PayPal’s Venmo – a financial app that recently added cryptocurrency features – saw a payment volume of $60 billion for the third quarter of 2021, which is an increase of 36%. The company added that it could allow clients to use Venmo for purchases made on Amazon.
Venmo Has Been a Huge Success
Earlier this year, PayPal’s mobile service – Venmo – enabled its more than 70 million users to buy, sell, and store the following digital assets: Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC).
During its earnings call for Q3, PayPal announced that Venmo processed approximately $60 billion in total payment volume. This number stood at $38.4 billion at the end of the second quarter.
The announcement further revealed that PayPal plans to enable customers to employ Venmo for purchases made on Amazon next year. However, in the beginning, the option will be available only for American clients:
“Teaming up with Amazon to enable customers in the U.S. to pay with Venmo at checkout. Starting next year, customers will be able to make purchases on Amazon.com and the Amazon mobile shopping app using their Venmo accounts.”
The giant payments company also marked growth in its overall revenue, reporting 13% more than Q2. John Rainey – CFO and Executive Vice President of Global Customer Operations – noted that cryptocurrency services played a key role:
“Our rapid pace of innovation continues. We had an exciting cadence of product introductions, including our new digital wallet apps for both PayPal and Venmo and the launch of crypto by wholesale in the UK.”
PayPal’s Crypto Path
PayPal hopped on the cryptocurrency bandwagon towards the end of 2020. Back then, it enabled US customers to hold, buy, and sell bitcoin and other digital assets using fiat currency through their PayPal wallets. The company also vowed to provide crypto services for other countries in 2021.
By the looks of it, the initiative has been highly successful since, in the next couple of months, PayPal generated a massive uptick of new active accounts – 16 million, while after Q1 in 2021 the firm added 14.5 million more clients.
In addition, PayPal recorded an increase in its revenue and total payment volume for the first three months of 2021. Dan Schulman – President and CEO of the firm – attributed this success to the decision to add cryptocurrency services:
“We’ve got a tremendous amount of really great results going on tactically with our crypto efforts.”
In September, this year, PayPal kept its promise to spread its crypto scope internationally by disclosing that UK customers can operate with multiple digital assets, including bitcoin and ether, directly from their accounts. Similar to the States, PayPal said it will continue to use Paxos for its digital asset services.