PayPal Transforms Cryptocurrency Into Daily Money Through P2P Connections

PayPal, recognized as a global leader in digital payments, has enhanced its peer-to-peer (P2P) services by adding support for Bitcoin (BTC), Ethereum (ETH), and its proprietary stablecoin, PYUSD. Announced on September 15, 2025, this development represents a major milestone in PayPal’s ongoing efforts to bring cryptocurrencies into everyday use. The feature is being introduced first in the United States, with intentions to roll it out to the United Kingdom, Italy, and more countries in the near future.

This new feature is accessible through "PayPal Links," a unique, single-use link that can be generated within the

app, allowing users to share it via SMS, email, or chat. With this link, users can send or request payments, including cryptocurrencies. PayPal has also revealed that this functionality will be available on Venmo and will expand to include more external digital wallets that support crypto and stablecoins. The goal is to make sending or receiving money as effortless as sending a message.

Bringing cryptocurrencies into PayPal’s P2P ecosystem fits within the company’s broader vision of making digital assets practical for regular use, not just for investment. The addition of PYUSD—a stablecoin tied to the U.S. dollar—addresses concerns about price fluctuations. Importantly, PayPal clarified that P2P or friends-and-family transfers using crypto or PYUSD will not require IRS Form 1099-K reporting, meaning these transactions are not reportable under current U.S. tax laws.

This launch is part of PayPal’s "PayPal World" initiative, an international program aimed at enhancing the compatibility of payment systems and digital wallets globally. Strategically, PayPal seeks to remain a pivotal player in a market where crypto and stablecoin solutions are increasingly used for peer-to-peer, remittance, and cross-border payments. While other providers may introduce similar capabilities more quickly, PayPal benefits from its extensive customer base, established reputation, and regulatory experience.

According to CertiK’s recent Skynet 2025 Stablecoin Report, PayPal’s PYUSD stood out as one of the leading stablecoins in terms of security, market performance, and regulatory compliance. The report highlighted that PYUSD’s market capitalization has doubled rapidly, fueled by its integration with the Solana blockchain and the launch of token reward programs. It also noted that USDT, USDC, and RLUSD continue to lead the market in both adoption and safety standards.

The stablecoin sector has experienced significant expansion in 2025, with total supply surpassing $250 billion and monthly settlement volumes increasing by 43%. The report points out that stablecoins are becoming ever more embedded in traditional finance, as conventional banks and

experiment with their use in cross-border payments and asset tokenization. This progress is backed by changing regulations, such as the EU’s MiCA framework and the proposed GENIUS Act in the U.S.

By broadening its crypto offerings, PayPal is positioning itself at the crossroads of traditional financial services and decentralized finance (DeFi). This latest update demonstrates both the rising demand for P2P crypto transactions and the growing acceptance of stablecoins for routine payments. As regulatory landscapes become clearer and more users embrace these technologies, PayPal’s expansion could help drive further adoption of stablecoins in the worldwide financial ecosystem.