In the previous year, the European Commission had opened a consultation regarding the regulation of cryptocurrencies and digital assets. Later, last month, the responses were published which were inclusive of a letter from PayPal that stated that the firm has developed capabilities in this particular arena since its withdrawal from Libra. This comes following the earlier CoinDesk report that stated that PayPal and its subsidiary Venmo will be seen offering crypocurrencies.
The firm in its letter to the European Commission outlined as the background that in 2019, PayPal had initially signed a non-binding letter of intent for the purpose of participating in the Libra Association. The intention of the firm behind this was that it would be able to learn more about the proposed utilization of blockchain tech for delivering financial services to unbanked people and populations all across the world.