Mastercard, PayPal and Payoneer are among the payments players eyeing the potential for stablecoins to advance business-to-business payments.
While consumers around the world led the way in adopting digital payments on their phones and other mobile devices, businesses may lead the way in the use of stablecoins. The value of cryptocurrencies like bitcoin have been volatile, but stablecoins are less so because they’re typically tied to money issued by a government.
Digital payments pioneer PayPal is developing and testing ways to use its own stablecoin, PYUSD, which was established in 2023, and was investigating the market for several years before that launch. Now, it’s finding B2B use cases an attractive way to advance the cryptocurrency and seek to move U.S. payments beyond their legacy rails. Principally, companies see stablecoins as a possible route to lowering costs, especially in cross-border payment situations.