Freelancers and Filipinos overseas can now use PayPal’s stablecoin PYUSD to pay or settle bills in the Philippine Digital Asset Exchange (PDAX) platform. PDAX is the first crypto exchange to offer the stablecoin in the country.
Stablecoins are designed to maintain a stable value relative to a reference asset, which, in PYUSD’s case, is pegged to the US Dollar. For every 1 PYUSD, a user can redeem $1 from PayPal. Stablecoins provide the benefits of cryptocurrencies, such as fast and secure transactions, while minimizing price volatility commonly associated with other digital assets.
“This is a game changer for most industries where Filipinos earn in US Dollars,” said Lance Pormarejo, head of Consumer, PDAX. “This cryptocurrency streamlines the process for Filipino freelancers and overseas Filipino workers (OFWs) to swiftly transfer their hard-earned income to their recipients’ PDAX digital wallets, all while enjoying reduced conversion costs and transaction fees.”
To send over PYUSD to the Philippines, US-based Paypal users can convert their US Dollars to PYUSD, which can then be transferred to the PDAX wallet of their recipients and effortlessly exchanged for Philippine Pesos.
PYUSD can also be used to send money from the Philippines to the United States. PDAX believes this opens up other use cases, giving Filipinos access to over 30 million vendors in the PayPal ecosystem. PYUSD will also be seamlessly connected to Venmo and Xoom, which are under the Paypal.