PayPal rolls out Pay with Crypto solution offering near-instant settlement for cross-border commerce.
PayPal, on July 28, introduced Pay with Crypto, a new payment service addressing long-standing challenges in cross-border commerce.
Businesses processing international payments often face high transaction fees and a fragmented banking landscape. The new service, leveraging cryptocurrencies and digital wallet technology, offers a more streamlined and cost-effective alternative. Pay with Crypto enables merchants to accept cryptocurrency payments from a global customer base and receive instant settlement in either U.S. dollars or PayPal’s own USD-pegged stablecoin, PYUSD.
The newly launched solution supports over 100 cryptocurrencies and integrates with popular wallets such as MetaMask, Coinbase, Binance, and Kraken. With a flat transaction fee of 0.99%, Pay with Crypto promises to reduce processing costs by up to 90% compared to traditional international credit card fees. Conversion will be handled at checkout to protect against currency volatility. Merchants also gain access to a potential market of more than 650 million crypto users with this new feature.
This launch marks a significant step in PayPal’s broader strategy to integrate digital assets into its platform. Since 2020, PayPal has introduced crypto buying and selling capabilities, launched its PYUSD stablecoin in partnership with Paxos in 2023, and recently partnered with Fiserv to expand stablecoin utility for business payments and establish interoperability between their proprietary tokens, FIUSD and PYUSD. The new service builds on these foundations, offering U.S. merchants more flexible and efficient ways to engage in global commerce.
Image source: PayPal
According to PayPal CEO Alex Chriss, the goal is to remove operational friction for businesses of all sizes and empower them with accessible financial instruments. “Imagine a shopper in Guatemala buying a special gift from a merchant in Oklahoma City. Using PayPal’s open platform, the business can accept crypto for payments, increase their profit margins, pay lower transaction fees, get near instant access to proceeds, and grow funds stored as PYUSD at 4% when held on PayPal.”
PayPal also recently introduced PayPal World, a platform connecting major global digital wallets, further expanding the company’s infrastructure for borderless payments. Together with Pay with Crypto, these initiatives represent PayPal’s continued efforts to bridge fiat and digital finance, giving merchants and consumers more payment choices while aiming to reduce the complexity and cost of international commerce.
Pay with Crypto will be rolled out to U.S. merchants in the coming weeks. Regulatory approval is pending in certain jurisdictions, including New York. As with all digital asset services, PayPal advises users to understand the risks and applicable terms of use.
