PayPal’s PYUSD Poses Threat to USDT’s Dominance in the American Market, Tether CTO Cautions: Report
Tether’s Chief Technology Officer, Paolo Ardoino, has weighed in on the potential impact of PayPal’s newly introduced stablecoin PYUSD on the competitive landscape.
Ardoino, in an interview with Benzinga, refrains from considering PYUSD as a direct rival to Tether (USDT). Instead, he sees it as a challenge primarily for competitors such as Circle’s USD Coin (USDC). Ardoino suggests that PYUSD could pose a challenge to stablecoins like USDC, which have a strong focus on the US market. While Tether predominantly targets emerging markets outside of the US. He notes that the emergence of another stablecoin in the US could lead to a reduction in revenues for payment giants like MasterCard and Visa.
Ardoino believes this development will drive further industry growth and encourage the establishment of prudent regulations. The launch of PYUSD by PayPal, backed by US dollar deposits and similar cash equivalents, introduces a versatile stablecoin that can facilitate frictionless in-experience payments and enable swift transfers of value. Issued by crypto firm Paxos, PYUSD aims to seamlessly integrate with the web3 ecosystem and is set to be compatible with Venmo.
Clever Robot News Desk 10th August 2023
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