U.S. Merchants to Gain Crypto Checkout Option via PayPal
PayPal has announced a new feature allowing U.S. merchants to accept payments in over 100 cryptocurrencies, aiming to reduce cross-border transaction costs and expand access to a growing global crypto user base.
U.S. Merchants to Accept Crypto in Over 100 Forms
PayPal is rolling out a new payment solution, “Pay with Crypto,” that will enable U.S. businesses to accept payments in more than 100 cryptocurrencies. The move targets the longstanding issue of high international payment fees and complex cross-border banking, positioning the platform to offer a streamlined, lower-cost alternative.
The feature facilitates instant crypto-to-fiat or stablecoin conversion, connecting merchants to a global crypto market valued at over $3 trillion. According to the company, the solution supports major wallets including Coinbase, MetaMask, Binance, Kraken, and Phantom.
Transaction Costs to Drop by up to 90%
One of the key features of the platform is its competitive transaction fee structure. At a 0.99% fee rate, Pay with Crypto is being positioned as a cost-effective solution compared to conventional international credit card processing, which can carry significantly higher charges.
The service is expected to appeal to merchants seeking to increase margins and gain faster access to funds. Proceeds can also be stored in PayPal USD (PYUSD), the company’s stablecoin, with a stated return of 4% when held on PayPal.
Focus on Global Inclusion and Merchant Utility
Commenting on the launch, PayPal CEO Alex Chriss said,
“Businesses of all sizes face incredible pressure when growing globally, from increased costs for accepting international payments to complex integrations. Today, we’re removing these barriers and helping every business of every size achieve their goals.”
The platform aims to support cross-border commerce by offering merchants access to over 650 million global crypto users. It also introduces functionalities for U.S. merchants to send payments to vendors and freelancers using PYUSD, which may provide quicker settlements and lower costs.
PayPal has also reached an agreement with Fiserv to expand stablecoin usage globally, signaling broader ambitions to integrate digital currencies into everyday transactions.
Regulatory Caveats and Risk Disclosures
Despite the broad rollout, the offering is currently limited to U.S. merchants and remains subject to regulatory approval in certain jurisdictions. Notably, PayPal has not yet received approval from the New York State Department of Financial Services (NYDFS) for offering this service to New York residents.
Users should also note that PYUSD and other digital assets are not covered by FDIC or SIPC protections. Furthermore, redemption guarantees apply only to parties with direct access through PayPal or its authorized partners.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
source: https://cryptodaily.co.uk