PayPal's New Stable Coin Sparks Debates as Suspicious Features gets Uncovered
PayPal's new digital coin, PYUSD, sparks debate. While some see it as progress for Ethereum, others worry about big companies having too much control.
Paypal has created a new digital coin based on Ethereum called PYUSD. This has gotten mixed reactions from people who deal with digital currencies.
This new coin, which started on Aug. 7, can be used for online payments. Some believe this will help Ethereum become more popular. Right now, around 300,000-400,000 people use Ethereum daily. With PayPal's new coin, this number might grow because more than 430 million people use PayPal.
Experts like Anthony Sassano and Ryan Sean Adams feel this is a big step forward for Ethereum. But others worry that PYUSD gives too much control to big companies and takes away personal freedom.
Martin Koppelmann, a leader at a company called Gnosis, thinks this new coin can work well with other Ethereum projects. Patrick McHenry, a US lawmaker, sees this as a way to modernize the way we pay for things.
Yet, some people are worried about the coin. They say it can be controlled too easily by big companies like PayPal. Sarah Hodder, a lawyer, thinks the coin can be controlled in ways that are not fair. Since Paypal would hold the right to freeze funds and reverse transactions.
She also noted that this stable coin is more Similar to a CBDC but issued by a private company instead of the Government.
Patrick Collins, an engineer, thinks PayPal could have made better choices when creating the coin. Sassano, an Ethereum supporter, reminds people that they can choose whether to use the coin or not.
PayPal will let people use PYUSD in the next few weeks.
Ethereum's price, known as ETH, is $1,831. It hasn't changed much since PayPal talked about their new coin.
