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Triple-A leverages PayPal’s stablecoin to double payment volume
Financial institution based in Singapore Triple A is adding PayPal PYUSD stablecoin to its payment services.
The motion, announced On Wednesday (May 29), it will allow the company’s customers to accept the stablecoin as a payment method and facilitate cross-border payments using the stablecoin.
As Triple-A notes in a press release, PYUSD — launched last August and released by Paxos Trust Company – has seen its market capitalization more than double, while daily transaction volumes have increased more than 600% since its debut, trends that the company says increase consumer and business confidence in its usefulness and stability.
“With PayPal’s large user base, the launch of PYUSD positions PayPal to become a leading force in the stablecoin market.” Eric BarbierCEO of Triple-A.
“Integrating PYUSD into our payment solutions enhances our ability to offer businesses around the world convenient, secure and fast payment options.”
According to the release, Triple-A aims to more than double its payments volumes by the end of 2024, with the help of the PYUSD integration.
PYMNTS wrote about the increase use of stablecoins in payments last month, noting that unlike “traditional cryptocurrencies like bitcoin, which are known for their price fluctuations, stablecoins offer a level of stability that closely mirrors that of traditional currencies.”
Among the immediate benefits for businesses is the ability to streamline cross-border transactions, while serving as a new tool for more efficient liquidity management.
“But it’s the stablecoins, which have been around for a while and come with their own own share of controversy, a viable way for Web3 participants to reframe assumptions about the use of blockchain-based applications in traditional finance and payments?” that report asked.
Stablecoins allow businesses to access instant payments and liquidity without having to turn to intermediary banks or payment processors. This can optimize cash flow management and reduce dependence on traditional banking infrastructure.
“And the fact that every transaction conducted using stablecoins is recorded on the blockchain, providing an immutable audit, can help CFOs and treasurers improve compliance, reduce fraud and simplify auditing,” PYMNTS wrote.
As noted here this winter, supporters of Basic technical capabilities of blockchain they want to separate the technology from its associations with cryptocurrency. It’s part of the reason why, as the digital economy continues to expand, the adoption of stablecoins in traditional payments appears to be growing alongside it.