{"id":82937,"date":"2023-08-11T15:31:33","date_gmt":"2023-08-11T12:31:33","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=82937"},"modified":"2025-09-12T08:03:05","modified_gmt":"2025-09-12T05:03:05","slug":"bank-of-america-flags-hurdles-for-paypals-stablecoin","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/bank-of-america-flags-hurdles-for-paypals-stablecoin\/","title":{"rendered":"Bank of America flags hurdles for PayPal&#8217;s stablecoin"},"content":{"rendered":"<p>The launch of PayPal USD (PYUSD), a stablecoin, will improve payment efficiency and customer service quality, but the asset&#8217;s rollout is unlikely to be widespread, according to Bank of America analysts, as <a href=\\\"https:\/\/www.coindesk.com\/business\/2023\/08\/11\/paypals-stablecoin-unlikely-to-see-significant-adoption-in-the-near-term-bank-of-america\/\\\">CoinDesk<\/a> reports.<\/p>\n<p>\\n\\n<\/p>\n<p>Analysts say investors are indifferent about which <a href=\"https:\/\/forklog.com\/en\/news\/what-are-stablecoins\">stablecoins<\/a> to hold if they are perceived as safe and available on the largest trading platforms.<\/p>\n<p>\\n\\n<\/p>\n<blockquote class=\\\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\\\"><p>\\n<\/p>\n<p>\\&#8221;In the long term, PYUSD will face additional challenges in adoption, as competition from <a href=\"https:\/\/forklog.com\/en\/news\/what-is-a-central-bank-digital-currency-cbdc\">central bank digital currencies<\/a> and yield-generating stablecoins intensifies,\\&#8221; the report said.<\/p>\n<p>\\n<\/p><\/blockquote>\n<p>\\n\\n<\/p>\n<p>BoA does not believe that the launch of the asset will lead to &#8216;accelerated regulatory clarity&#8217;. On the contrary, PayPal will face some difficulties if nonbank entities are barred from issuing &#8216;stablecoins&#8217;.<\/p>\n<p>\\n\\n<\/p>\n<p>Experts suggested the company is likely targeting the payments and remittances market using blockchain technology, which had previously remained in the shadows.<\/p>\n<p>\\n\\n<\/p>\n<p>On August 7, the payments giant <a href=\"https:\/\/forklog.com\/en\/news\/paypal-launches-paypal-usd-stablecoin-pyusd\">announced the launch<\/a> of the USD-backed stablecoin PYUSD built on the Ethereum blockchain. The issuer of the coin was Paxos, an infrastructure blockchain company.<\/p>\n<p>\\n\\n<\/p>\n<p>\u00abStablecoin\u00bb <a href=\"https:\/\/forklog.com\/en\/news\/crypto-community-weighs-paypals-stablecoin-prospects\">has sparked a mixed reaction<\/a> within the crypto community. Some said that PYUSD would facilitate broad adoption of digital assets, while others pointed to centralization risks.<\/p>\n<p>\\n\\n<\/p>\n<p>Earlier, U.S. Representative <a href=\\\"https:\/\/democrats-financialservices.house.gov\/news\/documentsingle.aspx?DocumentID=410725\\\">\u0432\u044b\u0440\u0430\u0437\u0438\u043b\u0430<\/a> deep concern about the PayPal stablecoin launch. She pointed to the lack of a regulatory framework for such assets.<\/p>\n<p>\\n\\n<\/p>\n<p>Nikos Panigirtzoglou, a JPMorgan analyst, <a href=\"https:\/\/forklog.com\/en\/news\/jpmorgan-paypals-stablecoin-could-lift-activity-on-ethereum\">\u0437\u0430\u044f\u0432\u0438\u043b<\/a> that PYUSD could benefit Ethereum, increasing the total value of assets locked in the network.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The launch of PayPal USD (PYUSD) stablecoin will improve payment efficiency and customer service quality, but its rollout is unlikely to be widespread.<\/p>\n","protected":false},"author":1,"featured_media":82938,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[2027,182,807],"class_list":["post-82937","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bank-of-america","tag-paypal","tag-stablecoins"],"aioseo_notices":[],"amp_enabled":true,"views":"22","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/82937","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=82937"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/82937\/revisions"}],"predecessor-version":[{"id":82939,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/82937\/revisions\/82939"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/82938"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=82937"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=82937"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=82937"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}