Colorado DMV now accepts cryptocurrency for online services.

[Lida93]

On Thursday the DMW announces it now accepts online cryptocurrency payment through PayPal as a measure to provide a wide and convenient service delivery to their customers.

Those customers who will be paying I'm cryptocurrency will have to do so through PayPal with a service fee of $1  plus 1.83% of  DMV total, asides PayPal fee that may apply for each transaction.

Source.

This is something that can be described as another adopters move as this innovative will attract interest of  more users to the bitcoin technology reducing their fears about the digital gold.

And isn't the first time the  Colorado state is taking such an outstanding decision, in 2022 they were the first state to accept cryptocurrency as payment of state taxes and fees.Click for more info.       

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[Dunamisx]

Well, i will say this is a nice move from Colorado this time again, even though it's something now common that you discover many organizations adopting bitcoin as a means of payment in this modern technology, i believe they have realized what they would have probably missed out if they don't extend their offer to allowing cryptocurrency payment for their services, it is very important to also noted that bitcoin being a decentralized digital currency is the most widely acceptable means of payment adopted by most institutions in cryptocurrency because it was recognized as a legal means of making digital payments and transactions on good and services, the people can also trust and be reliable on it use for the privacy they want.

[stompix]

Those customers who will be paying I'm cryptocurrency will have to do so through PayPal with a service fee of $1  plus 1.83% of  DMV total, asides PayPal fee that may apply for each transaction.    

So, why would anyone choose to pay with crypto from their papal account when I can use a normal card and pay none of the fees?

This is starting to become infuriating, for real!
Bitcoin started as a "A purely peer-to-peer version of electronic cash".

And now, every single adoption from someone goes through an intermediary platform, and guess what, even if we exclude that major inconvenience that goes against the main principle behind it, it's also becoming more f* expensive to use crypto! I swear, sometimes I feel like I need to make a set of tinfoil hats because this looks like someone wanting to piss off Bitcoiners and intentionally making services available but with intermediaries and higher fees, just to make it look as Bitcoin payments are not the best alternatives.  No surprise that usage is losing steam and nearly everyone thinks of "investments" rather than daily payments.
/rant over!

[elevates]

It might be a coincidence but I have been seeing lately post on this board that are trying to promote PayPal. In my understanding without any urgent requirement everyone should avoid PayPal for buying or selling crypto. Reason is simple charges are high and you cannot forget PayPal was never meant to support crypto. It was created to make global payment system simpler and faster but with a catch of high fees. I wouldn't recommend anyone using its service to buy Bitcoin or any other crypto. My recommendation is to use a P2P exchanges as generally they don't ask for verification and the fees are very less.

For me this is another possible oppertunity for the financial system to extract money. The disguise that they would use is PayPal and they would show that it doesn't mean anything for anyone.

[Lida93]

It might be a coincidence but I have been seeing lately post on this board that are trying to promote PayPal. In my understanding without any urgent requirement everyone should avoid PayPal for buying or selling crypto. Reason is simple charges are high and you cannot forget PayPal was never meant to support crypto. It was created to make global payment system simpler and faster but with a catch of high fees. I wouldn't recommend anyone using its service to buy Bitcoin or any other crypto. My recommendation is to use a P2P exchanges as generally they don't ask for verification and the fees are very less.

For me this is another possible oppertunity for the financial system to extract money. The disguise that they would use is PayPal and they would show that it doesn't mean anything for anyone.

There may be a sinister motive no doubt but let beam our torch to the other side of it that this innovative can forge some trust on those people that have some sentimental fear in adopting cryptocurrency, such people have no need for use of exchanges( Cex or Dex) based on their fear on how secure their funds are on these exchanges, and with the use of PayPal they could be tempted to try crypto for payment using PayPal if they don't have problem in affording the fees.

[DaveF]

Those customers who will be paying I'm cryptocurrency will have to do so through PayPal with a service fee of $1  plus 1.83% of  DMV total, asides PayPal fee that may apply for each transaction.    

So, why would anyone choose to pay with crypto from their papal account when I can use a normal card and pay none of the fees?

Because it's sitting in their account and they don't care.

If you as someone selling things decided to take BTC / crypto thought PayPal since you were using them to take payments anyway and it was nothing more then a few mouse clicks but you don't care about BTC / crypto then you could easily wind up with some in your account. Now you have to give the DMV money, and you can now spend on something you were going to have to spend money on anyway. Yes, there is a fee, but 'whatever' you no longer have to worry about this BTC / crypto sitting in your account.

THAT is PayPal's target audience. Fees in, fees out, terrible exchange rate. But, it's a painless process.

I have a few clients who STILL use PayPal just for credit card processing. They could save a bunch my moving to another vendor. But over the years they have integrated PayPal with so many things. Even saving 2% on the $300000 (so $6000 net) they move through them every year will cost them more in redoing their back end then a few years of fees.

-Dave

[Z-tight]

This is good, but only for people who initially either buy, sell, hold or transfer crypto through Paypal, and there is no question about it that this is the target user base. "Colorado DMV now accepts crypto payments" BUT you have to go through Paypal, this isn't the sort of information that a bitcoiner looking to spend BTC from their self custody wallet would like to hear and i don't think they will desire this service at all.

There may be a sinister motive no doubt but let beam our torch to the other side of it that this innovative can forge some trust on those people that have some sentimental fear in adopting cryptocurrency, such people have no need for use of exchanges( Cex or Dex) based on their fear on how secure their funds are on these exchanges, and with the use of PayPal they could be tempted to try crypto for payment using PayPal if they don't have problem in affording the fees.

There is no sinister move because nobody is forced to use the service and they are aware of the fees, but this doesn't help with adoption, Paypal isn't a crypto exchange nor a crypto wallet, and you don't have to be afraid of the security of your funds in centralized exchanges because your funds shouldn't be stored there in the first place. Exchanges should be used to purchase coins, and then the coins should be moved into self custody wallets, that is what people need to learn to do.

[goldkingcoiner]

On Thursday the DMW announces it now accepts online cryptocurrency payment through PayPal as a measure to provide a wide and convenient service delivery to their customers.

Those customers who will be paying I'm cryptocurrency will have to do so through PayPal with a service fee of $1  plus 1.83% of  DMV total, asides PayPal fee that may apply for each transaction.

Source.

This is something that can be described as another adopters move as this innovative will attract interest of  more users to the bitcoin technology reducing their fears about the digital gold.

And isn't the first time the  Colorado state is taking such an outstanding decision, in 2022 they were the first state to accept cryptocurrency as payment of state taxes and fees.Click for more info.       

Through Paypal? Oh cmon what? Lol.

Why would anyone think that making Bitcoin more centralised is the solution to the mind-set problem of "there is nobody to take the responsibility if things go wrong". Paypal is not needed, but on the good side, Paypal is in a way, making Bitcoin more adopted. So I guess all in all, its somewhat of a good thing rather than a bad thing.

But I just do not see Paypal in Bitcoin's future. At some point even Paypal will have to recognize the fact that it is a completely unnecessary third party in the payment solution. But for now everyone wins, I guess.

[kryptqnick]

It's a complicated way of accepting Bitcoin payments, but it's better than nothing. I say complicated because it's PayPal payments, and then a part is converted into dollars to cover the service fees, with dollars transferring in 3-5 business days.
I'm also wondering whether there are tax implications of paying in crypto vs paying in fiat, considering that it's the US we're talking about. If a person then needs to do taxes related to this transaction, it's probably simply not worth it. Not because of the tax itself as much as for figuring out how to do it properly.

[livingfree]

While hearing and reading it out that they're willing to accept payment crypto for their services, it's quite discouraging that they prefer a service to which people will have to go through and carry the burden of the fees they charge.

Yeah, it's something like conditional acceptance and adoption but let's just have the moment to think about the fees that we're trying to avoid.

The partnership between them probably have been made as a deal and those commissions are necessary for those that will pay them in crypto. If paying them in fiat will cost me less fees, I'll choose to pay them in fiat/cash.

[benalexis12]

When it comes to the adoption of cryptocurrency and innovation in Colorado, they are actually taking a good step. And this is another point for our crypto enthusiasts in this industry, which cannot really stop its rise over time. But I'm just wondering why they say that myDMV accepts cryptocurrency payments through Paypal.
Why is it necessary to use Paypal just to use my crypto assets for payment? What if my crypto is on the exchange? Do I have to transfer my crypto asset to PayPal just so I can pay at my DMV? Doesn't that seem like a hassle for the customer? I don't like the system like that, it's just for me. I don't know about others here.

[stompix]

~

Because it's sitting in their account and they don't care.
~
THAT is PayPal's target audience. Fees in, fees out, terrible exchange rate. But, it's a painless process.
I have a few clients who STILL use PayPal just for credit card processing. They could save a bunch my moving to another vendor. But over the years they have integrated PayPal with so many things. Even saving 2% on the $300000 (so $6000 net) they move through them every year will cost them more in redoing their back end then a few years of fees.

-Dave

A long time ago I swore I was going to stop even trying to understand how the payments happen in the US but every single time I stumble upon this kind of gem and I kept wondering why in the name of god, why???
I have both my personal account and I do accounting for my family business now and then and take care of payments all we need is a bank account, we have an app with direct debiting, I just set up times, and maximum amounts so a mistake won't overcharge us millions, I can pay every single bill by just scanning a code and that's it, why, again why would I ever need a 3rd party service besides my bank? Do you know how much these costs? 1-5 euros a month depending on the package and if you want better deals with your debit/credit card.

Running a paypoint? If you have a small business it's 0.3% fee on sales, money goes instantly to your bank account, and you automatically get a credit line with zero interest for 3 months for 25% of your revenue in that period!

So, why would anyone still need paypal?
10 years ago? Yeah for sure, it was like star wars compared to the rest but nowadays? Meh!!!

And this is another point for our crypto enthusiasts in this industry, which cannot really stop its rise over time.
~
I don't like the system like that, it's just for me.

Nice contradiction in just 4 lines of text.

[DaveF]

~

Because it's sitting in their account and they don't care.
~
THAT is PayPal's target audience. Fees in, fees out, terrible exchange rate. But, it's a painless process.
I have a few clients who STILL use PayPal just for credit card processing. They could save a bunch my moving to another vendor. But over the years they have integrated PayPal with so many things. Even saving 2% on the $300000 (so $6000 net) they move through them every year will cost them more in redoing their back end then a few years of fees.

-Dave

A long time ago I swore I was going to stop even trying to understand how the payments happen in the US but every single time I stumble upon this kind of gem and I kept wondering why in the name of god, why???
I have both my personal account and I do accounting for my family business now and then and take care of payments all we need is a bank account, we have an app with direct debiting, I just set up times, and maximum amounts so a mistake won't overcharge us millions, I can pay every single bill by just scanning a code and that's it, why, again why would I ever need a 3rd party service besides my bank? Do you know how much these costs? 1-5 euros a month depending on the package and if you want better deals with your debit/credit card.

Running a paypoint? If you have a small business it's 0.3% fee on sales, money goes instantly to your bank account, and you automatically get a credit line with zero interest for 3 months for 25% of your revenue in that period!

So, why would anyone still need paypal?
10 years ago? Yeah for sure, it was like star wars compared to the rest but nowadays? Meh!!!

A large part is inertia. Not going to name names, but lets call the person DaveF...yeah that's a good name.
Lets say this person has a day job, that generates a paycheck and a side job that deals in crypto. And he is happy and all is good.
Then he decides to start selling off a lot of old junk he collected over years decades. But, he does not want to setup a merchant account to take credit cards. So, it's either cash (and crpyto) or he needs a way to process credit cards and for that he dusts off his old PayPal account. The rates suck, and the process is not great but it's there and ready to go. Because at car swap meets that's the way it is cash or card.

Same with some small businesses, as I said above there are better / cheaper ways to take cards. But if you have something that you hacked together years ago that works but you hard coded in some PayPal integration would you spend the money to switch? If you are processing enough they the answer would be yes, but if you are talking under $50000 in cards a year the amount you save would be minimal.

Don't know how it is in the rest of the world, but here credit cards are expensive to take as a merchant, but if you don't you loose customers.

-Dave

[OgNasty]

This is pretty cool. I don’t live in Colorado but if I did I would take advantage of this to show that Bitcoin supporters are out there. I rarely see the option to pay with BTC in my regular life but it is always exciting when the option does pop up somewhere. People should always choose Bitcoin when given the option.

[Darker45]

This is a good thing, of course, but this isn't much. Perhaps not even worth celebrating. It seems the logic is simply that Colorado's DMV accepts PayPal payments and since PayPal has already integrated crypto to their system, then it follows that the DMW would also be accepting crypto.

This would have been a lot different had the DMV announced that it would now be accepting crypto payments, because that would mean the department's payment system is now supporting crypto. But this isn't the case apparently. Crypto payment is simply an option under PayPal. Moreover, the payment would immediately be converted to USD before remitted to the DMV.

[Sarah Azhari]

Those customers who will be paying I'm cryptocurrency will have to do so through PayPal with a service fee of $1  plus 1.83% of  DMV total, asides PayPal fee that may apply for each transaction.

They do like stupid things if must use PayPal for crypto payment. As we see how huge the PayPal service fee is above, Of course, I will think twice if do that through PayPal. On Electrum I just spend 30-50 cents, and not so complicated like I used PayPal. So, the DMV must revise it ASAP. because there are several customers who care about this. And, apart from that all, I have respect for what they did, Crypto is the future when they accept that, which mean they care about the change, and it would be a great breakthrough for the company.

[Don Pedro Dinero]

This is pretty cool. I don’t live in Colorado but if I did I would take advantage of this to show that Bitcoin supporters are out there. I rarely see the option to pay with BTC in my regular life but it is always exciting when the option does pop up somewhere. People should always choose Bitcoin when given the option.

But have you stopped to read the thread? I think you read the title and wrote the quick answer without reading, let alone stopping to think.

It is not payment in bitcoin is payment in bitcoin only through PayPal, which is going to be more expensive than just paying by card, plus I do not know what you see cool to pay through a centralized entity.

[davis196]

So, why would anyone choose to pay with crypto from their papal account when I can use a normal card and pay none of the fees?

This is starting to become infuriating, for real!
Bitcoin started as a "A purely peer-to-peer version of electronic cash".

I agree that this doesn't make any sense at all. If the Department of Motor Vehicles was so pro-crypto, they will simply add BTC/altcoin addresses and accept crypto payments directly. I guess that they have added Paypal as a payment gateway mostly because Paypal payments can be reversed. Maybe that's why the Paypal fees are high.
It's too late to complain about Bitcoin failing to become a direct peer-to-peer electronic cash system. Crypto exchanges and crypto payment gateways like Bitpay became a thing years ago. Yes, they are "middlemen", but at least they add better customer convenience.

[joniboini]

So, the DMV must revise it ASAP. because there are several customers who care about this. And, apart from that all, I have respect for what they did, Crypto is the future when they accept that, which mean they care about the change, and it would be a great breakthrough for the company.

I think it is possible that they don't want to trouble themselves setting up a payment system so they just use PayPal instead. Not to mention it is also possible that PayPal gives them some incentive in one way or another. I don't think the average joe really cares about which payment system they use. At the end of the day, this is not that much different from paying with fiat, you just risk your crypto if you store it on PayPal, to begin with. CMIIW.

It's too late to complain about Bitcoin failing to become a direct peer-to-peer electronic cash system. Crypto exchanges and crypto payment gateways like Bitpay became a thing years ago. Yes, they are "middlemen", but at least they add better customer convenience.

I don't think it fails, just that people are trying to find more use cases for their own purpose. You can still directly buy/sell things with crypto without any middlemen anyway.

[Gladitorcomeback]

On Thursday the DMW announces it now accepts online cryptocurrency payment through PayPal as a measure to provide a wide and convenient service delivery to their customers.

This is positive step towards world adoption of btc although Paypal will get high profit by charging high fee and attraction of the crypto users want to spent through Paypal credit card. Paypal interest toward btc start from 2014 and from that's time until today Paypal announced so many times about crypto but at last now in 2023 opened the door for crypto lovers.

Those customers who will be paying I'm cryptocurrency will have to do so through PayPal with a service fee of $1  plus 1.83% of  DMV total, asides PayPal fee that may apply for each transaction.

Why will someone pay high fee if there is already alternative available. Just sell crypto and convert into fiat and credit your Paypal and then use Colorado DMV. This high fee is making no sense here and only those will use who not much caring about fee.

If already btc is available for payment transaction without any extra charges then why need other payment mean? Colorado should think on it, If Paypal can accept crypto they could also do.