PayPal, a payment giant, declared the launch of the PayPal USD (PYUSD) stablecoin on the Solana blockchain, which is well-liked by memecoin issuers.
PayPal introduced PYUSD, a dollar-pegged currency, on the Ethereum blockchain in August and then included it in its peer-to-peer Venmo payments service in September.
The launch could boost interest in PYUSD, a moderately sized cryptocurrency with a well-known brand but limited uptake. PYUSD, which Paxos Trust Company issues, has only 8,600 holders on Ethereum and a market cap of under $400 million, lagging behind Circle and Tether.
Jose Fernandez da Ponte, senior vice president of PayPal’s blockchain, cryptocurrency, and digital currency group in San Jose, California, claims that Solana’s quickness and inexpensive transaction costs are what drove the corporation to the blockchain.
He added, “Ethereum works well enough. But if you’re interested in retail payments as we are, basically you need at least 1000 transactions per second, and you need transaction costs in the pennies, not in the dollars.”
PYUSD has new abilities on Solana that weren’t attainable on Ethereum, in addition to cost and speed. For example, it enables businesses to make their transfers a little more private by using this chain’s “Token Extensions” specifications. It is one of the few programmable and compliance powers available to PYUSD.
Fernandez da Ponte also stated that they could achieve the goal of providing a stable digital currency for payments and business by putting PYUSD on the Solana Blockchain.
Also Read: Exodus Wallet Users Can Now Buy Crypto with PayPal
