The payments giant PayPal is reportedly considering launching its own stablecoin. This is reported by The Block, citing sources familiar with the situation.
According to the publication, the company has been in talks with Ava Labs, the team behind the Avalanche blockchain. It was not specified which other projects PayPal had been in discussions with.
A PayPal spokesperson told The Block that the firm “continues to study” the potential of digital currencies and infrastructure.
“As a global company working with regulators and industry partners around the world to shape the financial systems of the next generation, PayPal often discusses technologies that enable these goals,” the interlocutor said.
According to him, rumors and conjecture cannot be taken as evidence of the company’s future plans.
One source told the publication that PayPal is more likely to select a partner already represented in the stablecoin sector.
“That way they will be able to bring something to market faster, and I think that is their main interest,” he noted.
In November 2020, PayPal launched the buying and selling of Bitcoin for customers in the United States. Later the firm clarified that it does not consider the possibility of acquiring cryptocurrencies.
In February 2021, the company’s CEO Dan Schulman stated the ambitions of the payments giant to become a digital wallet for CBDCs.
In March, PayPal confirmed plans to acquire the cryptocurrency custody infrastructure provider Curv.
In the same month, Reuters sources reported that PayPal would allow American customers to pay for purchases with Bitcoin, Bitcoin Cash, Ethereum and Litecoin in partner stores.
Venmo, PayPal’s mobile payments service, added the ability to buy and sell Bitcoin, Ethereum, Litecoin and Bitcoin Cash.