PayPal Now Support the Conversion of Over 100 Cryptocurrencies to PYUSD
PayPal has introduced an exciting new payment feature that allows small enterprises to accept numerous cryptocurrencies.
PayPal has rolled out a new payment option that empowers U.S. enterprises to receive payments in more than 100 digital currencies.
To facilitate transactions, purchasers can link their existing cryptocurrency wallets at checkout. PayPal will subsequently convert the cryptocurrency through exchanges such as Coinbase or Uniswap. The assets are initially transformed into PayPal’s stablecoin, PYUSD, and afterward into U.S. dollars for vendors. Previously, PayPal and Coinbase announced a collaboration to provide zero-fee PYUSD conversions.
PayPal Zero-Fee Conversion Rate
The California-based firm, PayPal, announced that the new service will facilitate cross-border trade, enhance merchants’ profit margins, and reduce transaction charges associated with international credit card processing. Vendors will incur a promotional transaction charge of 0.99% during the initial year.
Following the first year, the rate will rise to 1.5%, which is lower than the typical credit card fee of 1.57% applied in 2024. This makes crypto a competitive payment option for small enterprises. Clients can connect their existing cryptocurrency wallets to the checkout to enable their crypto payments.
How the Payment Solution Operates
In a post on X, Alex Chriss, president and CEO of PayPal, said, “Building on our 25+ years in payments, we let users link their wallet, pay with any token, convert it instantly to PYUSD, and deliver USD to merchants in seconds. The result? Merchants pay less in fees and can instantly use funds.”
Alex Chriss further illustrated, asserting that the innovative feature empowers a vendor in Oklahoma to accept cryptocurrency payments from a buyer in Guatemala effortlessly. He pointed out that this demonstrates how the new framework facilitates global transactions utilizing blockchain technology.
The payment powerhouse initially unveiled fundamental cryptocurrency functions in 2020 and subsequently extended them to Venmo. In 2023, the firm introduced PYUSD, which has surged 70% in market valuation this year, reaching $850 million. Initially, the stablecoin encountered resistance from the SEC. Nonetheless, the Commission abandoned its inquiry into PYUSD earlier this year.
The company is also set to roll out the cryptocurrency payment capability to major U.S. and international corporations, although a specific timeline remains undisclosed. This enhancement positions PayPal as a prominent player in the expanding cryptocurrency payment sector.
