Payments giant PayPal, which recently launched the dollar-backed stablecoin PayPal USD (PYUSD), updated its terms and conditions to introduce Cryptocurrencies Hub — a feature that allows users to hold and interact with Bitcoin (BTC) and cryptocurrencies in their PayPal account.
The latest PayPal terms and conditions detail the prerequisites for crypto users interested in using the platform for cryptocurrencies. According to the company, the Cryptocurrencies Hub service will allow for the sale and purchase of crypto. In addition, it will facilitate the payment for purchases via PayPal using the money stored after the sale of cryptocurrencies.
However, not all PayPal users will get to explore the new feature as the company will decide its access from person to person. For starters, to be eligible for Cryptocurrencies Hub, a PayPal user must have “a personal PayPal account and a Balance Account in good standing.” In addition, PayPal will also verify the required identifying information, which includes name, physical address, date of birth and taxpayer identification number provided by the users:
“You can only use your Cryptocurrencies Hub as part of your Balance Account by accessing it through your personal PayPal account. If you are a Hawaii resident, we will not allow you to establish a Cryptocurrencies Hub at this time.”
I can’t believe i get to tweet that.
We’ve come so far. pic.twitter.com/S6kSqcV4ut
While many envision PYUSD to fast-track Ether’s (ETH) mainstream adoption, it could also spell trouble for decentralization and personal control of assets, warns the community. Several smart contract auditors highlighted that PYUSD’s smart contract contains “freezefunds” and “wipefrozenfunds” functions, which they claim are textbook examples of centralization attack vectors in Solidity contracts.