The late and now forced entry of traditional banking into the digital world has opened the door for fintech players like PayPal to play especially aggressively.
To get an idea, it is enough to recognize that this phenomenon has become one of the great engines in the development of the fintech industry, which, pushed by small companies or startups, threatens to put 25 percent at risk during the following years. of the business of traditional entities, where the most affected areas will be consumer banking, means of payment and services related to asset and wealth management, according to PwC projections.
The platforms in this field have sought new ways to attack trends in the banking and financial market, and in this sense, the next step that PayPal would be about to take becomes relevant.
And now, this brand with the intention of going beyond online payments, seems to be working on converts in a broker to compare stocks.
With this proposal, PayPay would be in direct competition with large financial services firms such as Robinhood or Square.
This information came from the hand of CNBC, from where they indicated that the company with headquarters in San José, California will have counted a veteran and recognized player in the brokerage industry.
We talk about Richard Hagen, co-founder of the broker online TradeKing, which was later sold to the firm.
The stock exchange expert, and as can be seen from his su profile of LinkedIn, he will be the new CEO of a division called “Invest at PayPal”, where according to the bio his role will be “to lead the company’s efforts to explore new opportunities in the investment and consumer business”.
This movement comes at a time when investments are growing driven by the adoption of much more digital conditions.
A Bank of America estimate shows that between December 2020 and April 2021, more capital entered funds based on global stock values than in the previous 12 years.
Along the same lines, and in a timely manner, estimates from JMP Securities, the stock market has received more than 10 million investors in the first half of this year.
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With this movement, PayPal would be reaching new lands with a movement that joins others that the firm has strongly given, showing its intentions to grow significantly in the market both in terms of users and categories.
For example, in recent days, PayPal announced the launch of a feature for its users to sell and buy Bitcoin through its platform.
This option has begun to be enabled for the United Kingdom market, where Bitcoin will not be the only currency that delivers in the equation.
Initially, this new option will consider Bitcoin, Ethereum, Litecoin and Bitcoin Cash. Additionally, this new option will allow real-time monitoring of prices, as well as educational content about the world of cryptocurrencies.
At that point, it is fair to recognize that this is not the first time that PayPal is betting on the world of cryptocurrencies.
Towards October of last year, PayPal launched in the United States the option to buy and sell cryptocurrencies, which was expanded in May of this year to allow customers to transfer and withdraw their cryptocurrencies to third-party wallets.
With the extension to the UK market, this would be the first time PayPal has extended this strategy to regions outside of the United States.