PayPal partnered with Coinbase and deploys Pyusd Awards System

Paypal shakes the cryptocurrency space with two major changes, including a new Coinbase System for Pyusd Stablecoin, Cryptocurrency of PayPal, which started in 2023.

The world of cryptocurrency is constantly evolving, but these changes can be important if you hold Pysud in your Paypal or Venmo wallet.

Here’s what the two messages mean on Thursday to your cryptocurrency and what else you can expect from the online payment system.

A new award system

From this summer, Paypal will launch a new reward system for anyone holding Pyusd Stablecoin.
You can win prizes at 3.7% annually in stable you hold in PayPal or Venmo walletsAnd you can continue to gain prizes every day and pay you a month. The awards will be added directly to your cryptocurrency center. You will receive the annual reinforced prizes in the form of Paypal Pyusd, where you can use the awards immediately.

“Consumers and businesses use PYUSD today for trade, cryptocurrencies, partner transfers and B2B payments,” said Alex Chris, President and CEO of PayPal, in a statementS “We demonstrate our engagement to an innovative, trading ecosystem trading, giving it to settle cross -border transfers, payments to suppliers and in the future for additional use of payments such as payment and payment of the bill.”

While holding PYUSD can potentially help you maximize your profit, you can use your prizes at any time in several ways, including:

• Foreign transactions such as cash transfers, no transaction fees
• Send prizes directly to other PayPal or Venmo users
• Convert prizes to US dollars for your PayPal or Venmo Balance
• Make purchases using PayPal Checkout
• Transform prizes to other cryptocurrencies
• Send Onchain to the maintained Ethereum and Solana Blockchains

You can join or outside the program at any time and redeem your US dollars.

However, it is important to note how earning cryptocurrencies is different from winning US dollars. If you are investing money Savings account with high yield With 3.7% APY, for example, all the money you earn in interest rates retain their value. So if you have earned $ 5 interest, you will still have those $ 5 next month, even if the account APY has changed.
In contrast, if you win 3.7% PYUSD awards worth $ 40 one day, it can cost $ 3 next month (or the next day). Crypture, like the stock exchange, is fluctuating in value, but is considered much more respective. HYSA prices also tend to move in the same direction as the central bank and usually do not rise or fall dramatically.

There are and there are Tax consequences for the sale and use of cryptocurrencyS If you hold your cryptocurrency for less than a year before you sell it or spend it, it is taxed at your ordinary income rate.

If you are selling or trading cryptocurrency, it is best to talk to a tax professional when it’s time to Submit your taxes.

A new partnership with Coinbase

PayPal’s Stablecoin News also includes a new partnership with Coinbase. Paypal and Coinbase, popular Cryptocurrencyits partner on Thursday to study more ways to use Stablecoin, PayPal said in a statementS As part of the partnership, Coinbase will offer no fees purchases and 1: 1 redemption of PYUSD. The partnership will also extend the presence of PYUSD to Coinbase clients and financial institutions.

Paypal and Venmo customers can also redeem Pyusd for US dollars on Coinbase platforms.