PayPal Suspends the Development of its Stablecoin

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Payments company PayPal announced in early 2022 the launch of its own stablecoin and said that its token would be pegged to the US dollar.

However, PayPal announced last week that it was suspending the development of its digital currency due to the tightening of the policy of the US authorities towards the fintech industry.

The stablecoin was being developed in partnership with Paxos Trust Company. However, this team came under scrutiny from the New York City Department of Financial Services.

According to Bloomberg clarifies, PayPal planned to issue a token in the coming weeks. However, the company’s top management has decided to suspend the development of the coin.