US-based crypto exchange Coinbase has formed a partnership with PayPal to support the use of PayPal’s stablecoin, PYUSD. The collaboration is aimed at increasing the adoption of stablecoins in digital payments.

Meanwhile, Coinbase has submitted a filing to the Commodity Futures Trading Commission (CFTC) seeking approval to launch futures contracts for the XRP token. According to the filing, the proposed product is a monthly, cash-settled, and margined contract, traded under the symbol XRL.

Coinbase and PayPal Expand PYUSD Access

“For years, we've worked with Coinbase to enable a best-in-class integration to provide a simple, familiar way for PayPal users to fund crypto purchases on Coinbase. Our objectives aligned further as we deployed PYUSD in combination with our payments expertise enabling greater commerce applications,” said Alex Chriss, President and CEO, PayPal.

As part of the initiative, Coinbase will allow users to convert between US dollars and PYUSD without paying any fees. This offer applies to both retail and institutional customers. The company plans to use its infrastructure to support PYUSD for PayPal’s largest merchant partners.

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Stablecoin Adoption Grows

The two companies will also explore the use of PYUSD for onchain transactions. They said the goal is to expand stablecoin usage in everyday payments and encourage more customers to use blockchain technology for financial activities.

Coinbase pointed to a rise in stablecoin usage in recent years. According to the company, global transaction volumes using stablecoins grew from $6.2 trillion in 2023 to $22 trillion in 2024.

“We're excited to be partnering with PayPal. Their more than 430 million consumer and merchant accounts offer an unprecedented opportunity to increase stablecoin adoption globally,” said Brian Armstrong, the CEO of Coinbase.