PayPal Makes First Investment on Blockchain
PayPal, a company that is known to be slow for adopting new technologies, is finally picking up pace in the blockchain market by officially making their first investment on the new tech. Cambridge Blockchain, the company that PayPal has selection is currently in a new series of funding and have already raised millions from investors in the last four months.
The total amount that Cambridge Blockchain wants to raise is around $10 Million. This figure could have been matched by PayPal, however the amount that the e-wallet service invested is currently undisclosed. During Cambridge’s 2018 rounds of funding, PayPal invested $3.5 million. This was a return investment and not one where PayPal could obtain services from the blockchain company. This round of funding could reveal something entirely different.
According to various sources in the press, PayPal has been aware of Cambridge Blockchain since before 2018. When PayPal moved its European Headquarters to Limexbourg, the company now had a connection to LuxTrust. This is a financial institution that works with both Cambridge Blockchain and the Limexbourg government. This is what caused for PayPal to hear about the blockchain-service and to ultimately invest in them.
Ultimately, the main reason as to why PayPal is investment on Cambridge Blockchain is because the company has millions of users. This is a strategic investment that will help develop high-tech solutions for PayPal in the future.