wallet where I can not control my personal keys. 

I have this feeling many original HODLers have this same mentality and anyone using Paypal to buy crypto will be a newb in the space.

But this is still very good news for adoption.

[cryptomaniac_xxx]

Also don't forget about this email before coming from them.



Source.

[davis196]

I wonder why Paypal turned  into "pro-crypto" so fast,after being in the "anti-crypto" team for all those years?
What changed inside their company?Maybe they smell money inside the crypto industry and decided to abandon all their core principles of banning crypto trading,blocking user accounts,etc. just for the sake of more profits.This seems like a very opportunistic move.
However,all the FUD/anti-Bitcoin banks and corporations like JP Morgan and Paypal are about to jump in the crypto wagon.This trend has pros and cons and we shouldn't celebrate.

[witcher_sense]

That's right, as far as I remember, Paypal has always been against Bitcoin, calling it a scam, and then all of a sudden they decided to add it to their platform. Obviously, this is done for the sake of profit, not to help adoption bitcoin. It is not known who really controls PayPal itself, but with their strict policy, it is extremely unreliable to store cryptocurrencies there, because there is a high risk of freezing funds, they like to block fiat, and what to say about cryptocurrencies, which are constantly trying to associate with terrorism, money laundering and drugs ...

Found an interesting article from 2014 that explains in detail why bitcoin is better than PayPal (in our case PayPal-coin). This article should be taken into consideration by those who still believe that news about PayPal starting accepting cryptocurrency payments is a good thing for the adoption of bitcoin.

10 Reasons Why Bitcoin is Better than PayPal

[semobo]

Paypal doesn't allow the user to send or receive cryptos, only they allows them to buy or sell cryptos, am I correct?

Use of any centralized service always comes with risk and they clearly stated that you will not be provided with private keys so it just making the people to go towards centralized crypto adoption.

Yes, from what I understood. The option of buying with Bitcoin through PayPal is actually just Paypal converting said Bitcoin to fiat before first sending it to the partnered merchants. Their concept of crypto right now is basically something like you bought something, but you don't have it. Tbh, this just ended up in being hyped up too much, especially since their way of providing the system of being able to buy Crypto is flawed in itself.

I just hope their so-called education about crypto and what not provides how their service of buying and selling crypto is unlike what it supposed to really be, though that's very unlikely, I can still hope for it right?

Paypal is trying to become the biggest centralized cryptocurrency banking network, they have your money and they will decide you can spend but not send to anyone. Yes its a flawed system but people will go with paypal without reading all the stuffs and end up losing their money again.

[naska21]

Paypal is payment processing company with a blameless record. I get used to use it as a gateway between my fiat money and merchants that supply me with goods.  If  I trusted PayPal to process my  fiat  why it shouldn't be trusted to do the same with my crypto? No one’s gonna hold it there for long/middle term period.  Only short deposit that   caters for the operational costs of buying goods. A bit of a non-sequitur but the rumor is PayPal is gonna issue its  own cryptocurrency.