PayPal, the digital payment giant, has recently disclosed in its 10-Q filing with the Securities and Exchange Commission (SEC) that it has almost $1 billion worth of cryptocurrencies on its balance sheet. The company revealed that it currently holds $943 million worth of customer assets in Bitcoin (BTC), Ether (ETH), Bitcoin cash (BCH), and Litecoin (LTC).
A 10-Q filing is a mandatory quarterly financial performance report that publicly traded companies in the US must file with the SEC to disclose their financial information.
PayPal’s disclosure of its crypto holdings is a significant milestone in the mainstream adoption of cryptocurrencies, as it marks one of the largest institutional investments in digital assets to date. The company’s embrace of cryptocurrencies began in late 2020 when it announced its intention to allow its customers to buy, hold and sell cryptocurrencies on its platform.
From the end of last year, PayPal reported an increase of $339 million in customer crypto assets, indicating a growing interest in cryptocurrencies among its user base. The company’s move into cryptocurrencies is part of its broader strategy to expand its services beyond traditional payment methods and tap into the burgeoning cryptocurrency market.
The news of PayPal’s significant investment in cryptocurrencies has been well-received by the crypto community, with many seeing it as a sign of growing institutional adoption of digital assets. As cryptocurrencies continue to gain mainstream acceptance, more companies are likely to follow in PayPal’s footsteps and invest in digital assets.
PayPal’s latest financial report is yet another indication that cryptocurrencies are becoming increasingly integrated into the mainstream financial system, and it will be interesting to see how other companies respond to this growing trend.
Apart from Paypal, Tesla also holds Bitcoin in their balance sheet.
