Big and renowned companies are always keen to incorporate innovation in every move they make. In order to follow the trend, Paypal has also launched an in-house blockchain platform. Their aim is to promote the technology while keeping reward distribution transparent.
Please note that this blockchain solution will feature a native token. However, its nature is quite different as you cannot redeem it for any other currency. Well, that’s how it is for now. The number of tokens in your wallet will determine the extent of perks you could avail.
How do they plan to execute it?
As discussed above, this token will only allow the management to decide your perks and it cannot be traded outside the network. In order to give Paypal’s blockchain-based reward system a start, the company will distribute an initial amount of tokens among all employees.
What’s more exciting is that a small team has built this enterprise-level solution in about six months at Paypal’s San Jose facility.
Paypal has always been against the use of crypto. Probably because of the fears regarding the loss of customer base. But their recent decision has proved that the pace of technological development cannot be ignored. You got to adapt!
A couple of months ago, many companies approached Paypal for offers related to a crypto acceptance system. But they refused. Which was understandable at that time as the payment processor takes a significant time for transfers and crypto is quite volatile.
Even yet, Paypal’s blockchain solution for internal rewards is a very limited implementation of the technology. They have not even announced as to whether they are seeking any partnerships to extend the usability. It seems as if they are only focusing on making their staff accustomed to the technology. However, we cannot ignore that Paypal has achieved a milestone with the launch of a token, despite huge reservations in the beginning.