PayPal has completed its first commercial transaction using its proprietary US dollar-pegged stablecoin, PYUSD, according to theblock.co citing a Bloomberg report. The digital payments company settled an invoice with multinational accounting firm Ernst & Young as part of its effort to showcase the practical use of PYUSD for business-to-business (B2B) payments.

The transaction involved depositing funds into Ernst & Young's Coinbase account through an enterprise-level digital currency platform, though the exact amount of the payment was not disclosed. PYUSD market cap According to theblock.co, PayPal introduced PYUSD over a year ago, and by August, the stablecoin had reached a market cap of over USD 1 billion. However, as of now, its market capitalisation has decreased to approximately USD 716 million.

In comparison, Tether's USDT and Circle's USDC, the leading USD-backed stablecoins, have market caps in the tens of billions of dollars. Despite this decline, PayPal continues to push forward with initiatives aimed at expanding the adoption of its digital currency. Recently, the company announced that US business customers will soon be able to buy, sell, hold, and transfer cryptocurrencies through PayPal.

According to officials from PayPal, stablecoins offer advantages for B2B payments, including support for 24/7 payments with nearly instant fund transfers and settlement. Other developments from PayPal In May 2024, PayPal announced that PayPal USD (PYUSD) was available on the Solana blockchain, enhancing speed and reducing costs for stablecoin transactions. The availability of PYUSD on the Solana blockchain aimed to give users the option to choose between multiple blockchains, significantly increasing their flexibility and control over transactions.

According to representatives from PayPal, PayPal USD was created with the intent to augment commerce by providing a fast, easy, and inexpensive payment method for the next evolution of the digital economy. Making PYUSD available on the Solana blockchain furthered their goal of enabling a digital currency with a stable value designed for commerce and payments. For more information about PayPal, please check out their detailed profile in our dedicated, industry-specific Company Database.

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