PayPal Launches U.S. Dollar Stablecoin
- PayPal USD is fully backed by U.S. dollar deposits, U.S. Treasuries, and similar cash equivalents.
- PayPal USD can be redeemed 1:1 for U.S. dollars.
- PayPal USD aims to bridge the gap between fiat and digital currencies.
- PayPal USD reduces friction for in-experience payments in virtual environments.
- PayPal USD supports the growth of digital payments.
- None.
PayPal USD (PYUSD) is fully backed by
PayPal USD is designed to contribute to the opportunity stablecoins offer for payments and is
Starting today and rolling out in the coming weeks1, eligible
- Transfer PayPal USD between PayPal and compatible external wallets
- Send person-to-person payments using PYUSD
- Fund purchases with PayPal USD by selecting it at checkout2
- Convert any of PayPal's supported cryptocurrencies to and from PayPal USD
"The shift toward digital currencies requires a stable instrument that is both digitally native and easily connected to fiat currency like the
Building the Bridge Between Fiat and Web3 for Consumers, Merchants and Developers
PayPal USD will be available to consumers, merchants and developers to seamlessly connect fiat and digital currencies. As the only stablecoin supported within the PayPal network, PayPal USD leverages PayPal's decades-long experience in payments at scale, combined with the speed, cost and programmability of blockchain protocols. As an ERC-20 token issued on the Ethereum blockchain, PayPal USD will be available to an already large and growing community of external developers, wallets and web3 applications, can be easily adopted by exchanges, and will be deployed to power experiences within the PayPal ecosystem.
PayPal USD is designed to reduce friction for in-experience payments in virtual environments, facilitate fast transfers of value to support friends and family, send remittances or conduct international payments, enable direct flows to developers and creators, and foster the continued expansion into digital assets by the largest brands in the world. Most of the current volume of stablecoins is used in web3-specific environments – PayPal USD will be compatible with that ecosystem from day one and will soon be available on Venmo.
PayPal USD is issued by Paxos Trust Company, a fully licensed limited purpose trust company subject to regulatory oversight by the
Reserves for PayPal USD are fully backed by
Beginning in September 2023, Paxos will publish a public monthly Reserve Report for PayPal USD that outlines the instruments composing the reserves. Paxos will also publish a public third-party attestation of the value of PayPal USD reserve assets. The attestation will be issued by an independent third-party accounting firm and conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants (AICPA).
Focusing on Education, Understanding and Adoption of Digital Currencies
In addition to building products and services that add utility to digital currencies, PayPal is focused on increasing consumer and merchant comprehension of cryptocurrencies, stablecoins and central bank digital currencies (CBDCs), while working closely with regulators as the industry evolves. In addition to offering PayPal USD for
To learn more about PayPal's cryptocurrency services, click here.
About PayPal
PayPal has remained at the forefront of the digital payment revolution for more than 20 years. By leveraging technology to make financial services and commerce more convenient, affordable, and secure, the PayPal platform is empowering hundreds of millions of consumers and merchants in more than 200 markets to join and thrive in the global economy. For more information, visit https://www.paypal.com.
1 PayPal Balance account required. When you buy or sell cryptocurrency, including when you check out with crypto, we will disclose an exchange rate and any fees you will be charged for that transaction. For currencies other than PayPal USD, the exchange rate includes a spread that PayPal earns on each purchase and sale. PayPal USD is not available in
2 PayPal's Checkout with Crypto feature allows customers to convert cryptocurrency to fiat currency at checkout. Transactions are settled in fiat.
Media Relations Contact
Aaron Gould, akgould@paypal.com
mediarelations@paypal.com
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SOURCE PayPal Holdings, Inc.
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