The media learned about PayPal's plans to create a stablecoin. It can be launched on the Avalanche blockchain

PayPal plans to launch its own stablecoin, writes The Block, citing four sources familiar with the situation.

According to them, PayPal is already contacting the developers of the stablecoin protocols. This implies that cooperation with a third-party company is considered as a priority option. They claim that PayPal contacted the Ava Labs team behind the development of the Avalanche blockchain platform. It is not known who else the company may negotiate with.

A PayPal representative, in response to a request for comment, said that they continue to explore the prospects of the digital asset space from the point of view of their application in e-commerce. "We often negotiate technologies that can help us achieve our goals. However, rumors and speculation cannot serve as evidence of the company's future plans, " PayPal said.

"It seems that they are more inclined to work with a partner already represented in the stablecoin space, instead of creating something themselves. I think this way they will be able to enter the market faster, and this is the main question for them, " the source said.

Rumors that PayPal is going to take up stablecoins appeared some time before that. One of the sources called PayPal's plans the most well-known secret in the entire cryptocurrency industry.

Since late last year, PayPal has been allowing American customers to buy, sell, and hold digital assets. In March, the company announced the purchase of cryptocurrency startup Curv "to accelerate and expand its initiatives to support cryptocurrencies and digital assets," which was its first acquisition of its kind. Ava Labs is developing a scalable Avalanche blockchain with support for subnets and tokens based on real-world assets.