SAN JOSE, Calif.— PayPal has reportedly paused work on its stablecoin offering amid increasing regulatory scrutiny of the cryptocurrency sector, a new report reveals.
Work on PayPal’s stablecoin, which it hoped to launch in the coming weeks, has been delayed as the firm looks to get a clearer understanding of the changing regulatory landscape around digital assets, Bloomberg reported.
PayPal spokesperson Amanda Miller confirmed the firm is “exploring a stablecoin,” Bloomberg said.
“If and when we seek to move forward, we will, of course, work closely with relevant regulators,” she told Bloomberg.
The pause follows reports that New York State Department of Financial Services (DFS) regulators are investigating Paxos Trust, a cryptocurrency firm PayPal was working with on its stablecoin effort, Bloomberg noted.
New York-based Paxos, which issues a token that ranks as the third-largest stablecoin, is regulated by the state’s DFS.
‘Continuous Contact’
“The department is in continuous contact with regulated entities to understand vulnerabilities and risks to consumers and the institutions themselves from crypto market volatility we are experiencing,” a DFS spokesperson told Bloomberg.
It’s Called Fresh for a Reason. And We Offer Home Delivery. For Free!
The biggest, best and freshest news reporting in credit unions remains free in ’23! Each morning CUToday.info delivers its daily Fresh Today news update offering the latest headlines and breaking news right to your email, with the easy-to-read headlines format allowing you to click on the stories that interest you most in order to learn more.
If you haven’t yet signed up for the new email solution on which CUToday.info has partnered with ResponseGenius, you can do so here. Signing up requires less than one minute of your time—and it’s free!
Please note that after signing up you may need to go to your Spam/Junk folder and mark the morning headlines email as safe. CUToday.info does not provide its list of readers and emails to outside parties, and we will not be contacting you to sell you an extended warranty or sending you any links so you may cash in on an inheritance you didn’t know was coming.
And did we mention it’s free?
Please note and/or make your IT department or email administrator aware the emails will be coming from the domains CUTodayinfo.com and CUTodayinfoReply.com