Venmo, a mobile payment service owned by PayPal, has recently announced its support for PYUSD, a stablecoin pegged to the US dollar, created by its parent company.
This feature is currently available to a select group of users, with plans to fully roll it out in the coming weeks.
On August 7, PayPal revealed the launch of PYUSD, which runs on the Ethereum blockchain and follows the ERC-20 standard.
The infrastructure company Paxos is the issuer of this stablecoin.
According to the statement, PYUSD is designed to bridge the gap between traditional fiat currencies and the Web3 ecosystem by allowing for simpler and faster everyday transactions with reduced costs.
Through Venmo, users can purchase PYUSD and send it to other users on PayPal, Venmo, and compatible external wallets.
Transactions between these platforms are free, while external wallets and merchants accepting stablecoin payments will be charged a blockchain fee.
PayPal also highlighted the growing accessibility of PYUSD within the native cryptocurrency ecosystem.