PayPal's stablecoin - statistics & facts
PayPal launched its digital token with a peg to the dollar - or stablecoin - on August 7, 2023, becoming the first fintech from the United States to do so. The move sparked immediate curiosity in the crypto community as PayPal ranks among the world's largest fintechs, potentially signaling a breakthrough for blockchain technology in payments. Stablecoins get their backing from a commodity such as gold or fiat currency like the U.S. dollar. This way, the digital coin keeps a consistent (stable) price. Cryptocurrency is more volatile as value comes from coin supply and investor demand. PayPal joins a market that is substantially smaller in market cap than that of Bitcoin, and where established stablecoins like Tether (USDT) and USC Coin (USDC) dominate the market. Nevertheless, PayPal's senior vice president and crypto exec observed that "Stablecoins are something that we cannot just sit out." Why does PayPal say this? And is this indeed a potential breakthrough for blockchain-based payments?
