The company applied in August to New York-regulators to become an independent, regulated qualified custodian under New York State Banking Law, a handout showed.
Custodians are liable for safekeeping digital assets using secure storage.
PayPal announced on Wednesday that its customers can purchase , sell and hold cryptocurrencies including Bitcoin, Ether, Bitcoin Cash and Litecoin from digital wallets, also as use the virtual money to buy at the 26 million merchants on its network. The announcement led Bitcoin to surge past $13,000 for the primary time since July 2019.
PayPal said it might partner with BitGo competitor Paxos trust corporation , a regulated provider of cryptocurrency products and services for its new service.