Informed sources have reported that PayPal is looking into the conditions for offering a stable coin.
to the the report “The Block”, four informed sources have reported that there are rumors about the development of a StableQueen by PayPal. According to these sources, PayPal will probably cooperate with a third-party company to develop such a currency.
Ava Labs, the developer of the China Olanch block, is said to be one of the companies with which PayPal has negotiated to develop its StableCoin. It is unclear whether other protocols were involved in the PayPal talks.
A PayPal spokesman said in an interview:
As one of the most trusted actors in the field, PayPal continues to explore the potential of digital currencies, digital financial services infrastructure, and ways to facilitate digital commerce.
As a global company working with regulators and business partners around the world to shape the next generation of financial systems, PayPal has always been exploring the technologies that achieve these goals. However, rumors and speculations do not reflect the company’s plans.
If PayPal has undertaken such a project, it can be considered a very big step in the discussion of the company’s digital currency activities. It is worth noting that stable coins are digital currencies that have a fixed value and are backed by the common currency offered by a central bank. Another feature of stable coins is the use of Blockchain. Market data show that there are currently more than $ 80 billion in stable coins in circulation.
A source close to PayPal said about the PayPal project:
They seem to want to work with a StableQueen rather than create something new for themselves; Because I think in that case they will enter the market sooner and I think that is their main concern.
Rumors about PayPal ambitions have been circulating for a long time. Another informed source referred to the news as “a secret that everyone knows.”
Last fall, PayPal announced that its users could buy and sell digital currencies. This happened after PayPal signed a partnership agreement with startup Paxos. Since then, the company has expanded its digital currency business. Last month, PayPal announced that it had acquired Curv.