- Project Sela, a CBDC venture, combines private sector agility with central bank oversight.
- The introduction of “Access Enablers” promises heightened competition and reinforced security.
Coinbase, the prominent US-based cryptocurrency exchange, has unveiled its plans to enter the world of PayPal’s recently introduced stablecoin, PYUSD. The action demonstrates Coinbase’s experimental stance in approaching PYUSD trading, scheduled to begin on August 31, pending liquidity conditions.
Coinbase’s Experimental Approach to PYUSD Trading
Coinbase announced on Twitter that PYUSD trading will begin “on or after 9 a.m. PT,” with a gradual introduction around PYUSD-USD pairs. Highlighting that some jurisdictions may have trading restrictions is crucial.
Coinbase had hinted at PYUSD’s potential listing last week, and this confirmation sheds light on the exchange’s experimental intent. The “experimental” label signifies that Coinbase is cautiously embracing assets that are relatively new to its platform or possess lower trading volumes compared to more established counterparts in its expansive crypto marketplace.
Vigilant Monitoring and Future Prospects
The experimental tag indicates that Coinbase will closely monitor the performance and reception of PYUSD within its ecosystem. If the asset meets the criteria of trading volumes and user demand, the label may be removed.
PayPal’s Stablecoin Journey
PayPal’s venture into the stablecoin domain, partnering with Paxos, has led to PYUSD’s listing on various exchanges such as Huobi, Kraken, and Crypto.com. However, PYUSD’s adoption rate has been slower than expected, resulting in a total supply of approximately 43 million tokens.
Understanding the Dynamics
Nansen’s most recent report explains why PYUSD appears to have low user demand. Possible explanations for this result include PayPal’s targeted approach to the creation of its stablecoin.
Coinbase’s foray into PYUSD trading signals a potential shift in the stablecoin’s adoption trajectory, with the exchange’s experimental approach aiming to bolster its acceptance and utilization.