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PayPal Holdings Inc. has rolled out a way for US merchants to accept crypto payments. The company set a flat fee of 0.99% per transaction. That’s a hefty cut compared with the near 2.99% merchants often pay on cross‑border credit card sales.
According to PayPal, businesses can save up to 90% on transaction costs when buyers pay with digital coins.
Flat Fees For Crypto Payments
Based on reports, every sale automatically converts crypto into fiat or stablecoins when the merchant chooses. Companies can pick from more than 100 tokens under its “Pay with Crypto” feature.
Bitcoin and Ethereum lead the list. Other picks include USDT, XRP, BNB, Solana and PayPal’s own PYUSD. That stablecoin is backed by US dollar deposits, short‑term Treasuries and cash equivalents. Merchants who stick with PYUSD earn 4% rewards on balances held in their PayPal account.
🚨BREAKING: PayPal will allow U.S. merchants to accept over 100 cryptocurrencies with a 0.99% transaction fee for the first year, increasing to 1.5%. #CryptoPayments #Fintech
— Michael Pace (@mjpgroup) July 28, 2025
Wide Range Of Wallets And Coins
The American payments processing firm also tied this service into wallets beyond its own. Coinbase, MetaMask, OKX, Binance, Kraken, Phantom and Exodus all plug in. That opens the door to some 650 million crypto users around the globe.
PayPal says it’s tapping into a $3 trillion market that has grown fast over the past decade. Smaller businesses in particular could find it easy to add crypto as a payment option without heavy engineering work.
A Nod To Global Ambitions
The launch follows PayPal’s introduction of PayPal World, a platform that links five digital wallets worldwide. PayPal then struck a deal with Fiserv to spread stablecoin use further abroad. Together, those moves hint at an effort to build plumbing for fast, low‑cost money transfers everywhere.
Merchants in the US won’t see surprises at checkout. That 0.99% fee covers network charges and conversion work. By comparison, traditional cross‑border credit card sales often carry fees that climb past 3%.
It’s easy math for sellers: a $1,000 sale in crypto costs $9.90 instead of about $30. That margin could be the difference between profit and loss.
Regulatory Approval Still Pending
According to PayPal, the rollout will begin in the US “in the coming weeks.” One catch: New York merchants must wait on permission from the New York State Department of Financial Services. PayPal says it hasn’t secured that approval yet.
Featured image from Getty Images, chart from TradingView
