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PayPal has launched a new stablecoin called PayPal USD (PYUSD) which is fully backed by US dollar deposit, short term Treasuries and cash equivalent assets.
Stablecoins will be issued by Paxos Trust and exchangeable into US dollars ratio 1:1. Paxos will issue a monthly backup report and third party attestation.
The stablecoin operates on the Ethereum blockchain and is designed for digital and Web3 payments, with plans to be available on Venmo.
Eligible US customers can use PYUSD for wallet transfers, person-to-person payments, purchases, and crypto conversions.
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