Visa Cryptocurrency Stock

PayPal Explores Launch of Own Stablecoin in Crypto Push

PayPal Explores Launch of Own Stablecoin in Crypto Push
Written by publishing team

(Bloomberg) — PayPal Holdings Inc. is exploring. Its stablecoin was launched as part of a crypto payment, according to the company, which confirmed the development after discovering evidence of the move within its iPhone app.

Most Read From Bloomberg

“We are exploring a stablecoin,” Jose Fernandez da Ponte, senior vice president of crypto and digital currencies at PayPal, said in a statement to Bloomberg News, if and when we seek to move forward, we will of course work closely with the relevant regulators. Stablecoins are backed and priced cryptocurrencies. The value of a current currency or commodity.

Evidence of the company’s exploration of building a stablecoin for the first time in the PayPal app was discovered by developer Steve Moser and shared with Bloomberg. Hidden icons and images show the work on the so-called “PayPal Currency”. The symbol indicates that such a currency will be backed by US dollars.

A PayPal spokeswoman said that the images and tokens inside the PayPal app originated from a recent internal hackathon event — an event where engineers collaborate to explore and build new products you might never see a public release — within the company’s blockchain, its crypto and digital currency division. This means that the final logo, name and features can change into the overall product look.

PayPal has been involved in a major crypto effort in recent months, launching new features to buy and hold digital currencies as well as the ability to pay for purchases with cash.

On the Unchained podcast, Fernandez da Ponte recently stated that the company “has not yet seen a stablecoin out there that has been set up for the purpose of payment.” To use PayPal, the stablecoin will need to support payments at scale and have security, he said.

“There should be clarification on the regulations, regulatory frameworks and the type of licenses required in this area,” he said.

PayPal isn’t the first tech giant to explore launching its own currency. Meta Platforms Inc. helps. , formerly known as Facebook, is developing a stablecoin called Diem, while Visa Inc. In recent months, a stable currency backed by US dollars to settle a transaction with the network.

Most Read Bloomberg Businessweek

© Bloomberg LP 2022

About the author

publishing team