Guide to PayPal: A Brief History
Welcome back to our Guide to PayPal! If you haven't heard, we're taking an in-depth look into the online payment behemoth, Paypal. Following our Introduction to PayPal, today we'll be looking at the history of PayPal, how it became so successful, and what it's future moves may be. With over 150 million active accounts and processing $61 billion in transactions, we'll give you an idea of how PayPal's growth makes it one of the best casino depositing and withdrawing methods around.
In 2002, eBay acquired PayPal, paying £1.3 billion for the then relatively small company. However late last year, it was released that PayPal will be splitting from eBay. The transitional period is expected to be completed by the end of the year, making PayPal a separate business. In a press release they explained their separation, stating 'the industry landscape is changing, and each business faces different competitive opportunities and challenges.'
They maintained that 'PayPal will be sharper and stronger, and more focused and competitive' as a leading, standalone company. Could Apple Pay Be Big Competition? It's been suggested that this big split could be due to Apple's announcement that it plans to roll out it's own online payments system, Apple Pay.
Whilst PayPal have fended off many competitors in the past, the prolific success of Apple has the possibility of changing the entire way mobile payments are made. The split, therefore, allows PayPal the focus needed to keep one step ahead of Apple. One reason eBay didn't mention, is that by separating, they've effectively put PayPal up for sale. Whilst we're certain a lot of big players would love to bid, the most obvious contender is Google.
With their existing Google Wallet failing to achieve it's expected success, this would be a good option for them, given the impeding Apple competition. Nothing's certain at the moment, but with the separation well on it's way, it's likely to become a lot clearer very soon. Rest assured we'll have those updates for you, so watch this space!
Casinos & PayPal
Bet365 is just one of the big names who accept PayPal. PayPal's success means that it's become a top choice as a depositing and withdrawing method for online casinos. Big names like William Hill & 888 all currently accept PayPal deposits, to name a few. The growing popularity of PayPal as a payment method for casinos is due to the emphasis PayPal place on security, and ease of use. Much like everything else in PayPal's future, their predominance as a payment method can only grow.
PayPal seem pretty secretive about what future plans they have up their sleeves. However, after obtaining a European banking license in 2007 and bringing out a prepaid debit card, it seems their sights are firmly set on making the withdrawing process faster and easier for customers. CEO Dan Schulman reported that "about 40% of the money going through our wallets is in cheques or cash.
By the end of 2017 that will go to 25%… Mobile is driving this change.” PayPal have been making moves which demonstrate their interest in the mobile world for years, but an acceleration in this area seems imminent. PayPal acquired the mobile wallet startup Paydiant back in March, which bodes well for how PayPal will cope with the what big changes could be happening to the mobile payment market in the near future.