According to a JPMorgan analyst, the introduction of PayPal's new stablecoin might help Ethereum by raising the total value locked.
The PYUSD stablecoin may increase Ethereum's network utility
According to a JPMorgan analyst, the introduction of PayPal's new stablecoin might help Ethereum by raising the total value locked.
The PYUSD stablecoin may increase Ethereum's network utility as a platform for decentralized applications (DeFi) and stablecoins, luring more businesses to use Ethereum or its layer 2 platforms for their decentralized applications or stablecoins.
However, PYUSD usage may be discouraged by Ethereum's high transaction costs.
According to JPMorgan analysts, PayPal's foray into the stablecoin market will improve payment network synergies between traditional and decentralized finance.
However, the US regulatory environment for stablecoin issuers is still under consideration and could change in the future.
