PayPal Holdings Inc. PYPL Promises to Boost Cryptocurrency Adoption, Focusing on Its PayPal USD PYUSD/USD Stablecoin

Fintech giant PayPal Holdings Inc. (NASDAQ:PYPL) is committed to boosting cryptocurrency adoption, particularly its PayPal USD PYUSD/USD stablecoin, CEO Alex Chriss said Tuesday during the company’s first-quarter earnings call.

"We are making strides and moving quickly to bring the benefits of cryptocurrency and stablecoins to our users," Chriss explained as quoted by Seeking Alpha.

"Last week, we introduced the ability to earn rewards for holding PYUSD. This will increase the adoption and use of digital currencies for everyday commerce, from sending money internationally to making purchases and more."

In terms of PYUSD, Chriss said that the company has been forging stronger ties with cryptocurrency industry behemoths, such as Coinbase Global Inc. (NASDAQ:COIN), to simplify access and usage.

Moreover, PayPal’s strategic move to add PYUSD to the Solana (CRYPTO:SOL) blockchain is seen as an attempt to expand its crypto-related services. This move aligns with the rising dominance of stablecoins in the global financial system, as highlighted by tech investor Chamath Palihapitiya. He noted that the weekly transaction volumes of stablecoins have surpassed that of Visa Inc. (NYSE:V).

"The weekly transaction volumes of stablecoins are now larger than Visa's, which is a staggering statistic that underscores the rapid growth of this asset class," Palihapitiya mentioned.

As of this writing, the stablecoin had a market capitalization of $880 million, ranking it as the sixth-largest cryptocurrency overall.

The company also allows customers to buy and sell cryptocurrencies, such as Bitcoin (BTC) and Ethereum (ETH), and use them for online purchases.

PayPal beat earnings predictions but fell short of revenue expectations for the first quarter.

See Also: SEC Zooms In On Nayib Bukele-Led El Salvador's Crypto Regulation Model