PayPal Empowers U.S. Merchants with 100 Crypto Payment Options

• Accept Bitcoin, Ethereum, and niche tokens like TRUMP and FARTCOIN.
• Lower transaction fees and seamless cross-border payments.

PayPal announced on July 28, 2025, that it will enable U.S. small businesses to accept payments in over 100 cryptocurrencies through its new service, “Pay with Crypto.” The feature, designed to streamline cross-border transactions and lower costs, includes major cryptocurrencies like Bitcoin and Ethereum and extends to niche tokens such as Trump (TRUMP) and Fartcoin (FARTCOIN). PayPal aims to make cryptocurrency more accessible for merchants while shielding them from volatility by converting crypto into its stablecoin, PayPal USD (PYUSD), and then into U.S. dollars.

Reuters reported that customers will link cryptocurrency wallets such as Coinbase, MetaMask, and Binance to PayPal’s payment platform at checkout. During a transaction, the service converts cryptocurrencies through either centralized exchanges like Coinbase or decentralized ones like Uniswap. PayPal then holds the converted funds as PYUSD before converting them to dollars for the merchant. Merchants who want to retain PYUSD can opt to do so and earn rewards, which could yield up to 4.5% annually. However, the Federal Deposit Insurance Corporation (FDIC) and the Securities Investor Protection Corporation (SIPC) do not insure digital assets like PYUSD.

PayPal is launching a promotional 0.99% transaction fee for merchants in the first year, which will subsequently increase to 1.5%. For comparison, traditional credit card processing fees for international transactions typically range from 1.5% to 3.5%. PayPal’s initiative could enable merchants to save up to 90% on costs, particularly benefiting small businesses conducting global commerce. According to PayPal CEO Alex Chriss, the feature will “break long-standing barriers in global commerce” and connect U.S. merchants to a growing international market of over 650 million cryptocurrency users.

The introduction of "Pay with Crypto" follows the recent passage of the GENIUS Act, a U.S. regulatory framework clarifying the use of stablecoins like PYUSD. The move positions PayPal to compete with platforms like Stripe and Coinbase in integrating crypto into mainstream payment systems. The rollout will begin nationwide in the coming weeks. However, the New York State Department of Financial Services (NYDFS) has not yet approved the service. This restricts its availability in New York for now.

As of July 28, 2025, 23:56 UTC, PayPal USD (PYUSD) is trading at $1, with a 2.3% increase in 24-hour trading volume, according to CoinMarketCap.