How PayPal is driving crypto payments into the mainstream

Key Points

1. In October 2020, PayPal allowed U.S. users to buy, hold, and sell Bitcoin, Ethereum, Litecoin, and Bitcoin Cash, capitalizing on the crypto market surge and demand from younger users.

2. PayPal launched its own stablecoin, PYUSD, in August 2023, backed by cash and U.S. government bonds, to facilitate seamless crypto transactions within its ecosystem.

3. The company expanded its 'Pay with Crypto' feature, enabling U.S. merchants to accept over 100 cryptocurrencies, reducing cross-border fees and speeding up transactions.

4. PayPal faces regulatory scrutiny in the U.S. and U.K., with agencies like the SEC, CFTC, and FCA overseeing different aspects of crypto activities, requiring compliance with AML and other regulations.

5. PayPal is exploring NFTs, DeFi, and digital identity solutions, including an NFT marketplace and integrating PYUSD with DeFi platforms, to position itself as a key player in the Web3 economy.