PayPal, the popular multinational financial technology company has reportedly expressed interest in “exploring” the prospect of launching its own stablecoin, a cryptocurrency pegged to the value of fiat or a reserve asset such as gold, silver, etc. The indication came after developer Steve Moser discovered references to something called “PayPal Coin” in the company’s iOS app, which also featured the PayPal logo. Stablecoins have grown in popularity for making transfers between exchanges easier and crypto use in day-to-day trading.
Following Moser’s findings, Bloomberg said in a report that Jose Fernandez da Ponte, PayPal’s senior vice president of crypto and digital currencies, confirmed the findings.
“We are investigating a stablecoin,” Bloomberg quoted Fernandez da Ponte as saying. “If and when we want to make progress, we will of course work closely with relevant regulators.” But a company spokesperson also said the code Moser found was the result of a hackathon, so it’s not considered final.
PayPal started facilitating the purchase of select cryptocurrencies in late 2020 and added a “Checkout with Crypto” feature in early 2021 to let users buy things with their digital assets.
The company’s existing support for cryptocurrencies is limited to Bitcoin, Bitcoin Cash, Litecoin, and Ether. However, Moser says that PayPal’s app has also revealed that it is working to support the Neo cryptocurrency, in addition to exploring the possibility of introducing its own stablecoin.
During an earnings call last year, the digital payments provider also outlined plans for a dedicated business unit for PayPal’s crypto ambitions, which include working with regulators outside the US market to accept new forms of digital currencies.
PayPal says it has more than 375 million daily active users and 30 million merchants on the platform. While the company does not charge for holding cryptocurrency, it does charge users for transactions and currency conversions.
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