Coinbase Revamps PayPal Withdrawals for US Crypto Users
Coinbase customers in the U.S. can now make withdrawals into their PayPal accounts.
According to a blog post, U.S. customers can withdraw their Coinbase balances to PayPal immediately and without any fees. The new arrangement allows customers to quickly convert their cryptocurrency holdings to cash, wrote Allen Osgood, who works on product at the exchange.
Coinbase announced it was bringing back a PayPal integration last month, noting that customers will only be able to make withdrawals using PayPal. Users won’t be able to buy cryptocurrencies via PayPal.
The exchange previously had a PayPal integration, but the company ceased offering the service due to technical issues earlier this year.
A spokesperson for the exchange told CoinDesk that “there is new functionality that was improved from the prior one,” adding:
“There is new technical work to make this possible, and that was done in conjunction with PayPal.”
On Friday, Osgood wrote that the partnership provides Coinbase customers an alternative to the traditional federal wire or automated clearing house (ACH) network that they were previously required to use.
“These traditional finance networks can add up to two business days to a withdrawal. We’re always looking for ways to not only meet the bar set by traditional finance, but raise it. That’s why we rebuilt our integration to ensure that the speed and reliability of PayPal withdrawals does just that.”
The service is only available to U.S. customers for now, a Coinbase spokesperson confirmed to CoinDesk. Support for PayPal withdrawals in other nations will continue to be added across 2019, Osgood wrote on Friday.