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Coin base Removed fees for purchases of PayPalStablecoin as part of a broader effort to increase the use of the coin and an attempt to chain payment options for consumers and institutional users.
In a blog post on Thursday, Coinbase said that it was “the assumption, distribution and utilization of the PayPal USD (PYUSD), the US dollar-shaped stablecoin, which has stayed on the market since the start of 2023. Tether USDT and circle USDCDominate the market with 66.5% or 28.3% shares according to Cryptoquant.
According to PayPal, companies will also work on “StableCoin-based solutions” to “move or manage money worldwide, especially in retail” as well as potential applications for PYUSD in decentralized finances and other oncain platforms.
“We are pleased to promote new, exciting and innovative applications together with Coinbase and the entire cryptocurrency community, to bring PYUSD to the center and to promote further benefits and introduction of digital currencies between developers, customers and other users,” said Alex Chriss, PayPal President and CEO.
Stablecoin Race
The race for the payment of stablecoins has awakened expectations that the congress in the third quarter is adopted its first crypto legislation, which focuses on stablecoins. In the past, stable coins are mainly used for trade and borrowing on the cryptom market. Recently, stable coins for institutions that aim to transfer the value, especially in dollars, outside of the traditional financial system, are more attractive around the world.
At the beginning of this week, the USDC Emittent Circle, which was submitted to the public at the beginning of this month, debut a payment and transfer network that was aimed at financial institutions and questioned an important part of the PayPal company. Ripple, the cross -border payment company and creator of the XRP Cryptocurrency started his ripple USD StableCoin (RLUSD) in December.
The two -sided PayPal network of more than 430 million consumers and dealers “offers an unprecedented opportunity to increase the introduction of stablecoin worldwide,” said Brian Armstrong, CEO of Coinbase.
For a long time, the Crypto Exchange operator has shaped the development of a global economy that is operated on cryptocurrency and uses stable coins as a means of diversifying its income from the crypto handle. Coinbase has an agreement with circle to share 50% of sales from the USDC stablecoin – and Armstrong said about the recent call for profit from the company that it is a “stretch target to make the number 1 stablecoin”.
Circle rejected a comment on CNBC.
Integration of crypto payments
Coinbase also has great ambitions for the base, its self-made network for Ethereum-compatible applications.
“We are in a hurry to integrate crypto payments in our entire product suite-we believe that this will be a big business over time-and we also consolidate the basis as number one that can build up start-ups,” said Armstrong on the winning call.
“We can really fuel a lot [stablecoin] The growth by more partnerships with global and local actors such as Stripe and Yellow Card to carry out more global acceptance, “he said on the same call with analysts and investors.” We have added a number of additional stablecoin trading pairs to our platform. “
As part of the update on Thursday, Coinbase users can also redeem their PYUSD for dollars directly on the Coinbase platform and reflect a USDC function. Previously, the users had to move their pyusd to one of the PayPal platforms (PayPal, Venmo or Paxos).
On Wednesday, PayPal introduced an annual reward rate of 3.7% for PYUSD credit, which was paid in more PYUSD to increase the introduction of the stablecoin.
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