Paypal plans to expand its crypto market presence and may soon acquire bitcoin custodian BitGo
PayPal Holdings Inc. is eyeing possible crypto firms acquisitions to make an entrance into the digital assets space, reports Bloomberg.
In particular, the fintech giant is in talks to buy BitGo, a Goldman-backed wallet provider and crypto custodian. The companies are amidst negotiations, with the outcome to be revealed within weeks, according to people familiar with the matter. The deal is not definite, as Paypal could still opt for the rival company.
California-based BitGo was launched in 2013 by Chief Executive Officer Mike Belshe. It offers digital wallets, as well as offline vaults for storing bitcoin and other digital currencies. The company applied in August to New York regulators to become an independent, regulated qualified custodian under New York State Banking Law, according to press release.
PayPal has announced that its customers would be able to buy, sell and hold cryptocurrencies – Bitcoin, Ether, Bitcoin Cash and Litecoin – in a PayPal digital wallet, as well as shop with virtual money at the 26 million merchants on its network. Following the news, the bitcoin price passed over the $13,000 mark.