Bitcoin Forum

In critical news Today, PayPal decided to launch its stablecoin.


PayPal becomes first major fintech to launch dollar-backed stablecoin (https://www.reuters.com/technology/paypal-launches-stablecoin-crypto-push-2023-08-07/#:~:text=PayPal%20becomes%20first%20major%20fintech%20to%20launch%20dollar%2Dbacked%20stablecoin,-By%20Jaiveer%20Shekhawat&text=Aug%207%20(Reuters)%20%2D%20Payments,currencies%20for%20payments%20and%20transfers.)


It's an important news to me.
First, because this kind of issuance by private money has already been frowned upon by regulators, think about Meta so that it can be an acid test for regulators: has the stance changed since the Meta experiment?

Secondly, with high-interest rates, collecting liquidity for free and investing in Treasuries can boost PayPal revenues.

This is the contract.

https://talkimg.com/images/2023/08/08/GkYZ2.png (https://etherscan.io/token/0x6c3ea9036406852006290770bedfcaba0e23a0e8#balances)


Of course, this is not an isolated venture of PayPal in cryptocurrencies, as they have been quite active in the past, as you may recall.

 PayPal to allow cryptocurrency buying, selling and shopping on its network (https://bitcointalk.org/index.php?topic=5283461)

I am on the move today; I will update this OP with more relevant information later.

Tether guys not happy!  ;D


ERC-20 token, how nice ./s

Long term this is going to be interesting, normally I would see it replacing usdt with ease but leave it to Paypal to screw up even the basics, they have a huge advantage in userbase and real-world application but this whole thing could easily fail to gain momentum.


They won't care that much.
Facebook fucked up with Libra by trying to make it a global currency and them acting like an international central bank, everyone was afraid it would end up with some crypto coin in their country that claims to be stable, backed by true reserve, and in reality outside their jurisdiction.
This is just Paypal money, backed by usd, running in usd and probably already doing everything under their supervision.

A moment of humor, from reality, and on a related topic:
Justin Sun, the owner of Huobi Bankrupt (https://t.me/c/1597252347/4025), offered Paypal to launch a PYUSD stable on the TRON network.

Paypal is lucky for scam offers  ;D  After all, PYUSD was supposed to be released back in 2022 on Solana with the support of FTX (https://t.me/c/1597252347/2561).

It needs further investigation, but apparently, this is the token:

https://talkimg.com/images/2023/08/08/GkYZ2.png (https://etherscan.io/token/0x6c3ea9036406852006290770bedfcaba0e23a0e8#balances)

There are many fake versions, but this one appears to be held at an address labelled as Paxos.


PayPal entered the stablecoin market.
Paolo Ardoino is not impressed:

https://www.talkimg.com/images/2023/08/08/GkyBP.jpeg
 (https://twitter.com/paoloardoino/status/1688567791350104064?s=46&t=ybCp3ydjDJA_wR_uVxrEgA)
I easily can see why that: I guess targeted markets are totally different: Traders for USDT and casual holders and spenders for Py USD

The key advantage of PayPal's solution is that it is a stable, well-established, international company with good status and market capitalization. Behind which there is history, trust, technology, and the largest payment system ! All together adds weight to PayPal, and at the same time, hopefully, will provide a really secured, not subject to speculative and illegal influences, stablecoin for the crypto market ! Plus, PREPARATELY, PayPal also has plans to make a bridge between crypto and fiat, through the PayPal platform, which will be very convenient and will attract more PayPal users.

 This is a welcome development for PayPal and this stablecoin can be redeemed for US dollars at any given time. Also this would be used to facilitate the easy flow of buying and selling of other crypto currencies offered on the platform.
But investing in crytocurrencies via the platform is not such a good idea because PayPal never gives you the private key but rather prefers to keep it, making it difficult for the user to spend or transfer the funds off it's platform.

I rejoice with the OP but have mixed feelings about this since it's a welcome development but nothing new as people are already manoeuvring their way to exchange their coins for USD and vice versa without the involvement of PayPal and this could continue without them being missed. This is for their own (Paypal) business because of the dominance of crypto in the financial system. As it is, the stablecoin is better guaranteed in price, so they have little or nothing to lose.

But I pity those who Paypal would seize their USDT/USD assets just like the noncustodial wallets, if your USDT is big, just know that you might answer queries for your own money, this is nonsense. Paypal can do and undo and does not have that integrity online, especially with non-US users.

Good luck to those who will risk this, I can never be a party to it, not even for business.

I have not used PayPal however with the feedbacks I have read on social media platforms, they do not seem to be in the good light of the public due to their terms of service, of fining customers $2500 for saying things that they do not agree with. They deducted this money from their bank account. Some old customers are saying if they did this to them and so why should they trust them with their newly launched stablecoin? Well, as much as this sounds good, I think that the US regulators may in the future come for them just as they did with UDSC and Binance USD because they don't want on-shore stable coin.

Finally, ;D something that can beat USDT is unleashed in crypto world, many aren't going to be happy about this, and that includes the Tether guys, I think many funds will leave USDT at this point and swim into Paypal new stable coin.

It looks like a good news, this could be the bridge between biggest payment systems in the world and crypto space at last, I had this dream in 2019 but it failed, lets hope this one will kick off well.

Maybe this will make payment option on online shopping more easier, because in my county I still have to get a virtual dollar card to shop on online marketplace and it sucks so bad, maybe this is the begging of the solution.

Wasn't there something in the contract that allowed them to freeze wallets and remove funds if they deemed fit? Not sure how true it is as I only saw it floating about on Twitter, didn't read into it yet

Twitter is mad at the following:

https://www.talkimg.com/images/2023/08/08/GyYrG.jpeg

Apparently, in PayPal USD the issuer can enter an “asset protection mode” and “block” and “seize” assets.
In addition to that it can raise the max issued limit without any problems.

A lot of criticism about these features: “Bitcoin has fixed max issuance”, “Not your Keys, not your coins", "transaction censorship!" "centralisation attack vector!"


Well... what did you expect?
If PayPal just wanted a cheap, reliable, censorship-resistant way of allowing their customer to transfer economic value, they would have implemented... Lightning.

Nice try PayPal.

With Lightning they wouldn't be able to control the money, and it would be much more difficult to profit from other people's money.

PayPal is not your pal.

--Knight Hider

Indeed, it is a significant development in the financial and digital payment landscape. Backed entirely by fiat currencies, this stable coin signifies substantial step forward to gain confidence and support of investors. As Paypal holds a prominent position within the  landscape of payment system, its active participation in crypto currencies arena could potentially accelerate the widespread adoption of cryptocurrencies.

The big thing is that unlike a lot of other stablecoin issuers PayPal is a single public company that does have a lot of audits, and a lot to loose if they try and scam.

They also have KYC for just about everyone who has ever used them. So, although a lot of people who would not want to give their docs to other places already gave it to PP decades ago.

Still not going to use it, but I can see it's appeal.

As for the ability to block things, other stablecoins do it too so not much different then the others.

-Dave

Looking back, the idea of PayPal embracing crypto felt distant. Now, seeing their acceptance and even launching their own, it's a positive shift. With current developments, it seems the market is gearing up for a bullish run. Exciting times ahead!

I have not used Paypal in my life, and I do not think about using it, frankly, because according to what I note from the experiences of others, Paypal is not at all lenient with regard to cryptocurrencies and its terms of use are not available to everyone. In this same vision, I would like to ask the question, why did Paypal take this step and how can users benefit from it? As far as I know, Paypal does not care much about the privacy of users, and it is not one of its priorities to enter the cryptocurrencies market. Also, the question comes to my mind, why did they chose the erc20 option on Ethereum, and will this currency be traded on cryptocurrency platforms, or will it be a private currency? We know very well that Paypal can track the sources of deposits, and we do not know if it will accept deposits from trading platforms directly.

It's PayPal, almost everyone is using this service and they also entrust their dollar to Paypal, what difference doesn't it make if they block someone's address? They are known to be very strict right from day one, any human complaining about this now is stupid, this is a stablecoin anyway, not a new type of Bitcoin.

The biggest stablecoins in crypto are all centralized stable coins and people still use them, USDT freezes addresses too, so I am going to support this stable coin from Paypal, I don't see any difference between this and others.

I believe the current smart contract is much harsh because it will burn the frozen asset which means it’s not recoverable while frozen paypal account can be recover by followinf the help center resolution. Owning the pyUSD especially those whale will need to think twice because Paypal can freeze their assets and burns it.

I'm not sure how will Paypal deal with recovery on burn tokens but it's worst if the owner doesn't recover it.

Well, you do realize that PayPal is a fully "official" payment system, plus a high-tech one, and is obliged to comply with ALL legislation. Including the possibility of blocking assets, as it is now with accounts and accounts in the system. There is an assumption - that in this stablecoin will be realized some mechanisms from the CDBC concept. What is this about ? It means that in all CDBC implementations there is a mechanism of total control and CENTRALIZED MANAGEMENT of accounts. I.e. if a "complaint" comes in, the wallet/transaction, as if "decentralized", will be suddenly blocked.  This is not some "hidden mechanism", it is a requirement of regulators and legal framework, realized in the form of blockchain technology.

I'd just like to say Paypal sucks ass and fuck them up & down and all around.  If they fall flat on their face with this, I hope it hurts them financially, and particularly the executive officers.  Oh, and whoever they hired in their customer service department, because that bunch of clowns should be fired ASAP.

But wow, I do see the similarities between this and Libra, but was Libra supposed to be an ERC-20 token or its own coin and blockchain?  I don't remember and honestly don't care, because they can go eat a D as well.  If Paypal says they're going to integrate crypto payments into their system (aside from their own stablecoin), that's when the bright red warning flags start popping up.  Anyone using bitcoin, doge, ltc, whatever through Paypal is going to have all of their transactions tracked for infinity.  To say Paypal is in bed with the US government would be an understatement.  More apt would be to say that they have the wildest bedroom kinks and crank out sex tapes on a constant basis.

Thanks for posting this, OP.  I'd be in a crypto news black hole if it weren't for this forum.

Yes, this is very positive news.  The new stablecoin is a token in the Ethereum cryptocurrency network.  This fact can increase the value and price of this cryptocurrency.  At the same time, the Ethereum cryptocurrency is the second coin in terms of capitalization. 

The growth of Ethereum will most likely lead to an increase in the price of bitcoin. 

The first cryptocurrency is sensitive to positive events in the crypto industry. 

At the same time, PayPal USD is a product of the old financial system.  In fact, this is a surrogate for the US dollar, which has a built-in option to block unwanted transactions and completely freeze funds. 

Yes, such positive news is good, but the best financial instrument for all of us is bitcoin, not the new stablecoin (which is censored by its creators).

Wow!! What a nice news. Just yesterday I was thinking of how use bitcoin to pay goods (shipping) from PayPal and now that they have started using stablecoins, I believe they will include bitcoin to it very soon. This is nice movement of the international transaction website/app.
I will be very happy to use it because there are some time I want to publish articles in international Journals but most of the journals websites are not accepting my country currency and also PayPal is not found. So it make things difficult for me. But I through this things will be easy for me now.

Well..indeed, what would one expect?

To release a full minable coin, completely decentralized, with a capped limit and still have it pegged to one dollar the coin?
How would this have worked with their business, how could they even implement such a thing, it's not like there is a guarantee that they will receive the same investment each day, there is no way to know if some would just get out of the system and demand their money back, how would you do that with a decentralized coin, you would send them to a coineater address and you would need to convince everyone those coins are indeed lost?

It's a business launching its won coin for its own benefit, if those things wouldn't have been there would have been even more suspicious of what scammy thing they are trying to pull.

I'm still amazed by the fact that they are planning to expand the whole crypto business and still allow you to withdraw your bitcoins, I was sure they were going to use some papal coins and you would have only numbers in your account not backed by anything yet they did surpise me with their take.

Long story short, this is as good as it will ever get!

I wonder if Paypal's stablecoin is the motivation for this announcement today: https://www.coindesk.com/policy/2023/08/08/fed-starts-new-program-to-oversee-crypto-activity-in-us-banks/

well, let us put it this way, FED or SEC or any other regulatory body will always lurk into this market especially if these projects are dealing with fiat currencies such as USD. so they just want to make sure everything is in order in terms of using the dollar in this market. for me, it is good as these companies like PayPal know that some eyes are on them, so they might want to back up what they are claiming here. like their USD reserves that they have to back their stablecoin. because without regulation, these companies can just create their own stablecoin without sufficient backing, right?

While this has a huge potential considering that PayPal is already an established platform with hundreds of millions of users and tens of millions of merchants across the world, I don't see any reason why they have to do this. PYUSD could indeed grow big because PayPal processes tens of millions of transactions daily, but what specific advantages does this stablecoin really offer?

If a platform already offers USD, is it not superfluous or perhaps duplicity to offer another token representing USD?

To be precise, PayPal has over 430 million users. Even if at least 1-2% of users are interested in new PYUSD or even cryptocurrencies thanks to this novelty, then this will already amount to 4.3-8.6 million users. In my opinion, this event will at least serve as a good advertisement for the entire cryptocurrency industry and, most likely, will attract new users. When a major Internet banking PayPal provides a service to cryptocurrency-related clients, it must certainly induce ordinary users  to become interested in cryptocurrencies and encourage use.

I am not a stablecoin supporter and don't share the excitement that another centralized coin has appeared, but I think this news should have a positive effect on the industry and increase faith in cryptocurrencies.

paypal is increasingly trying to make a profit, by releasing their own stable coin, I doubt this will go well because it's not easy to do this, besides that I also had a bad time with paypal before (frozen account) them surely it will be easy to do this on their token, there is no guarantee that it is safe to use a paypal token.

Let's not jump into conclusion yet, I am sure this will have some dos and don't when they stable coin is in action, this same headache like you feel because of the burning of freeze asset is what many whales will be aware about, so I believe there will be some rules and regulation about this, that's if truly PayPal wants smart adoption for their stable coin, we will see what they throw at their users face as time goes on.

I have doubts that this will go well too but at least it will expand the awareness of crypto to other payment solutions out there, I know PayPal is trying to make money out of this but I am concentrating more on the benefits it will bring for Bitcoin and the whole blockchain ecosystem.

Isn't Paxos Trust Co the same company that issued Binance USD (BUSD) and which issued a decision from the New York State Department of Financial Services (NYDFS) Follow the rest of the news from here https://www.binance.com/en-IN/feed/post /216379

What makes the authorities now allow PayPal what was forbidden to Binance despite the great similarity between both assets.
Also, after Moody's lowered the credit rating of the United States, he was surprised at the type of assets that would be taken to liquidate assets, would it be US Treasury bonds.

I see it as an attempt by them to collect some liquidity, especially since many will sell their bitcoins in exchange for stable currencies when the price of bitcoin rises and it will not be a future policy.

Paypal is notorious for having bad customer service(especially if you are an online business owner accepting Paypal payments).
The people, who are using Paypal to buy stuff online are in a little bit better position, until Paypal doesn't find a BS reason to lock their accounts as well. I'm not a fan of Paypal and I'm no fan of stablecoins either, so I couldn't care less about such news.
Good luck to Tether and the other "crypto" stablecoins against the financial hydra that is Paypal.

Yeah that's the thing I saw.

Double edged sword, good for overall adoption of the masses but bad in terms of important values. But then again, I think eventually everyone will fall into Bitcoin, the more you learn and use other services then see their flaws, the more BTC draws you in.

I do perfectly realise. For this reasons I was surprised when I saw all this buzz on Twitter. I guess it was a pretty trivial to understand that.

Anyway something must really be changed recently, if the FED has stated a few rules for Banks to exchange, hold and even issue stable coins :

US Fed clarifies process for banks to transact in stablecoins (https://www.reuters.com/technology/us-fed-clarifies-process-banks-transact-stablecoins-2023-08-08/)

This kind of openness from the regulators, took me by suprise, also given the amount of scrutiny at the US banks have been subject to recently.

Although this new feature isn't available yet to each and every PayPal user, yeah, even a small percentage of that 430 million users is already a big deal. Other than this figure, PayPal merchants are now more than 35 million. All in all, the platform processes an average of more than $315 million payments a day in more than 5 million transactions. These are large figures, especially if we compare them with the 26,905,005.66 PYUSD they minted. We should be expecting much more PYUSD in the days to come.

In the name of crypto, this might be good in a way. But I don't see this as the kind of adoption that significantly benefits Bitcoin. A centralized coin in a centralized platform. Far from what Satoshi envisioned. 

it seems that many people realize the benefits of using cryptocurrency. but I thing Paypal should do more than that, there many stable coin out there, so what makes their cryptocurrency is better or even differ with the others. but i am so grateful that more people start to embrace cryptocurrency.

PayPal is good, in fact it is great. With its well established history and millions of users you can say that it can be trusted by many. However, recently I have been reading a lot of negative feedback from PayPal users. Not sure how much these negative experiences can affect such development from PayPal but I guess we'll just have to see.

A stablecoin created and backed by PayPal can easily outperform any other stablecoin that's available on market because PayPal is one of the most experienced and trusted financial company in online payments. PayPal can actually back each stablecoin with each USD, it has an experience in money transfer while Tether is a very shady company and I believe if everyone were to redeem their Tether for USD, it would immediately go bankrupt. BUSD won't manage to win stablecoin war.

By the way, can anyone explain to me, why do we need stablecoins? I would use stablecoin similar to Bitcoin but with stable price where I'll be able to use open-source stablecoin[name] wallet software to own it like I own bitcoin. Otherwise, for trading and storing purposes, isn't it just better to trade with Coin/USD pair instead of USDT and other bullshit?

For trading, stability is probably one of its benefits. If a trader uses multiple platforms, a stablecoin can also help them transfer funds easily without losing too much purchasing power assuming everything is done correctly. Obviously, this benefit doesn't outweigh the risk of being locked out or wiped by the controller of the smart contract (which is also present in the Paypal stablecoin, afaik). For Paypal though, it is one of the easier ways to appeal to crypto users and allows its regular customers to enjoy faster transaction speed while at the same time having more control over it. CMIIW.

PayPal was never good or great, they were simply useful back in the day when we didn't have any other options. Luckily, that's not the case at them moment so I honestly see no reason why would someone use them, especially those that are into crypto given what PayPal did to it's users which tried to buy crypto in the past.

Nevertheless, PayPal continues it's role of a useful idiot.

But the days when we had no other options are long gone, and now it is not at all a problem to find alternatives instead of PayPal.

It's not that someone has to use PayPal to interact with cryptocurrencies, but that among their multimillion user base there is bound to be someone who wants to do it: people far from crypto, housewives or retirees. That is, those who are too lazy to delve into the peculiarities of cryptocurrencies, don't want to or can't for one reason or another. For such users, convenience and habits are more important - if a platform that has been used for many years provides services related to crypto, then why look for interaction with cryptocurrencies somewhere outside of it. No doubt they will use PYUSD. It's not good or bad, it just happens.

With regard to the role of the PayPal, you are right on target. More eloquent than you, no one else will say.

While the potential is significant, the rationale behind PayPal introducing PYUSD, a stablecoin pegged to the USD, might not be immediately clear. Despite PayPal's extensive user and merchant base, the advantages of this stablecoin are not entirely evident. With PayPal already facilitating USD transactions, the introduction of a USD-backed token might seem redundant. What distinct benefits does PYUSD bring to the table?

Good. I know a lot of people here are against stablecoins — but the more stablecoins we have, the higher the competition, the more these companies are incentivized to not fuck stuff up. It's just capitalism at it's finest.

It is good news for them and all the customers who use the PayPal service. I for one tried using their service some time back to fulfil payment option for Amazon, but didn't get approved. It is a solution to many businesses across border, and their adoption of the USD to back their asset is necessary. but why the USD?
They would do little to convince people due to  past service delivery and customer base.

This is undoubtedly a great move as, according to my knowledge, this may now allow/prevent PayPal's users from becoming a victim of hefty fees that they used to pay to PayPal for each of their transactions and will also bring in more exposure to crypto as PayPal is a huge name whenever we talk about e-currency platforms (most of others were either closed or seized). I also hope that PayPal will not levy their 21 days holding policy on this stablecoin.

There is no logical explanation other than that Paypal did not find what it was looking for on the rest of the networks. And most likely, they may be looking for smart contract technology with options that allow complete control over the currency that will be minted. And I mean here, for example, that feature that allows the development team to freeze any balance of that currency at any address, as this happens with usdt on the same Erc20 network.
I am waiting for one of the developers to verify the smart contract code and tell us the advantages and limitations of this new currency. Personally, I do not think that this currency is better than the rest of the stable coins in the crypto market, whether it is on the Ethereum network or any of the other networks.

PayPal takes too long to adapt with the financial market, they finally join the crypto world when the market is already too crowded. Paypal should have taken action when USDT went mainstream, the only thing paypal could compete is on Stablecoin and today the there are a lot of stablecoin. I doubt people will move from USDT to PYUSD.

PayPal has been very slow to enter the market, but anything can happen in this market. So I think anything that is trustworthy should be in the market, and if PayPal can provide that trust in the market, then the stablecoin will not harm the market.

Like you, I doubt that people will switch from USDT to PYUSD, but there should always be alternatives.

Just as I thought, the competition is on. It's going to be PayPal vs USDT vs the banks. A nice move by PayPal. What will be the next move for USDT? Hoping to see the PayPal stablecoin listed on major exchanges as well.

PayPal customers can now easily buy Bitcoin and perform other crypto transactions without leaving the app. This offers an additional advantage for Bitcoin awareness and adoption, as there could be a spill-over effect from this.

What is PayPal doing that is new to investors, they are just another centralized people trying to make some money since they know that there is profits that can be generated from crypto investors. Haven't you notice that there is no innovation this companies brings to crypto, they just repackage and sell similar thing just to make more money from people and it's clearly that thats what they want because that is their motto right from the traditional PayPal transactions they have been offering before they decided to give attention to the crypto figures.

It's good step by the way but if they have allowed or integrated bitcoin lightening network, would have been better that people will believe them that they are bringing adoption to crypto but this, no. They just want the share of their national profits in crypto and they will make more if bull run start as some people will want to convert their PayPal balance to Pusd to buy any coin of their desire.

This will not end that well for us. There are two options and both of them end up being something terrible for us. If it's liked by a lot of people and used, then they are using a centralized stablecoin and that's a bad thing as well, and if we are talking about being disliked then we are talking about people who dislike a stablecoin and not really doing all that well for the market neither.

This should be very important difference, I do not think that this will end well for us. In the end it happened and unless it's removed and destroyed, it will be staying. So, there is no point of us staying too much on why this is a bad thing and try to make sure that the crypto world is not disturbed by any of this and does well enough.

PayPal do have issues that makes one not to find their services interesting. Something like ,there is a lack of good customer service if you encounter a problem with a payment, It is difficult to find contact phone numbers on its website, and emails are usually responded to with automated replies rather than the genuine advice.
Makes the whole thing tiring..

Stablecoins actually partially solved the problem of volatility in the crypto market. The emergence of new stablecoins and the development of Ethereum can really create a positive change in the industry. The ability to link the real value of assets helps to create stability and facilitate more favorable for the use of cryptocurrencies in daily transactions.

However, there is no denying Bitcoin's important role in changing the way we understand finance and manage wealth. The decentralization and self-control of users for Bitcoin are really strong points, creating safety and freedom in managing personal assets.

I can understand why many of our crypto loving fellas dislike stablecoins. They pull demand towards themselves so making markets less relied to Bitcoin. But stablecoins are solving many problems people have. For example I sometimes do good trade and wanna relax turning back to usd for a week. In past I should have paid too much money to convert back to real usd. But now its easy. I honestly liked if PayPal is planning to make their stablecoin big. I would use it.

Their stablecoin is too centralized as they can freeze a user's assets anytime from anywhere if they want, and I don't see that being anywhere near trustworthy. I would never use a stablecoin that be frozen in my wallet without any reason but just because the creators want to do it maybe because I said something that they didn't like or anything like that. It is much better to stick to the current stablecoins instead of accepting a CBDC wearing a stablecoin-shaped face mask.

Those who would use the stablecoin launched by PayPal will simply be using a CBDC that is totally under the control of the organization and probably also the authorities, it shouldn't be considered a cryptocurrency and people shouldn't trust it just like other stablecoins or cryptocurrencies that are highly centralized.

Seeing that they have been forced to stop services for UK citizens means low income patronize from customers and this stablecoin PYUSD is just what they are trying to implement to have their daily bread from customers, nothing new under the sun, just the same bullshit but different ecosystem, they are not a trading platform to begin with, when they issued the stablecoin, they will have to collaborate with trading exchanges to increase the adoption for people to use, they are nothing but another baby USDT looking for market shares and the revenue distribution from the already dominated companies (such as USDT, USDC, BUSD, [XUSD or USDX X= to the company name])

Agreed and this is not only for solving a compliance nightmare. There are some people in social media who argue that because the real value and usage of Paypal's stablecoin comes from the users' ability to legally redeem it for real dollars. According to them, asset protection mode lessens the risk for users to receive PYUSD that Paypal might not be allowed legally to redeem.

In any case, these are not my words or analysis, do not shoot the messenger heehhehe. My own analysis, I agree this is dangerous, however, what can we hope for from Paypal? We can only live in reality.

This openness is the outcome of the issuer of the stablecoin, all the rules of the regulators. This includes centralized management, de-anonymization, and account blocking mechanisms. In other words, we end up with a cryptocurrency of sorts, but... completely devoid of the key advantages of cryptocurrency. So there is nothing surprising here. I would be surprised if PayPAl was allowed to issue stablecoin without following such "centralized" rules. But anyway - we all got another convenient option for payments, and working with "crypto-fiat" :)

According to Paypal, PYUSD differs from other big players like USDT, USDC and BUSD because it reserves is in a separate New York Department and Financial Services (NYDFS) trust structure. What this means is that if PayPal or Paxos Trust Company goes bankruptcy, the funds in this reserves account will not be used to settle their debts because it's a separate fund unlike other stablecoins.

I think this is a good news because it will bring competition to the space, PayPal's PYUSD launch will keep other stablecoin brands on their toes, especially with it's large userbase. It will help in onboarding newcomers to the crypto space and promote mass adoption.

The industry giant introduced the stablecoin PYUSD not because they wanted to adapt to the change towards the digital currency but in fact they did not want those people who want to transact in digital currency, to leave their platform. So they introduced PYUSD with the same features that give them the ability to freeze the coins anytime, thus not losing their power on the digital dollar too.

Though people will call it a stablecoin, this is not decentralized at all and those who know will never prefer PYUSD over other stablecoins.

Apparently, this might be the token since there is a lot of transaction back and forth and the holder is from Gate.io, Uniswap and Paxos itself

https://www.talkimg.com/images/2023/08/24/MvpzN.md.png (https://www.talkimg.com/image/MvpzN)

and they already minted 40,794,155.06 USD  :D 40 million USD  :D :D well lets pump bTc using theSe MoNey  8)

Wow somehow I missed this alert, but then again it has been a crazy wild month and a half for me. Pay Pal launching a stable coin I'd say is very bullish for crypto. I wonder what affect, if any this will have on BTC and other altcoins as a whole in terms of fund movement to and from their stable coin. Will PayPal try to reinvent itself and become a US crypto exchange?

Nansen, a sort of Bloomberg for cryptos, did some research and found that the Stablecoin received little interest from investors and users:

PayPal's new stablecoin facing sluggish demand from crypto users, Nansen says (https://www.theblock.co/post/247553/paypals-new-stablecoin-facing-sluggish-demand-from-crypto-users-nansen-says?utm_source=twitter&utm_medium=social)

Main finding by Nansen:

• Paxos still custodying more than 90% of PYUSD supply.
• Less than ten holders that aren't contracts or exchanges have balances of more than $1,000.
• The top holder in that category has less than $10,000 and bought the token after selling three different memecoins

I  thought we could have been in a better scenario at launch, but the race for adoption is a very long one.