> PayPal Holdings Inc. plans to integrate its stablecoin into more of its products this year in an effort to address all of its merchants’ needs through a single platform.
> PayPal aims to offer its stablecoin, PYUSD, as an option for its more than 20 million small-to-medium sized merchants to pay vendors through its upcoming bill-pay product by the end of this year. The idea is for merchants to invite their vendors into the PayPal network to facilitate easier transactions, according to Michelle Gill, general manager of PayPal’s small business and financial services group.
> “A lot of the payments we’re expecting are going to be cross-border because merchants in the US are seeking to pay vendors and suppliers abroad,” Gill said in an interview with Bloomberg during PayPal’s investor day on Tuesday. “The thesis was: Can we facilitate that on PYUSD rails so as not to have the currency conversion, the friction, as well as time?”
> PayPal completed its first business transaction using PYUSD last year. Stablecoins are currencies designed to track fiat currencies one-to-one. PYUSD is pegged to the US dollar.
> Additionally, PayPal plans to add PYUSD as an option for global payments through Hyperwallet, a business that helps organizations send mass payments to contractors, freelancers or sellers around the world. PayPal acquired Hyperwallet in 2018 for $400 million. It plans to have PYUSD payouts live in the first half of this year. The business will also allow merchants to settle PayPal checkout transactions in cryptocurrencies by the end of 2025.
