Bitcoin News Today: PayPal Unveils 100+ Crypto Payment Option Cuts Transaction Fees 0.99% Cross-Border Costs 90%

PayPal has unveiled a groundbreaking initiative allowing U.S. merchants to accept payments in over 100 cryptocurrencies, marking a pivotal moment in the integration of digital assets into mainstream commerce. The “Pay with Crypto” feature, launched by the payment giant, supports a diverse array of tokens, including major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and stablecoins, alongside niche projects such as Fartcoin [5]. Merchants can now process transactions through popular wallet services like Coinbase and MetaMask, with received cryptocurrencies instantly converted into U.S. dollars via PayPal’s stablecoin, PYUSD [1]. This innovation positions PayPal as a key player in bridging traditional e-commerce with decentralized finance (DeFi), offering a streamlined solution for crypto adoption.

The service introduces a flat transaction fee of 0.99% for merchants, significantly lower than conventional credit card processing costs. This reduction in fees is expected to enhance profit margins for businesses, particularly small- and medium-sized enterprises seeking cost-effective cross-border payment solutions. PayPal’s CEO, Alex Chriss, emphasized the strategic vision: “Building on our 25+ years in payments, we let users link their wallet, pay with any token, convert it instantly to PYUSD, and deliver USD to merchants in seconds. The result? Merchants pay less in fees and can instantly use funds [7].” This model not only mitigates the volatility of cryptocurrencies but also simplifies the reconciliation process for merchants by converting digital assets into stable fiat currency.

The initiative aligns with PayPal’s broader strategy to leverage blockchain technology for global commerce. By supporting over 100 cryptocurrencies, the company caters to a wide spectrum of crypto users, from mainstream investors to enthusiasts of niche tokens. However, the inclusion of speculative projects raises questions about regulatory scrutiny, particularly for tokens lacking clear utility. PayPal’s use of PYUSD for instant conversion addresses these concerns by stabilizing transaction values and reducing exposure to price fluctuations [10].

Analysts suggest that PayPal’s move could catalyze broader industry adoption of crypto as a payment method. The platform’s existing infrastructure—already enabling users to buy, hold, and sell digital assets—now extends to direct crypto acceptance, fostering a more seamless user experience. This expansion is expected to drive increased market volume for major coins like BTC and ETH, as historical trends show PayPal’s crypto announcements typically correlate with heightened trading activity [7]. The company’s ability to navigate regulatory challenges, such as those encountered during PYUSD’s implementation phase [5], underscores its commitment to balancing innovation with compliance.

For merchants, the benefits are tangible: reduced transaction costs, instant access to funds, and the ability to tap into a broader customer base of crypto holders. The 0.99% fee structure eliminates the complexity of managing multiple crypto balances, while cross-border payment capabilities—projected to cut costs by up to 90% [6]—position the service as a competitive alternative to traditional methods. Frank Keller, PayPal’s Executive Vice President, noted: “Our transaction fee model is designed to offer a competitive advantage compared to traditional credit card processing [1].”

The rollout has already drawn regulatory attention, highlighting the evolving legal landscape for digital assets. PayPal’s resolution of initial hurdles with PYUSD demonstrates its proactive approach to compliance, though ongoing clarity on U.S. crypto regulations remains a critical factor for long-term success. As the ecosystem matures, the feature’s impact will hinge on its ability to sustain user trust while fostering innovation.

By prioritizing accessibility and efficiency, PayPal’s “Pay with Crypto” initiative reflects a broader industry shift toward blockchain-enabled solutions. The company’s strategic focus on reducing friction in crypto adoption—while maintaining alignment with regulatory frameworks—positions it as a leader in reshaping the future of global payments.

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](url)

[5] Coinpedia: [https://coinpedia.org/news/paypal-opens-100-crypto-payment-options-for-us-merchants-but-pyusd-hits-regulatory-snag/](url)

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

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

[10] BTC Times: [https://btctimes.com/paypal-to-let-u-s-merchants-accept-bitcoin/](url)