PayPal Begins Embracing Bitcoin

LOS ANGELES — The continued mainstreaming of cryptocurrency Bitcoin continues with the news that PayPal is now embracing the upstart payment mechanism via its Braintree subsidiary.

As part of this initiative, Braintree is partnering with Coinbase, a Bitcoin processing company that serves numerous businesses, including Overstock.com. Websites such as Dropbox and others use Braintree to process online payments with a service that is available for PayPal’s reported 152 million users.

The announcement of “PayPal’s first foray into Bitcoin,” was made on Monday at San Francisco’s Techcrunch’s Disrupt conference by Braintree CEO Bill Ready, who said that the company is set to begin accepting Bitcoin in the “coming months.”

Ready explains that Bitcoin will be a boon to m-commerce, as mobile shopping conversion rates lag those of desktop rates, in part because of the tedium of using credit cards on mobile devices. While more than half of online shopping reportedly happens on mobile devices, a mere 10 to 15 percent of actual purchases are made using these devices.

“The reason for that gap is that there’s a two-thirds to 75 percent fall off in conversion. People just bail out,” Ready said, noting that the company’s one-touch payment system boosts these sales. “We’re able to get to a better conversion rate on mobile than on desktop. [Merchants] should be able to get a strong amount of ecommerce sessions on phones and buys.”

The company will reportedly allow users to link their Braintree wallet with a Coinbase wallet.

“We had a lot of developers tell us they’d love to add Bitcoin,” Coinbase CEO Brian Armstrong stated. “But Braintree would handle all of their payments and they didn’t want to add another SDK. They would say that if Braintree added it, they would add it.”

While neither eBay nor PayPal have announced plans to accept Bitcoin directly, the Braintree move is a way for the companies to test the waters without fear of tarnishing the parent brands.

Bitcoin’s volatility has been a major stumbling block to its uptake by legitimate companies, with its value plummeting over the past year, from highs of more than $1000 per coin last year, to lows of less than $500 today. It is hoped that this volatility will subside as Bitcoin becomes more mainstream — and more widely accepted at online merchants, including those within the adult entertainment market space.

Related:  

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

UPDATED: Supreme Court Rules Against Adult Industry in Pivotal Texas AV Case

The U.S. Supreme Court on Friday issued its decision in Free Speech Coalition v. Paxton, striking a blow against the online adult industry by ruling in support of Texas’ controversial age verification law, HB 1181.

North Carolina Passes Extreme Bill Targeting Adult Sites

The North Carolina state legislature this week ratified a bill that would impose new regulations that industry observers have warned could push adult websites and platforms to ban most adult creators and content.

Supreme Court Ruling Due Friday in FSC v. Paxton AV Case

The U.S. Supreme Court will rule on Friday in Free Speech Coalition v. Paxton, the adult industry trade association's challenge to Texas’ controversial age verification law, HB 1181.

Ofcom: More Porn Providers Commit to Age Assurance Measures

A number of adult content providers operating in the U.K. have confirmed that they plan to introduce age checks in compliance with the Online Safety Act by the July 25 deadline, according to U.K. media regulator Ofcom.

Aylo Says It Will Comply With UK Age Assurance Requirements

Tech and media company Aylo, which owns various adult properties including Pornhub, YouPorn and Redtube, plans to introduce age assurance methods in the United Kingdom that satisfy government rules under the Online Safety Act, the company has announced.

Kyrgyzstan Parliament Approves Measure Outlawing Internet Porn

The Supreme Council of Kyrgyzstan on Wednesday passed legislation outlawing online adult content in the country.

Trial Set for Lawsuit by U Wisconsin Professor Fired Over Adult Content

A trial date of June 22, 2026, has been set for the civil lawsuit filed by veteran communications professor Joe Gow against the University of Wisconsin board of regents, which fired him for creating and appearing in adult content.

New UK Task Force Meets to Target Adult Content

The architect of an influential report that recommended banning adult content deemed “degrading, violent and misogynistic” has convened an “Independent Pornography Review task force” aimed at translating that report’s findings into action in the U.K.

11:11 Creations Launches Affiliate Program

11:11 Creations principal Alicia Silver has launched 11:11 Cash for creators and affiliates.

Pineapple Support, Pornhub to Host 'Self Love' Support Group

Pineapple Support and Pornhub are hosting a free online support group for performers to develop self-love.

Show More