Breaking News: SBF hints at partnership with PayPal reveal: FTX deposits now available via PayPal

Yesterday, the founder of the exchange FTX, SBF, mysteriously posted a photo of PayPal, sparking speculation among many about what new move he might be making. After all, PayPal has been available on FTX's equity token market for quite some time, so what could be the new trick?

In the afternoon of the 2nd, SBF finally revealed the answer: users can now deposit funds into FTX using PayPal.

1) you can now get *instant* fiat deposits on FTX

2) you can now deposit *any currency*, more or less. Paypal converts for you.

3) Paypal charges are fees! If you're doing a large transfer, wires are slower but cheaper.

4) credit card deposits work through it! https://t.co/Al1RtiE1xc

— SBF (@SBF_FTX) March 2, 2021

FTX Allows PayPal as a Deposit Channel

SBF stated that users can now deposit funds instantly to FTX via PayPal, regardless of the amount and currency. However, there will be transaction fees charged by PayPal, which may be more cost-effective for larger amounts.

As shown in the image below, you can already see the option to deposit via PayPal under "Deposit USD".

Maximum Daily Limit of Three Thousand US Dollars

The maximum deposit amount and fees per day will vary based on the user's level and the amount being deposited.

Based on actual tests, depositing $1000 USD incurs a total fee of $29.3 USD with PayPal, while depositing $3000 USD costs $87.3 USD, with fees approximately below 3%. The higher the deposit amount, the lower the fees.

No Withdrawal Support Yet

Having a deposit channel for a crypto exchange is a good start, but as of now, there is no withdrawal option available with PayPal. This is quite understandable, as withdrawals involve higher anti-money laundering risks and will have certain thresholds to meet.