PayPal says it's 'exploring' creating its own stablecoin – Silicon Valley Business Journal – Silicon Valley Business Journal

PayPal Inc. is considering taking a big step forward with its embrace of cryptocurrencies by “exploring” the creation of its own stablecoin.
The San Jose-based ecommerce giant is mulling creating such a coin — a distinct type of cyptocurrency which derives is value from an underlying external asset like the U.S. dollar rather than being mined, as bitcoin is — nearly a year after it first began accepting cryptocurrency as payment.
“We are exploring a stablecoin; if and when we seek to move forward, we will of course, work closely with relevant regulators,” Jose Fernandez da Ponte, PayPal’s senior vice president of crypto and digital currencies at PayPal, said in a statement to various media outlets on Friday.
Bloomberg was the first to report on the development, which it discovered in PayPal’s app. Here’s more from Bloomberg:
Last March, PayPal launched its Checkout With Crypto feature, which allowed allow the company’s users to pay for purchases with the bitcoin, litecoin, ether or bitcoin cash they’ve stored in their PayPal wallet.
The first person to use that feature was CEO Dan Schulman, who used bitcoin to buy a pair of $299 boots from Bronco Western Wear online.
Schulman told the Business Journal at the time that the company was exploring crypto because “the current financial infrastructure that most of the financial world rides on is antiquated.”
“It’s inefficient. Sometimes it can take days for you to access your money,” Schulman said last year. “If you are lower-income… or underserved by the financial system, the amount of money you spend for basic financial transactions can eat up up to 10% of your disposable income.”
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