PayPal CEO Dan Schulman Predicts Digital Payments Industry Will Hit $100 Trillion

According to PayPal’s CEO Dan Schulman, the digital payments industry will explode into something quite phenomenal.

Talking to CNBC, the CEO has said, “We live in the space of digital commerce and digital commerce is exploding still around the world. There’s an explosion in digital commerce and we’re riding that wave. What we see is pretty positive.”

He added, “I think the new way of the world going forward is how do companies take the best of their platforms [and] put them together to better serve companies.”

“P2P, or peer-to-peer payments, is exploding in the market. It’s a multi-hundred-billion-dollar marketplace. This will definitely not be a winner take all,” he also said. “I think the two will live side by side and it won’t be a winner take all.”

“It could be, you know, a $100 trillion market,” he remarked in an interview with Wilfred Frost on “Closing Bell” this week.

“That’s sort of the market — total adjustable market — we’re playing into. We may have, like, 1-2 percent share of that market today.

“People are thinking about how can they use technology to better serve customers,” Schulman said. “I think it’s going to be less and less about how does one company hyper-serve customers. I think the new way of the world going forward is how do companies take the best of their platforms [and] put them together to better serve companies.”

“But the real secret to Venmo is that its not just a payment transaction,” Schulman said about its Venmo app. “It really is tying into this desire in the millennial generation to tie into your social network. So its really a social experience.”

PayPal shares have jumped about 13% so far this year.

Disclaimer: We have no position in Paypal Holdings Inc. (NASDAQ: PYPL) and have not been compensated for this article.