PayPal hits pause on UK crypto purchases starting in October

PayPal says it will work to ensure it is in-line with new regulations from the Financial Conduct Authority

article-image

Ink Drop/Shutterstock modified by Blockworks

share

PayPal will “temporarily pause” the ability for customers in the United Kingdom to buy crypto on its platform starting Oct. 1 as the payments giant works to ensure it follows the new regulations set out by the UK.

PayPal said that the pause is due to the company working to “satisfy new regulatory requirements. PayPal customers who currently hold crypto can keep it on our platform at no charge and are also able to sell their currency at any time.”

“We remain deeply committed to our compliance obligations and PayPal works closely with regulators around the world to adhere to applicable rules and regulations in the markets in which we operate.”

The company, according to a Reuters report, confirmed that it will aim to offer the services again in early 2024.

The halt comes days before the Financial Conduct Authority’s new legislation is enacted on Oct. 8. 

The new rules will allow investors to back out of potential investments in crypto within a timeframe, while also ensuring that there are clear risk warnings. Advertisements will also face a crackdown to ensure they aren’t misleading.

“It is up to people to decide whether they buy crypto, but research shows many regret making a hasty decision,” Sheldon Mills, the FCA’s executive director of consumers and competition, said in a June statement.

The email announcing the change was sent to some UK customers and assured them that their “crypto remains safe” according to screenshots posted online.

Loading Tweet..

PayPal did not immediately respond to a request for comment. The news was first reported by CoinJournal.

PayPal, despite hitting pause on its UK crypto offerings, has been making progress in its crypto offerings in the US. Last week, it announced the launch of a PayPal stablecoin, issued by Paxos Trust Co.

Hardware wallet company Ledger announced early Wednesday that it had teamed up with PayPal, allowing customers to use their PayPal accounts to buy certain cryptos on Ledger Live.

James Cirrone contributed reporting.


Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter.

Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the Forward Guidance newsletter.

Get alpha directly in your inbox with the 0xResearch newsletter — market highlights, charts, degen trade ideas, governance updates, and more.

The Lightspeed newsletter is all things Solana, in your inbox, every day. Subscribe to daily Solana news from Jack Kubinec and Jeff Albus.

Tags

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 18 - 20, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

recent research

dydx unlimited.png

Research

dYdX Unlimited is a revamp to the protocol's design and tokenomics.