PayPal and Coinbase expand partnership for stablecoin-based solutions

PayPal (PYPL) and Coinbase (COIN) announced an expansion of their partnership to increase the adoption, distribution, and utilization of the PayPal USD, or PYUSD, stablecoin. This partnership will give Coinbase’s customers direct access to PYUSD while also enabling institutions already using crypto increased utility with PYUSD. Coinbase users will now be able to buy, sell, trade PYUSD with no platform fees, while also being able to redeem PYUSD 1:1 for US dollars directly on Coinbase platforms. The two companies are committed to collaborating on a variety of innovations that will help accelerate the adoption and utility of stablecoin based solutions for the purposes of moving or managing money around the world. Coinbase and PayPal agree to explore new use cases for PYUSD in DeFi and onchain platforms. This agreement expands on the previous work between the two companies announced in 2021, enabling Coinbase users to use their PayPal accounts for immediate and direct funding of purchases on Coinbase and making withdrawals of fiat currency from Coinbase.