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MoonPay Introduces PayPal Fiat On-Ramp in UK and EU

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MoonPay Introduces PayPal Fiat On-Ramp in UK and EU

MoonPay has recently unveiled a new feature that will allow users in the European Union (EU) and the United Kingdom (UK) to purchase cryptocurrencies via PayPal. Though currently only 1% of European users can access this option, a broader rollout is expected in the coming weeks. Notably, the integration will exclude residents in Croatia, Iceland, and Hungary.

According to MoonPay, PayPal ranks as one of the top three payment methods in the United States, following Apple Pay and traditional bank cards. Ivan Soto-Wright, the CEO and co-founder of MoonPay, highlighted the advantages that PayPal brings to the platform. He pointed out that incorporating PayPal will facilitate a smoother user experience, especially for those new to the crypto world, by lowering entry barriers and fostering trust and convenience among their expanding clientele.

In the United States, the option to use PayPal for cryptocurrency purchases through MoonPay is already available in 48 states, with exceptions being New York and Texas. This demonstrates MoonPay’s ongoing efforts to expand and innovate their services by integrating widely-trusted payment systems like PayPal.

In August 2023, PayPal made headlines by announcing its own stablecoin, PayPal USD (PYUSD), pegged 1:1 against the U.S. dollar. Unlike other stablecoins such as Circle’s USDC and Tether’s USDT, which are also overcollateralized, PYUSD aims to introduce more liquidity and stability into the digital asset space. To achieve this, PYUSD is backed by cash and short-term cash equivalents, ensuring a reliable value representation.

Moving ahead to May 2024, PayPal expanded PYUSD’s operational framework by deploying it on the Solana network. Solana’s high throughput and minimal transaction costs were attractive features, intended to make the stablecoin more usable for daily and personal transactions. Initially launched on Ethereum as an ERC-20 token, PYUSD faced limitations due to Ethereum’s lower transaction speed and higher costs caused by network congestion.

Following its deployment on Solana, PayPal introduced additional privacy options for PYUSD. One of these new features, termed “confidential transfers,” allows transaction amounts to remain hidden from public view while still complying with regulatory reporting requirements. This innovation aims to boost the stablecoin’s appeal for merchants who prioritize transaction confidentiality.

Stablecoins, including PayPal’s PYUSD, are digital tokens that represent fiat currencies. These can be either backed by actual cash reserves and equivalents at a 1:1 ratio or be algorithmic. Algorithmic stablecoins maintain their value through automated processes without actual cash reserves. Such stablecoins increase liquidity, make banking services more accessible in underserved regions, reduce transaction costs, and provide effective solutions for cross-border payments.

MoonPay’s integration of PayPal for crypto purchases marks a significant step in making cryptocurrency more accessible and user-friendly for people in the EU and UK. PayPal continues to innovate in the digital asset space, with its stablecoin PYUSD promising more efficient and private financial transactions. Both companies are pushing the boundaries of the financial ecosystem, aiming to bring convenience, security, and efficiency to a broader audience.

37 thoughts on “MoonPay Introduces PayPal Fiat On-Ramp in UK and EU

  1. Honestly, the hype around PYUSD and Solana sounds more promising than this MoonPay feature. 🤦

  2. Can’t wait for the broader rollout! Keep up the great work, MoonPay! 👏🌍

  3. Glad to see MoonPay and PayPal working together for a smoother user experience! 🤝📝

  4. Smooth integration like this is what we need in the crypto world. Great job!

  5. If it’s only available to 1% now, will the broader rollout even happen soon?

  6. PayPal already has high fees; now integrating it with crypto seems like a money grab.

  7. It feels like they’re favoring some regions over others. Not cool, MoonPay. 😓

  8. It’s great for that 1%, what about the rest of us? Seems discriminatory.

  9. Only 1% of Europeans can access this? That’s such a small rollout. What’s the point?

  10. Limited access and exclusion of some countries make this feature less appealing. 😑

  11. Excluding Croatia, Iceland, and Hungary? 🤨 That’s really unfair. 💔

  12. Why can’t they just offer this feature everywhere at once? Feels half-baked.

  13. This is a game changer! MoonPay and PayPal make it so easy to jump into crypto.

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