Here’s Why the PayPal News May Signal a Global Bitcoin “Hash War” is Looming
- The crypto sphere was lit ablaze by news that PayPal and Venmo are both looking to roll out direct crypto trading capabilities to their users
- This comes as their competitor, CashApp, sees massive revenue inflows from its Bitcoin sales
- This is certainly a sign of growing retail adoption, and will place Bitcoin in front of the platform’s 325 million users scattered across the globe
- One prominent Bitcoin advocate is now noting that this marks the early stages of an imminent “global hash war” as more companies have to adopt cryptocurrencies in order to keep up with the competition
Yesterday, news broke regarding the strong possibility that PayPal and Venmo – two notable fintech companies – are both moving to add direct crypto and Bitcoin trading capabilities to their users.
This feature would be strikingly similar to the seen on the CashApp, which has been garnering massive success in recent times while also driving significant revenue to the platform.
One prominent Bitcoin advocate and investor recently explained that this trend of companies rushing to adopt BTC in order to keep up with their competitors is essentially the crypto’s “built-in game theory.”
He also believes that a “global hash war” is imminent.
PayPal’s Foray into Crypto Boosts Bitcoin, But Some Investors Remain Skeptical
Yesterday’s news regarding PayPal’s possible entrance into the crypto market spread throughout the industry like wildfire, even coinciding with a Bitcoin price pump.
Shortly after the news broke, the price of the benchmark cryptocurrency surged from beneath $9,400 to highs of $9,800. It was rejected here and since declined back to $9,600 – where it is currently trading at.
The bullish narrative regarding this news is premised upon the notion that a portion of the 325 million PayPal users will buy Bitcoin once it is easily accessible to them via the platform.
That being said, some investors remain skeptical as to whether or not this is something that should be celebrated, as the centralized nature of platforms like PayPal runs counter to the credos of Bitcoin.
That being said, Samson Mow – the CSO of Blockstream – does believe it is a “net positive” for BTC.
“The PayPal news is a net positive. It’s still a red pill, spreading awareness and opening up access. If PayPal tries to freeze Bitcoin balances of customers, that’s like sending Agents after them. And there’s no going back for anyone at that point.”
Max Keiser: A Global Hash War is Coming as BTC Adoption Gains Traction
Max Keiser – a prominent Bitcoin investor and the host of the Keiser Report – explained in a recent tweet that he believes companies like PayPal rushing to gain exposure to the crypto industry signals that a global hash war is imminent.
He notes that this will be driven by a frenzy of companies all trying to keep up with one another by offering access to digital assets.
“Bitcoin’s built-in game theory strikes again. Paypal, seeing SQ [Square] making a killing with BTC, is forced to take on BTC or suffer huge competitive consequences. Global Hash War is coming!”
Featured image from Shutterstock.