Mobile payment app Venmo has announced that it will soon enable its users to buy, hold and sell cryptocurrencies on its platform.
Venmo will add support for Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH), enabling users to access the crypto markets directly from the app.
Starting in May, Venmo will allow users to buy cryptocurrencies with as little as $1, and will also provide in-app guides and videos to help users navigate the world of cryptocurrencies.
This move by Venmo comes as a response to the growing demand for crypto among its user base, particularly among younger demographics. According to a survey conducted by Venmo, 30% of its customers have already started buying cryptocurrencies or stocks.
The company’s parent firm, PayPal, has been steadily increasing its exposure to the crypto industry, and earlier this year announced that it would allow US customers to use their PayPal accounts to pay for goods and services at millions of merchants that accept cryptocurrencies.
Dan Schulman, President and CEO of PayPal, has also expressed his belief that cryptocurrencies will play a key role in the future of payments and commerce, and has stated that PayPal is committed to helping shape the industry.
With the addition of cryptocurrency support, Venmo will join a growing number of payment providers that are embracing cryptocurrencies, including Square’s Cash App and Robinhood.
However, while the move by Venmo is likely to be welcomed by crypto enthusiasts, there are concerns about the impact of mass adoption of cryptocurrencies on the environment, particularly in terms of the energy consumption required for mining.
In response to these concerns, Venmo has committed to carbon offsetting the energy used in the mining and transaction processing of the cryptocurrencies it supports.
Venmo fiat-to-crypto payments
Overall, the move by Venmo to enable fiat-to-crypto payments is a significant step towards mainstream adoption of cryptocurrencies, and could help to further drive the growth of the crypto industry. With the app’s user base of more than 70 million customers, the move could also help to bring cryptocurrencies to a wider audience and fuel further innovation in the sector.