PayPal's Crypto Holdings Hit $943 Million: $499M in Bitcoin, $362M in Ethereum
PayPal has reported a 56% increase in its cryptocurrency holdings for Q1 2023, totaling $943 million.
Of this, $499 million is in Bitcoin, $362 million in Ethereum, and $82 million in Bitcoin Cash and Litecoin.
The report recognizes the unique risks associated with cryptocurrencies and considers its crypto assets a "safeguarding liability."
Custody of assets held on behalf of customers remains limited to third-party holding companies, presenting a liability for customers in the event of processing issues
Despite this, PayPal's profitability also increased, with per-share earnings of $0.70 (GAAP) and $1.17 (non-GAAP).
This news highlights continued adoption and mainstream integration of digital assets, but risks of third-party custody remain a concern for investors.
