Nfts
PayPal ends NFT purchase protections
PayPal announced a policy update that will remove non-fungible tokens (NFTs) from its Buyer Protection and Seller Protection programs starting May 20, 2024.
The change, which was first noticed on the company’s website website on March 21, will affect all NFT transactions, leaving participants without guarantees against fraud and chargebacks.
Previously, PayPal had explored direct sales and holding of NFTs on its platform, even filing a patent related to NFTs in 2022.
The update to PayPal’s protection policies is the latest development in the company’s engagement in the digital asset market.
Despite the economic downturn, PayPal has not completely withdrawn from the cryptocurrency sector; in 2023, it launched PYUSD, a stablecoin pegged to the US dollar.
The payments company’s stablecoin peaked in late February with a market cap of over $300 million, but has since fallen to $200 million.