Paypal planning to Develop a Dollar-backed Stablecoin

Paypal is planning to develop a dollar-backed stablecoin as an initiative to boost its efforts in the cryptocurrency space. The project is called “PayPal Coin” and is based on the code and images. 

The company took the initiative after a company hackathon within the blockchains, crypto, and digital currencies division of the company. Before Paypal, Meta also announced that it is developing its own stablecoin. 

Stablecoin is a type of cryptocurrency that is backed by some external assets like the US dollar. Multiple companies have also launched their stablecoins including Tether, Circle, and Binance, after which the valuation of these companies reached $164 billion from $11 billion within two years. 

Seeing the ballooned size of stablecoins and how it is becoming integral to the functioning of crypto markets, the president of the USA, Joe Biden, is also working with top economic advisors to regulate them.