PayPal in the UK announced it is pausing Bitcoin and cryptocurrency purchases starting October 1, 2023 until 2024. Additionally, the payments platform noted that the decision was made to Maintain compliance with regional financial regulations.
This means that PayPal customers in the UK will temporarily be unable to buy cryptocurrency until the legal issue is resolved.
Additionally, PayPal sent an email to UK customers advising when they can expect cryptocurrency purchases again.
PayPal in the UK pauses Bitcoin purchases starting October 1
2023 has seen a rather volatile year for the cryptocurrency industry, but one surprising development involved payments platform PayPal. Specifically, the platform has issued its own US dollar-pegged stablecoin, which is PYUSD.
PYUSD is a big signal of PayPal's continued expansion into the crypto space. Now, the company has noted a pause in the offering of its digital assets in a specific region.
PayPal in the UK has announced that it will pause Bitcoin and cryptocurrency purchases starting October 1. Furthermore, that pause is expected to last until early 2024. PayPal notified affected users in a recent email about the suspension.
This incident will certainly have a significant impact on PayPal's business operations in the cryptocurrency sector.
A spokesperson for PayPal in the UK said: “PayPal customers who currently hold cryptocurrency can hold it on our platform for free and can also sell their cryptocurrency at any time ”.
Additionally, PayPal noted that the measure to pause cryptocurrency purchases was taken in response to new requirements from the UK Financial Conduct Authority (FCA).
Specifically, these new rules require companies to apply certain changes before allowing users to purchase cryptocurrency. “While we work to meet these new regulations, you will not be able to buy cryptocurrency with PayPal,” the company said.
PayPal initially introduced its crypto offering in the United States in 2020, and has been building out its crypto offerings since then.
