PayPal CEO Cautions on Premature Stablecoin Adoption Despite Regulatory Progress

PayPal CEO Alex Chriss tempered expectations for stablecoin adoption during a Bloomberg TV interview, citing underdeveloped use cases and lack of consumer incentives. The payments giant sees cross-border transactions as the most viable near-term application for blockchain-based settlements.

While PayPal became the first major US firm to launch a stablecoin in 2023, Chriss noted current usage remains concentrated in international transfers rather than daily commerce. "There isn't a real incentive to drive adoption," he acknowledged, revealing PayPal now offers rewards to stimulate engagement.

The comments come as Washington advances regulatory clarity, with the Senate recently passing the bipartisan GENIUS Act to establish payment frameworks. PayPal's stablecoin ambitions align with its strategic positioning in blockchain payments, even as much of the crypto sector remains trading-focused.