PayPal CEO Alex Chriss has said that it will take time before the adoption of stablecoins becomes widespread in the United States. According to the CEO, consumer appetite has remained weak despite increased legislative actions and public discussions.
While PayPal debuted one of the first stablecoins from a big financial company to market in 2023, it has been difficult for users to use the token for everyday financial activities, Chriss said. The Genius Act may also cause restrictions around cryptocurrency to ease up and become more accessible to people, he said.
PayPal uses stablecoins for cross-border transactions
Chriss believes that stablecoins solve issues like delays, high transaction fees, and a lack of transparency that are found in traditional methods when sending money across borders. The company sees cross-border payments as a gateway for mainstream users in underserved regions, where people often rely on outdated financial systems, and wants everyone to experience the benefits of stablecoins firsthand.
However, Chriss says adoption rates in the US have been low because consumers are yet to find better reasons to change their habits. They don’t see how stablecoins can improve their daily financial lives and are comfortable using credit cards, bank transfers, and mobile apps. Chriss also explained that PayPal builds tools and programs that make stablecoins easier and safer.
The company is also launching its stablecoin early and investing in infrastructure, education, and partnerships that make stablecoins more useful in the real world. Meanwhile, the GENIUS Act recently passed the Senate and is now waiting for a vote in the House of Representatives. It could give businesses and consumers more confidence to participate in the digital economy.
US lawmakers are also working on a second major piece of legislation focusing on the broader crypto market. Senate Banking Committee lead, Senator Tim Scott, said he wants Congress to pass a digital asset market structure bill before the end of September. The bill will determine whether the SEC or the CFTC should oversee different types of digital assets, including stablecoins, tokens, and cryptocurrencies.
Senator Cynthia Lummis also said she would feel “extremely disappointed” if the GENIUS Act and the digital asset market structure bill failed to pass before 2026. More companies are expected to join the industry, and there will be opportunities for innovation once Congress passes the bill. The new protections and guidelines for how stablecoins and other digital assets should work will make users feel more secure and allow companies to invest in new technology and offer digital money services to more people.