Bitcoin News Today: PayPal's New Crypto Checkout Tool Supports 100+ Tokens with 0.99% Fee for U.S. Merchants

PayPal Holdings Inc. has introduced a new crypto checkout tool for U.S. merchants, enabling them to accept payments in over 100 cryptocurrencies, including major assets like Bitcoin (BTC), Ethereum (ETH), and stablecoins such as USDT and USDC. The feature, launched in July 2025, allows businesses to convert incoming crypto payments into U.S. dollars via PayPal’s stablecoin, PYUSD, through partnerships with exchanges like Coinbase and Uniswap. This development marks a strategic expansion for the fintech giant, which previously scaled back crypto initiatives during the 2022 market downturn but is now capitalizing on favorable legislative and market conditions [1].

The tool offers a promotional transaction fee of 0.99% for the first year, rising to 1.5% thereafter—a rate lower than the average 1.57% credit card fee in 2024. Merchants can integrate the service immediately by linking their crypto wallets to PayPal’s checkout system, streamlining cross-border transactions. For example, a merchant in Oklahoma can now accept crypto payments from a customer in Guatemala, leveraging blockchain infrastructure to bypass traditional banking delays. The feature also reduces cross-border fees by up to 90%, according to the company [2].

PayPal’s move follows the U.S. Senate’s passage of the GENIUS Act, a stablecoin-friendly bill that has spurred regulatory clarity for the crypto industry. The company previously scaled back crypto activities during the 2022 market downturn but is now realigning with the sector’s growth. PYUSD, PayPal’s stablecoin, has seen a 70% surge in market capitalization to $850 million this year after the SEC dropped its investigation into the token earlier in 2025 [3].

The platform’s integration supports major wallets like MetaMask and Binance, expanding accessibility for crypto users. By converting payments to PYUSD first, PayPal aims to mitigate price volatility while ensuring liquidity for merchants. This approach mirrors its earlier strategy for traditional payments, where it acts as an intermediary to simplify complex financial processes. The feature is initially targeted at small and medium-sized enterprises but may extend to large corporations in the future, though no timeline has been disclosed [4].

The launch underscores PayPal’s broader digital asset strategy. CEO Alex Chriss emphasized the tool’s role in globalizing commerce, citing examples of international transactions facilitated by blockchain technology. The company’s prior crypto milestones include introducing crypto features in 2020, expanding to Venmo in 2023, and launching PYUSD as part of its ecosystem [5]. Analysts suggest the move could challenge traditional payment networks by offering lower fees and faster processing, though adoption depends on merchant and consumer demand for crypto options [6].

PayPal’s entry into the crypto payments space aligns with broader industry trends, including increased institutional adoption and regulatory progress. By supporting over 100 tokens, the company caters to both mainstream and niche crypto users, potentially driving volume for less liquid assets. However, the long-term success of the tool will hinge on maintaining competitive fees, regulatory stability, and user trust in crypto’s utility as a payment method [7].

Sources:

[1] [Cointelegraph] https://cointelegraph.com/news/paypal-crypto-checkout-tool-support-100-tokens

[2] [CoinGape] https://coingape.com/paypal-to-let-merchants-accept-payments-in-over-100-cryptocurrencies/

[3] [Yahoo Finance] https://finance.yahoo.com/news/paypal-opens-doors-u-merchants-162133070.html

[4] [AInvest] https://www.ainvest.com/news/paypal-pay-crypto-game-changer-global-digital-commerce-2507/

[5] [Crypto Briefing] https://cryptobriefing.com/crypto-payment-integration-paypal-us/

[6] [Fortune] https://fortune.com/crypto/2025/07/28/paypal-100-cryptocurrencies-accept-merchants-bitcoin-ethereum/

[7] [CoinPedia] https://coinpedia.org/news/paypal-opens-100-crypto-payment-options-for-us-merchants-but-pyusd-hits-regulatory-snag/