Mesh, a U.S. fintech company backed by Paypal Ventures, has partnered with Italian digital asset wallet Conio to enhance cryptocurrency exchange access for Conio’s 430,000 customers. This collaboration allows users to access 10 leading crypto exchanges, including Binance and Coinbase, through the Conio app, and seamlessly transfer bitcoin purchases directly into their Conio wallets. By […]
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Paypal Expands PYUSD to Solana Blockchain for Better Payment Solutions
Payments giant Paypal has made Paypal USD (PYUSD) available on the Solana blockchain, making the stablecoin “faster and cheaper to use.” Platforms like Crypto.com, Phantom, and Paxos are among the first to offer PYUSD on Solana, alongside Paypal and Venmo wallets. Paypal Makes PYUSD Available on Solana Blockchain Paypal Holdings Inc. (Nasdaq: PYPL) announced at […]
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Paypal Partnership Allows US-Based Moonpay Users to Buy Crypto With Their Paypal Accounts
The digital asset trading platform, Moonpay, announced on May 2 that it had formed a partnership with Paypal. This partnership will allow U.S. users to purchase cryptocurrency using their Paypal accounts. Users of Moonpay can benefit from the security offered by Paypal, a payment provider known for sharing comprehensive financial information about transactions. Moonpay Users […]
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Paypal Promotes Low-Carbon Bitcoin Mining With New Research Paper
Paypal, in collaboration with Energy Web and DMG Blockchain Solutions Inc., has introduced an approach to promote environmentally sustainable practices in bitcoin mining. This research-backed initiative encourages miners to utilize low-carbon energy sources by offering financial incentives. Paypal Blockchain Research Team Advocates for Low-Carbon Mining With Financial Incentives The rise of the Bitcoin network has […]
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Paypal Integrates PYUSD for International Transfers on Xoom
On Thursday, Paypal disclosed that users of Xoom now have the capability to utilize the company’s stablecoin PYUSD for conducting international cross-border transactions. Beginning on April 4, this feature was made accessible to users in the U.S., enabling them to transfer PYUSD to beneficiaries across roughly 160 countries worldwide. Paypal’s Xoom Adds PYUSD Cross-Border Transfers […]
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PayPal Incentivizing People To Provide PYUSD Liquidity On Curve, CRV To The Moon?
In a landmark move, PayPal, the payment processor, has incentivized PYUSD liquidity on Curve Finance, the world’s largest stablecoin decentralized exchange (DEX) by trading volume.
PayPal Incentivizing PYUSD Liquidity Via Curve
This development, which Stake DAO first captured on January 10, sent shockwaves through the crypto community, with many experts predicting that Curve is on its way to becoming the go-to platform for institutional and corporate trading of on-chain stablecoins.
PayPal’s decision to incentivize PYUSD liquidity on Curve is a significant step forward for adopting stablecoins and promoting decentralized finance (DeFi) protocols in general. By providing attractive rewards for liquidity providers, PayPal is signaling its commitment to the growth of this rapidly evolving sector.
As part of its incentive program, PayPal has deposited vote incentives worth 2k in PYUSD on Votemarket, a vote incentive platform. These rewards are designed to encourage users to increase their liquidity on Curve. In addition, PayPal will offer direct rewards to liquidity providers distributed in PYUSD, with an APY of 11%.
Observers note that the ,000 allocated weekly to Votemarket could direct at least k in CRV, a governance token on Curve Finance, to the PYUSD-USDC pool.
Institutional Endorsement: Will CRV Rally Above .75?
With PayPal’s endorsement, Curve may attract even more liquidity and cement its position as a leader in on-chain stablecoin trading. It is unclear whether other Wall Street heavyweights on the wings are ready to enhance liquidity via Curve or other DeFi protocols. Their involvement will validate Curve and DeFi’s potential, accelerating adoption among institutional investors.
According to DeFiLlama data on January 10, Curve has a total value locked (TVL) of .82 billion, with a big chunk of this in Ethereum. The protocol has deployed in Ethereum layer-2s and other Ethereum Virtual Machine (EVM) compatible platforms, including Arbitrum.
For now, CRV, the native token of Curve, remains under pressure. Looking at the performance in the daily chart, the token is down 30% from recent December peaks, sliding when writing.
From price technical analysis, any break above .75 could spark more demand, lifting the token to new 2024 highs. Presently, CRV is trending inside a bear candlestick, signaling general weakness. In the short term, sharp losses below .45 might trigger a sell-off. CRV risks dropping to September 2023 lows of around .40 in that case.
Paypal and First Digital Stablecoins Dominate in December as Binance USD Heads Toward Extinction
The leading stablecoins, in terms of market capitalization, concluded 2023 with a combined value of around 1.69 billion, yet only two of the top ten experienced increases in 30-day supply. Data reveals that tether, the leading U.S. dollar-pegged crypto asset, observed a 2.5% uptick in its supply, while the newcomer, first digital usd, enjoyed a substantial 85.7% rise.
Stablecoin Market Sees Varied Performances Last Month
Although the stablecoin market significantly declined since 2022, it ascended once more towards the close of 2023, reaching heights unseen since last May. Yet, among the top ten stablecoins by market capitalization, only two witnessed an uptick in supply over the last 30 days. From Dec. 1, 2023, to Jan. 1, 2024, tether (USDT), the largest stablecoin by market valuation, experienced a 2.5% boost in supply. Presently, USDT holds a market capitalization of .86 billion.
USDC experienced a slight 0.2% dip, while DAI encountered a 1.7% decline. The greenback-pegged trueusd (TUSD) underwent a 22% contraction in its supply during December. In contrast, the fifth-ranked stablecoin, first digital usd (FDUSD), surged by 85.7%, currently boasting a market valuation of .8 billion. BUSD noted a supply reduction of approximately 39% last month, with its market cap now hovering at just over billion. Additionally, Tron’s USDD also saw a downtick, with 1.3% of its total supply diminishing in the past 30 days.
FRAX and USDP experienced respective declines ranging from 3.2% to 16.7%. Meanwhile, Paypal’s new stablecoin PYUSD notched a significant 68.8% increase, surpassing liquity usd (LUSD) this month. As of Jan. 1, PYUSD’s total supply exceeded 264 million units. In the last 24 hours, the global trade volume has hovered around billion, with stablecoins making up over billion of that activity. This implies that for every ten trades, stablecoins are used in more than six.
In the past month, numerous stablecoin supplies have seen a contraction, yet others have marked considerable growth, forging new paths in the crypto economy. PYUSD, introduced by a behemoth in the payments sector Paypal, stands in contrast to the emerging yet rapidly growing FDUSD, which has swelled impressively in size throughout the end of 2023. Additionally, even after shedding a notable portion of its supply over the preceding year, BUSD continues to maintain strong daily trading volumes.
What do you think about the stablecoin market action in December? Share your thoughts and opinions about this subject in the comments section below.
Paypal Faces SEC Scrutiny Over New Stablecoin PYUSD, Cooperates With Document Production Request
After releasing its new stablecoin PYUSD, the payments giant Paypal disclosed that the U.S. Securities and Exchange Commission (SEC) subpoenaed the company concerning the stablecoin. Paypal stated in its Form 10-Q for the third fiscal quarter that it had been asked to produce documents for the SEC and is “cooperating” with the securities regulator.
Paypal Subpoenaed by SEC Over PYUSD Token
Paypal is engaged with the SEC in matters related to its stablecoin asset PYUSD. This information came to light in the company’s latest financial disclosure, showcasing the firm’s third-quarter earnings.
“On November 1, 2023, we received a subpoena from the U.S. SEC Division of Enforcement relating to Paypal USD stablecoin,” the filing notes. “The subpoena requests the production of documents. We are cooperating with the SEC in connection with this request.”
The filing also notes that Paypal allows its customers to buy, hold, sell, convert, receive, and send bitcoin, ethereum, bitcoin cash, litecoin, and the PYUSD stablecoin. Additionally, the document details that in August 2023, Paypal partnered with the third-party issuer Paxos to issue PYUSD, subsequently launching it for Venmo customers in September 2023.
“We have selected custodian partners and the PYUSD Issuer, and may in the future select additional custodian partners and stablecoin issuing entities, that are subject to regulatory oversight, capital requirements, maintenance of audit and compliance industry certifications, and cybersecurity procedures and policies,” the 10-Q filing adds.
The Paypal earnings report follows the company receiving approval from the Financial Conduct Authority in the United Kingdom. After recently pausing crypto purchases in the U.K., it is expected that Paypal will resume services following the regulatory approval. However, the company may not be able to add new customers moving forward.
What do you think about Paypal getting probed by the SEC over its new stablecoin PYUSD? Share your thoughts and opinions about this subject in the comments section below.
Paypal Achieves FCA Registration in the UK, Paving the Way for Crypto Services Resumption in 2024
The payments giant Paypal has successfully achieved registration with the Financial Conduct Authority (FCA) in the United Kingdom, a fact verified by the FCA’s website on October 31. This move comes shortly after Paypal’s temporary cessation of crypto purchases within the U.K., although the company pledged to reinstate these services at the start of 2024.
FCA Greenlights Paypal to Engage in ‘Certain’ Crypto Asset-Related Activities
Paypal UK Limited is now listed on the FCA’s web registry, having received authorization to engage in “certain” crypto asset-related activities. This development is in sync with the U.K.’s recent extensive revamp of regulatory policies affecting the crypto industry. Just two days earlier, the U.K.’s Treasury introduced its detailed framework, titled “Future financial services regulatory regime for crypto assets.”
This crucial document from His Majesty’s Treasury sets forth the regulatory expectations for crypto asset issuance, disclosures, and the operations of crypto asset trading platforms. It emphasizes the imperative for any entity providing crypto services to secure FCA approval and to comply with rigorous anti-money laundering (AML) and know-your-customer (KYC) protocols.
In a separate release, the FCA and Treasury have presented the Stablecoins Update, mandating that any financial service entity interacting with crypto assets must operate within the regulatory boundaries established by the Financial Services and Markets Act of the U.K. Likely anticipating this new regulatory environment, Paypal temporarily put its crypto asset purchasing services on hold in August.
In the meantime, other firms in the crypto asset realm have opted for diverse strategies, ranging from halting the acquisition of new customers to exiting the U.K. market altogether. Consequently, due to these extensive regulatory shifts, Paypal may also find itself needing to restrict access to new customers and could potentially undergo changes in its operational framework in comparison to the previous regulatory scenario.
What do you think about Paypal’s FCA approval? Share your thoughts and opinions about this subject in the comments section below.
Paypal Selects Crypto.com as ‘Preferred Exchange’ for PYUSD Stablecoin
Paypal has chosen Crypto.com as the “preferred exchange” for its recently launched stablecoin issued by the blockchain company Paxos. The partnership with the trading platform seeks to prop the U.S. dollar-pegged cryptocurrency which has already listed the coin and provides liquidity for its market.
Crypto.com Joins Payments Giant Paypal and Fintech Firm Paxos to ‘Further Enable Paypal USD’
Crypto.com announced a partnership with Paypal that aims to establish the digital assets exchange as the preferred trading platform for the online payment provider’s new paypal usd (PYUSD) stablecoin. In a press release, the crypto firm highlighted it has already listed the new currency and is currently the exchange with the deepest liquidity for its trading pairs.
Paypal introduced the stablecoin in early August with the stated goal to eventually making it an integral part of its payments infrastructure. PYUSD is issued by the New York-based Paxos Trust Company on the Ethereum blockchain and is reportedly redeemable 1:1 for U.S. dollars, backed by dollar deposits, short-term Treasury securities, and comparable assets.
“PayPal has been a true pioneer in the digital commerce evolution and Paxos is a market-leading issuer of stablecoins. We are tremendously excited to team up with them to collectively advance the crypto frontier,” said Crypto.com’s Senior Vice President and Head of Payment Partnerships Joe Anzures. He elaborated:
Connecting our more than 80 million users to the latest crypto innovations, as well as supporting Paypal’s global network of consumers and merchants, will be pivotal in our continued pursuit of crypto to every wallet.
The partnership expands the integration between the financial giant and the crypto exchange which offers users of its Visa Card the option to top it up with Paypal. Furthermore, PYUSD deposits are already available to Crypto.com retail users via the platform’s app and the exchange promises trading features in the near future.
PYUSD isn’t Paypal’s only initiative in the crypto space. Last year, the payment processor allowed users to send and receive popular cryptocurrencies like bitcoin and ether. Media reports unveiled that the company has filed a patent application for a non-fungible token (NFT) marketplace this year. Earlier this month, Paypal announced it’s introducing on- and off-ramps to facilitate crypto payments for Web3 platforms such as digital wallets and decentralized apps.
Do you expect Paypal to dive even deeper into the crypto space? Tell us in the comments section below.