PayPal UK To Pause Crypto Purchases Until Early 2024 – PayPal’s recent message to its U.K. customers indicates that they will halt cryptocurrency purchases starting October 1, 2023, but users can still retain and sell their digital assets within the PayPal system during this period. The suspension is expected to continue until early 2024, at which point PayPal plans to reinstate the ability to buy cryptocurrencies.
“We’re taking this measure in response to new rules enacted by the U.K. Financial Conduct Authority (FCA) that require crypto firms to implement additional steps before customers can purchase crypto,” PayPal said in a statement. The Financial Conduct Authority (FCA), the regulatory body in the UK’s financial sector, will implement more stringent measures to combat money laundering using cryptocurrencies.
This is in accordance with the Financial Action Task Force’s “Travel Rule,” starting from September 1. Additionally, the FCA is anticipated to establish more rigorous regulations concerning the promotion of cryptocurrencies within the country later in the year. “We remain deeply committed to our compliance obligations and PayPal consistently works closely with regulators around the world to adhere to applicable rules and regulations in the markets in which we operate,” PayPal said.
In the past few weeks, PayPal has significantly expanded its presence in the cryptocurrency space, focusing particularly on its activities within the United States. Notably, the company’s most notable stride in this direction is the recent introduction of a stablecoin called PayPal USD (PYUSD). This noteworthy advancement was officially revealed by the payments giant earlier this month.