PayPal investigating a stablecoin, but not pulling the trigger yet
The development of a crypto stablecoin by global fintech giant, PayPal, was discovered in its app by developer Steve Moser, according to a report by Bloomberg.
Moser found hidden evidence within PayPal’s iOS app which pointed to the payments giant working on a “PayPal Coin.” Moser’s discovery includes a possible logo for the cryptocurrency, as well as code indicating the stablecoin would be backed by U.S. dollars.
Senior Vice President of Crypto and Digital Currencies at PayPal, Jose Fernandez da Ponte, said in a statement to Bloomberg: “We are exploring a stablecoin; if and when we seek to move forward, we will of course, work closely with relevant regulators.”
An unidentified PayPal spokeswoman, speaking to Bloomberg News, said that the images and code inside the PayPal app were created from an internal “hackathon” within the company’s blockchain, crypto and digital currencies’ division.
A hackathon is an event where software engineers, developers and/or programmers collaborate over a short period of time on a project. These projects are experimental and don’t always lead to a product, but at other times generate new ideas, products and revenue streams for the company.
If the plans for a PayPal stablecoin go ahead, this wouldn’t be the first time PayPal has offered cryptocurrencies on its platform.
In late 2020, PayPal offered the ability for U.S. residents to purchase Bitcoin, Ethereum, Bitcoin Cash and Litecoin through the PayPal app. In September 2021, PayPal expanded its crypto offering to the UK, stating that it plans to expand the service to “select global markets” in the future.