Paypal is a well-known global payment platform that recently launched its own stablecoin called Paypal USD (PYUSD). In the midst of the US government’s continuing crypto crackdown, it is the first financial firm to introduce a stablecoin.
This stablecoin is backed by US dollars, short-term Treasury bills, and other valuable assets. PYUSD is built on the Ethereum Blockchain through a partnership between Paypal and Paxos.
PYUSD will soon be accessible to Paypal users in the US. This stablecoin will enable seamless transactions for users between PayPal and other supported external wallets, make payments easy, and enable the conversion of crypto supported by PayPal.
The Firm also paused its stablecoin project in February due to concerns about regulatory scrutiny. Later, the company decided to keep working on it and follow the regulations, which resulted in the successful launch of PYUSD.
PayPal intends to reach more users with the launch of its stablecoin. PYUSD will enable access to developers, wallets, and Web3 apps. The main focus of PYUSD is to get listed on major crypto exchanges.
PayPal started working on enabling crypto services in 2021, including buying, selling, and hodling. In 2022, PayPal will upgrade itself to be Web3-compatible.
With the launch of stablecoin by PayPal on the Ethereum blockchain, it will increase the number of users. Etherscan reports that Ethereum currently has daily active users between 3,00,000 and 4,00,000. According to the experts, Paypal has approximately 430 million active users, which will add users to Ethereum.
Paypal aims to expand and innovate more in the Web3 industry. The firm will roll out its first stablecoin on its platform and then on its subsidiary Venmo app.