American fintech company “PayPal,” at the beginning of the week, on August 7th, announced that it is taking a significant step in the field of cryptocurrencies and has launched its payment instrument called “PayPal USD” (PYUSD). As the name suggests, this cryptocurrency is pegged to the US dollar and falls under the category of stablecoins (cryptocurrencies whose value is pegged to an external asset, such as government-issued currency or gold, in this case, the US dollar). “PayPal USD” will be issued by “Paxos Trust Co” and will be intended for making digital payments as well as transactions within the “Web3” environment.
Is it Paypal Coin or Paypal USD?
There were previous rumors that “PayPal” might release its cryptocurrency called “PayPal Coin.” Although the name is slightly different, the direction of the rumors was accurate. The company informs that “PayPal USD” will soon be available for purchase both in the company’s app and web version. Users will be able to perform all the typical cryptocurrency operations with it – buy, sell, hold, transfer, and exchange for other cryptocurrencies. The company claims that a bit later, “PayPal USD” can be used as a means of payment for various purchases, including within the “Web3” environment.
By launching “PayPal USD,” the company could accelerate its efforts to become a cryptocurrency payment giant. The company has been working towards this goal since 2020 when it started offering transactions with cryptocurrencies. Currently, users in the US and the UK can engage in transactions involving “Bitcoin” and other popular cryptocurrencies. It’s worth noting that currently, “PayPal” services are used by more than 350 million active customers.
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