PayPal Seeks Utah Banking License to Establish Lending Institution

According to PANews, PayPal (NASDAQ: PYPL) announced on Monday its application for an industrial bank charter in Utah, aiming to establish a lending institution named 'PayPal Bank.' The company, which operates the PYUSD stablecoin in collaboration with Paxos, stated in a press release that it plans to offer 'business loan solutions' to small enterprises and open interest-bearing savings accounts for other customers. Additionally, PayPal intends to collaborate with credit card networks and has applied for deposit insurance from the Federal Deposit Insurance Corporation. Although PayPal's Monday statement did not mention its cryptocurrency-related operations, the company has recently increased its investments in this area. Earlier this year, PayPal enhanced its services by introducing wallet-to-wallet cryptocurrency transfer capabilities, allowing users to create personalized links for sending or requesting funds via cryptocurrency. Furthermore, PayPal launched a 'Pay with Crypto' feature for merchant services, acting as an intermediary to enable merchants to accept cryptocurrency as a payment method.