PayPal CEO Dan Schulman thinks blockchain tech is best for identity solutions

In an interview with Fortune, PayPal CEO, Dan Schulman, revealed thoughts on blockchain, Libra and Bitcoin. He says that PayPal is looking into blockchain applications, but the only real solutions he can find are for identity.

Are PayPal and Facebook still friendly?

People have been wondering why PayPal left Facebook‘s Libra Association since their abrupt departure last month. Schulman finally answered the question and in short, there’s no bad blood. PayPal bought into Facebook’s pitch because they liked the idea of financial inclusion. Unfortunately for Facebook, there were roadblocks and things took longer than expected, which turned PayPal off and resulted in their departure.

“It wasn’t an acrimonious divorce or anything like that. It’s just that they will start going down a road that we’re very interested in looking at and monitoring, and maybe later, there are ways we can work together” – Dan Schulman

Is PayPal working on their own blockchain project?

In May, PayPal’s CFO announced that they were working on blockchain projects, but they didn’t say much about it then and can’t really talk about it now either.

What Schulman could clarify is where he thinks blockchain applications can be useful in mainstream finance.

“we think a lot of the neat stuff that can happen on blockchain is around identity”

He didn’t expand upon what identity applications could be useful, but he noted that he couldn’t talk about everything due to competition.

Schulman criticized the value of blockchain payments, saying that if it does save money, it’s a very minimal amount. He also noted that merchants don’t want to accept cryptocurrency as payments because of volatility and cost to exchange for fiat. All merchants want to be in a cash position at the end of the day, and the fees for exchanging crypto to fiat are too high to make sense.

Schulman owns Bitcoin and no other cryptocurrencies

There’s not much to say here. Schulman told Fortune that he owned Bitcoin and nothing else, with no explanation.