ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Future ETFs
    • Global Diversification
    • Gold & Silver Investing
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Megatrends
    • Modern Alpha
    • Multi-Asset
    • Night Effect
    • Portfolio Strategies
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • Company
    • About Us
    • Swag Store
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Crypto Channel
  2. Crypto Buying Burden Eased by PayPal
Crypto Channel
Share

Crypto Buying Burden Eased by PayPal

Tom LydonDec 16, 2022
2022-12-16

PayPal (NASDAQ:PYPL), the money transfer and digital wallet provider, has been involved with the cryptocurrency market for some time.

For example, in 2020, the company allowed Venmo digital wallet users to buy, sell, hold, and otherwise transact in four digital currencies: bitcoin, bitcoin cash, ethereum, and litecoin. PayPal is adding to its crypto portfolio; earlier this week, ConsenSys — the parent company of MetaMask — announced a partnership with PayPal to more efficiently purchase ether on PayPal and move the second-largest cryptocurrency to MetaMask.

“MetaMask is the world’s leading self-custodial wallet, the U.S. being among the top markets in terms of users. The MetaMask wallet is the primary way millions of users interact with applications that include NFT marketplaces, play and earn games, decentralized autonomous organizations (DAOs), decentralized finance (DeFi) applications, and metaverse worlds,” according to a statement issued by ConsenSys.

Financial terms of the deal weren’t disclosed, but there are potential benefits for both sides in the partnership. MetaMask is the first Web3 wallet to tap into PayPal technology, and that could ease users’ Web3 experience.

Additionally, the familiarity and trust behind the PayPal brand could encourage more MetaMask users to use the fintech platform to purchase ether. PayPal has nearly 430 consumer and business accounts across roughly 200 markets, indicating that the potential is massive for MetaMask, depending upon various expansion efforts.

“This integration with PayPal will allow our U.S. users to not just buy crypto seamlessly through MetaMask, but also to easily explore the Web3 ecosystem,” said Lorenzo Santos, MetaMask product manager, in the statement.

While it’s clear that PayPal is bolstering its crypto offerings, it’s also clear that it will be a while before investors develop enthusiasm for such moves, as the stock is down 6% this week. Year-to-date, PayPal is off 63%, largely the result of crypto-correlated equities faltering amid the backdrop of the “crypto winter.” As such, there may be value in the stock today for risk tolerant investors.

“Our fair value estimate for PayPal to $135 per share, which equates to 28.6 times our projected 2023 adjusted earnings per share,” wrote Morningstar analyst Brett Horn. “While growth has slowed a bit in 2022 as the company works past some headwinds and the company could face additional headwinds if the economy worsens, we think PayPal has a clear path to strong growth over the next few years and that it can continue to generate solid growth over the long haul as it rides the secular shift toward electronic payments generally and e-commerce and mobile payments more specifically."

For more news, information, and analysis, visit the Crypto Channel.

Loading Articles...
Help & Info
  • Contact Us
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X