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PayPal will let some merchants accept Bitcoin

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PayPal said today that a subset of North American merchants that accept payments online using PayPal can now accept bitcoin as a payment method, too. Bitcoin acceptance will be limited to those merchants that use Paypal to sell digital goods, such as ringtones, games and media.

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These sellers will have to sign up with one of three bitcoin processors — Coinbase, BitPay or GoCoin — and then authorize a connection between the processor and their PayPal merchant account to start accepting the digital currency.

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