PayPal CEO announces promise of digital wallet to spur payments

Is there a better way to distribute incentive payments? The issue arose in light of efforts by governments to distribute pandemic care to their citizens-efforts that have often stagnated because of the control of papers and other outdated technologies.

On Wednesday, PayPal Chief Executive dan Shulman proposed using digital wallets to optimize those payments-a process that would not be more efficient but would cut costs for the poorest buyers.

“Imagine that you don’t have to send incentive checks, but send them directly to a digital wallet that you will receive immediately, and you don’t have to go to a check-cashing point and you have to pay a fee for that exchange,” Shulman said at an investor meeting following PayPal’s Q2 earnings.

Shulman also addressed pressure from governments with the goal of creating a digital currency that can be distributed by the Central Bank through crypto-style wallets-and in fact this type of technology is already being used in China.

In the case of the United States, there will be a huge coordinated effort to implement digital wallets, especially in the case of millions of “cashless” Americans who are on the edge of the financial system and rely on places like check-cashing hotspots. But as Schulman points out, the returns can be huge, reducing costs for both Federal and state governments and individuals.

Over the phone, Shulman also decried an outdated system that rich and poor Americans should rely on when moving money between banks.

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“I sent [an electronic transfer] from one bank to another bank the other day and that bank told me that it would take three days to access that money in the EFT I sent. This is madness. It should be immediately, ” he said.

Shulman is not the first person to talk about the banking situation in the US, as many in the cryptocurrency community have long noted how blockchain-based money transfers are affected

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