PayPal Supports Mesh, a Crypto Security Startup, with PYUSD Stablecoin

PayPal Ventures Invests in Crypto Startup Using PYUSD Stablecoin

PayPal Ventures, the investment branch of payment giant PayPal, has made its first investment using its stablecoin PayPal USD (PYUSD). The investment was made in Mesh, a crypto-focused cybersecurity startup that utilizes PYUSD, an Ethereum-based stablecoin. This marks the first time that PYUSD has been used as a funding instrument. Although the specific financial details were not disclosed, PayPal stated that the investment was made “almost entirely” in PYUSD and transferred on-chain using Mesh’s APIs.

About Mesh and PayPal’s Use of PYUSD

Mesh is a fintech connection layer that enables enterprise clients to facilitate crypto payments, account aggregation, and trading across 300+ platforms. This investment represents PayPal’s first use case of PYUSD for venture deals. Despite gaining attention from U.S. regulators, including an investigative subpoena from the SEC, PayPal continues to expand the use of its stablecoin.

The Advantages of PYUSD

PYUSD allows users to convert digital currencies into U.S. fiat, making it a valuable tool for stablecoin adoption worldwide. Since its launch in August 2023, PYUSD has gained significant traction and currently ranks eighth among the top ten stablecoins. It has amassed a market capitalization of $300 million.

Hot Take: PayPal Ventures Supports Crypto Innovation with PYUSD Stablecoin

PayPal Ventures’ investment in Mesh using its stablecoin PYUSD demonstrates the company’s commitment to fostering innovation in the crypto space. By utilizing PYUSD as a funding instrument, PayPal is furthering the adoption of stablecoins and showcasing their potential in traditional financial services. As the world of finance continues to evolve, user ownership and portability of assets are becoming essential, with crypto serving as the first step towards this transformation. PayPal’s backing of Mesh highlights the growing importance of cybersecurity in the crypto industry and paves the way for further collaborations between traditional financial institutions and blockchain startups.