PayPal’s Venmo announces that users can now buy and sell crypto

PayPal's Venmo payments service on Tuesday announced that it will now allow users to buy and sell cryptocurrencies.

Starting Tuesday, Venmo is giving customers the option to invest in four crypto assets: bitcoin, ethereum, litecoin, and bitcoin cash.

Users can purchase cryptocurrencies with as little as $1 and can buy and sell using funds from their Venmo balance, or a linked bank account or debit card. Venmo's 70 million users can also choose to share their transactions with friends through their feed.

"Our goal is to provide our customers with an easy-to-use platform that simplifies the process of buying and selling cryptocurrencies and demystifies some of the common questions and misconceptions that consumers may have," Darrell Esch, SVP and GM, of Venmo, said in a statement.

The new feature follows PayPal's recent move to allow users to buy and sell cryptocurrencies in October 2020.

Last year, more than 30% of Venmo customers had already started purchasing crypto or stocks, with 20% of those users starting during the pandemic, according to the 2020 study conducted by the company.

Venmo, which processed around $159 billion in payments last year, joins the long list of corporations and institutions that have recently embraced bitcoin and other digital assets.

Venmo rival CashApp in March enabled users to send and receive bitcoin with no fees on transactions. CashApp is a mobile payment service developed by Square CEO and Twitter founder Jack Dorsey, a vocal bitcoin advocate.

The cryptocurrency space has grown significantly in recent months, with total crypto market capitalization hitting $2 trillion in April. Bitcoin led the rally, skyrocketing 600% over the last 12 months.