Bitcoin News Today: PayPal Launches Crypto Payments Service Reducing Cross-Border Fees 90% via 100+ Coins

PayPal Holdings, Inc. (PYPL) has launched the “Pay with Crypto” service, enabling U.S. merchants to accept payments in over 100 cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), and stablecoins like USDT and USDC. The feature, set to roll out in the coming weeks, allows instant conversion of crypto transactions into stablecoins or U.S. dollars, addressing challenges such as high fees, slow settlement times, and foreign exchange volatility [1]. Merchants can leverage multiple crypto wallets, including Coinbase and MetaMask, to access PayPal’s global user base of 650 million crypto holders, aligning with the company’s strategy to reduce cross-border payment costs and streamline international commerce [2].

The service has drawn widespread praise from U.S. merchants, who highlight lower transaction fees compared to traditional credit card rates. Social media discourse underscores enthusiasm for cost savings, with analysts noting potential long-term benefits for retail crypto adoption. Merchants holding PayPal’s USD (PYUSD) stablecoin can earn competitive yields, while promotional fee structures further incentivize adoption [3]. This initiative mirrors PayPal’s 2020 crypto expansion, which spurred trading volume growth for major assets like Bitcoin and Ethereum. While initial price impacts were modest, the current launch could amplify adoption through broader merchant integration and network effects [4].

Expert analysis emphasizes the disruption potential of crypto-based cross-border payments. PYMNTS.com observed that small- and medium-sized businesses often face high fixed costs, opaque intermediaries, and unfavorable foreign exchange spreads in international transactions. By enabling instant settlement and reducing transparency gaps, PayPal’s tool addresses these pain points directly. For example, platforms like Bitso in Latin America and Conduit in Africa have demonstrated the efficacy of stablecoins in bypassing banking limitations, particularly in regions prone to currency devaluation [5]. The service also complements PayPal’s PayPal World ecosystem, connecting it to five major global digital wallets and reinforcing its role in bridging traditional and digital finance [6].

Regulatory developments, including the U.S. Treasury’s push for clearer digital asset guidelines, create a favorable environment for stablecoin adoption. However, the feature’s success hinges on consumer and merchant uptake. Early adopters, particularly cross-border traders and SMBs, are expected to benefit most from cost efficiencies and accessibility. By reducing transaction costs by up to 90% and minimizing exposure to FX risk, the tool could reshape global commerce [7].

PayPal’s CEO Alex Chriss emphasized the service’s role in removing barriers for global expansion, positioning the company to capitalize on decentralized finance demand. As the crypto landscape evolves, the initiative signals a pivotal step toward mainstream adoption, with potential implications for financial inclusion and trade efficiency.

Sources:

[1] PayPal Newsroom, [https://newsroom.paypal-corp.com/2025-07-28-PayPal-Drives-Crypto-Payments-into-the-Mainstream,-Reducing-Costs-and-Expanding-Global-Commerce](url1)

[2] Cointelegraph, [https://cointelegraph.com/news/paypal-crypto-checkout-tool-support-100-tokens](url2)

[3] CoinMarketCap Community, [https://coinmarketcap.com/community/articles/68885d59ee68857097c35361/](url3)

[4] AInvest, [https://www.ainvest.com/news/paypal-crypto-payments-merchants-cut-cross-border-fees-90-0-99-rate-2507/](url4)

[5] PYMNTS.com, [https://www.pymnts.com/news/cross-border-commerce/cross-border-payments/2025/paypal-will-let-cross-border-merchants-pay-with-crypto/](url5)

[6] CoinMarketCap Community, [https://coinmarketcap.com/community/articles/68885d59ee68857097c35361/](url3)

[7] AInvest, [https://www.ainvest.com/news/paypal-crypto-payments-merchants-cut-cross-border-fees-90-0-99-rate-2507/](url4)