Why did PayPal launch a US dollar stablecoin?

Payments firm PayPal on Monday launched a U.S. dollar stablecoin in a bid to boost the adoption of digital currencies for payments and transfers. The stablecoin, known as PayPal USD, is backed by U.S. dollar deposits and short-term U.S Treasuries, and will be issued by Paxos Trust Co, according to the company. PayPal's shares rose 1.4% on Monday.

Can regulated stablecoins transform payments in Web3 and digitally native environments?

SAN JOSE, Calif., Aug. 7, 2023 / PRNewswire / -- Fully-backed, regulated stablecoins have the potential to transform payments in web3 and digitally native environments. To address that emerging potential, PayPal (NASDAQ: PYPL) today announced the launch of a U.S. dollar-denominated stablecoin, PayPal USD (PYUSD).

What is a stablecoin?

Stablecoins are cryptocurrencies backed by fiat currencies and are typically more, well, stable than their decentralized counterparts. Meta (formerly Facebook) has big crypto plans, as well, and was supposed to launch a digital wallet that supports its own stablecoin called Diem.

Can you buy PayPal's New stablecoin on uniswap?

Several fake crypto tokens using the PYUSD name have already popped up on Uniswap, a decentralized exchange, in an effort to cash in on the hype surrounding PayPal’s new stablecoin, according to Decrypt. So far, PayPal says the only way to buy its stablecoin is through the company itself.