PayPal has launched Pay with Crypto and connected crypto, digital wallets, and merchants to reduce transaction fees for cross-border transfers by 90%.
Businesses around the world lose money annually in cross-border fees while navigating a complex banking system to make and accept payments. To tackle this issue, PayPal offers Pay with Crypto to enable instant crypto to stablecoin or fiat conversion.
Reducing costs and expanding global commerce
Businesses, from small to established, face pressure when growing globally due to increased costs for accepting cross-border payments and complex integrations. Pay with Crypto allows businesses to accept crypto payments, increase profit margins, pay lower fees, and get near instant access to proceeds, growing funds stored on PayPal as PYUSD at 4%.
PYUSD is issued by Paxos Trust Company, LLC, a fully chartered limited-purpose trust company, which is licensed to engage in Virtual Currency Business Activity by the New York State Department of Financial Services. Reserves for PYUSD are fully backed by USD deposits, US Treasuries and similar cash equivalents, and it can be bought or sold through PayPal and Venmo at a rate of USD 1.00 per PYUSD.
Pay with Crypto reflects the company’s mission to contribute to the industry’s development by integrating digital currencies in a unified platform that connects fiat and digital payments. It offers users a wider range of payment options and unlocks global growth for merchants.
Supporting transactions in more than 100 cryptocurrencies and wallets such as Coinbase and MetaMask, the new product offers merchants more revenue opportunities and taps into a global base of crypto users. The solution also aims to reduce the transaction cost by up to 90% when compared to international credit card processing.
The move comes as PayPal launched PayPal World, bringing together five digital wallets in a single platform. With this solution, consumers can benefit from access to millions more shops, and pay international businesses using their domestic payment system or wallet of choice with AI agents, as well as transfer money to other users across borders.
