Fiserv and PayPal have announced a partnership to develop interoperability between their respective stablecoins. FIUSD and PayPal USD (PYUSD).

The collaboration aims to enable both consumers and businesses to move funds domestically and internationally using these digital assets.

By leveraging their global presence in banking and payments, Fiserv and PayPal intend to promote the broader use of stablecoins and programmable payments.

Takis Georgakopoulos, Chief Operating Officer at Fiserv, stated,

“Our expanded relationship with PayPal furthers our mission to scale stablecoin-powered payments, leveraging our position at the intersection of banking and commerce to build more efficiency and optionality into the payments ecosystem.”

Frank Keller, Executive Vice President at PayPal, added,

“Businesses around the globe face common problems. They don’t receive funds fast enough, they are combating inflation, and many face currency value fluctuations. Blockchain-based technology solves many of these challenges by enabling faster transfers, at any time of day, nearly anywhere around the globe.”

“Together with Fiserv, we will help bridge the gap between traditional financial systems and new technologies, enabling faster, more cost-effective, and globally accessible payment options for merchants.”

The companies plan to identify areas where FIUSD and PYUSD can be integrated into various payment processes, including cross-border transactions, payouts, and merchant services.

This initiative follows Fiserv’s recent announcement that it will launch FIUSD, a bank-aligned stablecoin designed to allow financial institutions to offer digital asset solutions.

PYUSD, which launched in 2023, has already been used in applications such as startup funding, cross-border transfers through Xoom, and invoice reconciliation.

Featured image credit: Edited by Fintech News America, based on image by hammadalikhn via Freepik