Will PayPal Launch its Own Stablecoin?

PayPal Stablecoin

And rightly so since PayPal absolutely requires an efficient payment system in order to handle its massive daily usage. PayPal’s transaction volume may not be able to rival Tether’s (USDT), which amounts to several hundred billion dollars, but it can certainly boast in terms of its number of transactions. This is because PayPal is one of the most prominent payment processors, used by nearly 400 million people to purchase goods online.

Furthermore, PayPal is notorious for its exorbitant fees. Therefore, if it finds a way to leverage blockchain technology to ease the costs of handling user transactions, then the decision would be a no-brainer.

Moving from a Non-Crypto Model to a Crypto Model

Unfortunately, building the infrastructure would likely prove to be difficult and time-consuming for a non-crypto company, which is why it makes more sense for them to seek out existing solutions and partner with established blockchain companies and organizations. Still, this undertaking takes time, which is likely the reason why the electronic commerce company has not officially made any announcements yet.

Choosing the right platform for a stablecoin would require careful planning and development. Ethereum, in its current state, would likely not be the most optimal blockchain to use. There are other alternatives like Solana, Chromia, etc. but so far only the Avalance team has been in talks with PayPal. Furthermore, no official announcement or confirmation has been made yet.

Last March 8, PayPal announced the complete buyout of Curv, a crypto firm that specializes in multi-party computation (MPC) and cloud-based digital asset security, which would likely aid its stablecoin development. However, PayPal’s on and off ramp solution is still unknown as of now.

Leave a Reply

Your email address will not be published.

Related Articles
Read More

Stacks Opens Door to Developers with Six Week Guided Course

Stacks Foundation is inviting developers to ‘Clarity Universe’. Through this program, the foundation which advocates for a user-owned internet will introduce developers to everything they need to know about the Clarity smart contract language. The course will run for six weeks and has limited entry...
Read More

A Week of Rogues: Bot BJs & The Worst Exchange

Over the course of any given month, a mindless mélange of roguish behaviors debut on the stages of our crypto lifestyle. This week, our days have been awash with crypto rogues—so many we lost count. However, there are a few noteworthy incidents of crypto buffoonery...
Read More

VISA Plans Rollout to Partners

This is not the first time the payment giant is dealing with crypto; however, it is the first crypto-related product launched by Visa. The enterprise has been providing crypto debit and credit cards to the likes of Crypto.com and BlockFi. The latest news from the...