PayPal has been expanding its crypto business since opening it to all customers in 2020. Over the last year, it has allowed US clients to purchase crypto and has decreased the restriction for crypto purchases. It has now been reported that PayPal is working on issuing a stablecoin.
PayPal’s iOS application contained references to “PayPal Coin” discovered by developer Steve Moser. Two horizontal lines can be seen in the alleged digital asset’s logo, which resembles that of PayPal. Jose Fernandez da Ponte, PayPal’s executive vice president of crypto and digital currencies, confirmed Steve Moser’s findings after Bloomberg inquired.
PayPal Is Exploring Creating Its Own Stablecoin
“We are exploring a stablecoin,” Fernandez told Bloomberg, adding if or when they decide to proceed, they will operate closely with key regulators. However, a company representative stated that the code Steve discovered was the result of a hackathon, and it’s not considered final. Over the last few years, PayPal has gradually expanded its presence in the cryptocurrency market.
It began facilitating the buying of and then choosing cryptos in late 2020, for instance, and in Mar 2021, it decided to add the “Checkout with Crypto” function, allowing customers to buy items with their tokens.
PayPal Stablecoin on Reddit
User QuazZaro on Reddit said:
“PayPal knows that to stay alive as one of the future’s payment systems it has to dip its feet into the crypto space. All other conventional financial systems have serious flaws”
The firm’s existing cryptocurrency assistance is restricted to Ethereum, Bitcoin, Litecoin, and Bitcoin Cash. According to Moser, the app of Paypal has disclosed that it is trying to support the Neo crypto as well as looking into the possibility of trying to introduce its very own stablecoin.
What Is The Best USD Stablecoin?
A stablecoin is distinguished from those other virtual currencies by the fact that its valuation is supported by a particular asset. Crypto such as Bitcoin may be valued at $47,000 one week & $42,000 the very next; a stablecoin valued at 1 gram of gold a week would still be valued at 1 gram of gold the following week.
Often these stablecoins really aren’t supported by gold. Several of them, such as Tether and USD Coins, are supported by U.S. dollars. According to Bloomberg, PayPal Coin would also be supported by the US dollar, making it much easier for the ordinary PayPal consumer to accept the virtual currency for each and everyday usage.
Can I Buy Bitcoin On PayPal?
Users of Paypal in the U.S. have been capable of paying with bitcoin as well as other cryptocurrencies beginning March 2021. In a home video at the time, the product’s CEO, Dan Schulman, illustrated the straightforward process of online purchasing utilizing crypto. PayPal would not be the 1st tech behemoth to consider creating its own digital products. For instance, Zuckerberg’s Meta (previously known as Facebook) has been working on a stablecoin termed Diem, despite the fact that project manager David Marcus quit the firm in December.