Bitcoin News Today: PayPal Launches Crypto Payments with 0.99% Merchant Fees and 90% Lower Cross-Border Costs for 100+ Coins

PayPal has introduced “Pay with Crypto,” a feature enabling U.S. merchants to accept over 100 cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), and Tether (USDT), alongside niche tokens like TRUMP and FARTCOIN. The service converts incoming crypto payments into stablecoins (e.g., PayPal’s PYUSD) or fiat currencies in real time, mitigating price volatility risks. Merchants can utilize a promotional fee structure of 0.99% for crypto transactions, a significant reduction from standard interchange fees, while cross-border costs are cut by up to 90% through automated conversions [1]. The initiative aligns with PayPal’s broader vision to bridge traditional finance and decentralized ecosystems, offering a streamlined payment experience for both consumers and businesses [2].

The feature supports 90% of the $3+ trillion cryptocurrency market capitalization, integrating a diverse range of digital assets into mainstream commerce. By enabling instant conversions, PayPal aims to simplify the management of crypto balances for merchants, who receive stable or fiat equivalents without exposure to market fluctuations. This approach is paired with a strategic collaboration with Fiserv to expand stablecoin usage globally, enhancing accessibility for businesses in underbanked regions [3]. The rollout also follows the launch of PayPal World, a partnership linking five major digital wallets to a unified platform, redefining global payment dynamics [4].

Analysts highlight the initiative’s potential to accelerate crypto adoption by addressing fragmentation in the market. Smaller cryptocurrencies, often hindered by liquidity challenges, gain exposure through PayPal’s extensive merchant network, potentially incentivizing broader business participation. However, regulatory scrutiny of stablecoins like PYUSD remains a concern, as compliance frameworks could impact long-term viability [5]. The inclusion of speculative tokens raises questions about risk management, though PayPal’s automated settlement process locks exchange rates at checkout to minimize volatility exposure [6].

For merchants, the feature reduces operational costs and expands access to international customers, particularly in sectors like gaming and e-commerce where digital assets are culturally significant. Consumers benefit from expanded payment options, enhancing financial inclusivity in regions with unstable fiat currencies. PayPal’s cautious approach—prioritizing stability over speculative gains—positions it as a leader in integrating crypto into everyday transactions while navigating regulatory and market uncertainties [7].

Sources:

[1] [PayPal Drives Crypto Payments into the Mainstream](https://newsroom.paypal-corp.com/2025-07-28-PayPal-Drives-Crypto-Payments-into-the-Mainstream,-Reducing-Costs-and-Expanding-Global-Commerce)

[2] [Paypal Launches Pay With Crypto to Bring 100+ Coins and Wallets Mainstream](https://news.bitcoin.com/paypal-launches-pay-with-crypto-to-bring-100-coins-and-wallets-mainstream/)

[3] [Bitcoin News Today: PayPal Introduces Crypto Checkout](https://www.ainvest.com/news/bitcoin-news-today-paypal-introduces-crypto-checkout-merchants-0-99-fee-promo-100-cryptos-accepted-2507/)

[4] [PayPal Opens Bitcoin And Crypto Payments To US Merchants](https://bitcoinmagazine.com/news/paypal-opens-bitcoin-and-crypto-payments-to-us-merchants)

[5] [PayPal Opens 100+ Crypto Payment Options for US Merchants](https://coinpedia.org/news/paypal-opens-100-crypto-payment-options-for-us-merchants-but-pyusd-hits-regulatory-snag/)