paypal, robinhood, and gemini all building on arbitrum this week. real brands getting tokenized. 20M+ users about to get onchain access. game changed. ...

Daily News 🗞 | July 17• Asia is the real powerhouse behind Ethereum’s rally• Strategy now owns 3% of all Bitcoin in circulation• DeFi TVL breaks above $116B as lending demands are back• PayPal plans to add Arbitrum support for PYUSD stablecoin• Crypto spot trading down 22% in Q2 despite Bitcoin rally#CryptoNews #PoloniexNEWS ...

Cryptocurrency & Blockchain - Coinbase Wallet rebranded to "Base app", integrating chat, app discovery, trading, and earning features [1] - El Salvador's President Bukele discussed Bitcoin mining, reserves, and education with Pakistan's Minister of Crypto [1] - Windtree Therapeutics plans a $200 million $BNB crypto treasury strategy, a first for NASDAQ-listed companies [1] - PayPal to expand its $PYUSD stablecoin to the Arbitrum network [3] - Ripple partnered with Ctrl Alt to expand global custody into the Middle East, supporting Dubai's Real Estate Tokenization Project on XRP Ledger [3] - Vitalik Buterin emphasized minimalism for L2 success, leveraging Ethereum's security [3] Monetary Policy & Economic Indicators - Market anticipates a 63% probability of a Federal Reserve rate cut in September [4] - U S PPI fell to 2 3%, below expectations [4] - Trump advocated for a 3 percentage point rate cut by the Fed, projecting $1 trillion in annual savings [4] - Trump criticized Jerome Powell as a "terrible Fed chair" due to high interest rates and Fed spending, but stated he has no plans to fire him [2]

Cryptocurrency Market Overview - The report highlights the outstanding supply of PayPal's PYUSD on Ethereum and Solana blockchains [1]

Core Insights - The fintech landscape is evolving, with PayPal and Upstart Holdings emerging as significant players in different sectors [1][2][3] PayPal Overview - PayPal is transitioning from a transactional payment provider to a comprehensive commerce platform, focusing on user experience and international expansion [4][6] - Despite a nearly 14% decline in stock year-to-date, core operating metrics show resilience, with transaction margin dollars up 7% year-over-year and Venmo revenues increasing by 20% [5][3] - The Buy Now, Pay Later (BNPL) segment is performing well, with volumes rising over 20% and monthly active accounts increasing by 18% year-over-year [5] - PayPal is expanding internationally, with initiatives in Germany and the U.K., and partnerships with Coinbase, Amazon, and Shopify enhancing growth prospects [6][4] - Short-term pressures on margins are anticipated due to investments in modernization and competition from major players like Visa and Mastercard [7] Upstart Overview - Upstart is leveraging AI to disrupt traditional credit underwriting, automating 92% of loans in Q1 2025 and increasing conversion rates from 14% to 19% year-over-year [8][10] - The company is diversifying its offerings beyond personal loans into auto refinancing and HELOCs, with auto originations up 42% and HELOCs up 52% sequentially [10] - Upstart's marketplace model has diversified funding sources, with over 50% of volume backed by committed capital, and credit quality is improving with 32% of originations from super-prime borrowers [10][8] - Challenges include lower take rates due to competition and initial modest margins in newer products, alongside macroeconomic uncertainties [11] Financial Estimates - PayPal's 2025 sales and EPS are expected to rise by 2.9% and 9.5% respectively, with EPS estimates trending upward [12] - Upstart's 2025 sales are projected to increase by 59.46%, with EPS estimates also showing positive trends [13] Valuation Comparison - PayPal shares are considered undervalued with a Value Score of B, trading at a forward Price/Sales ratio of 2.1X [15] - Upstart shares are viewed as overvalued with a Value Score of F, trading at a forward Price/Sales ratio of 6.03X [15] Performance Insights - Over the past month, Upstart has outperformed PayPal and the S&P 500 composite [16] Conclusion - Both companies have unique strengths, with Upstart's rapid growth driven by AI innovation, while PayPal offers stability and a mature global payment infrastructure [19][20] - PayPal's diversified growth drivers and strategic evolution position it as a more reliable choice for investors seeking resilient growth [20][21]

JUST IN: José Fernández da Ponte, formerly the blockchain lead at PayPal, has jumped ship to layer one blockchain Stellar. By @IanAllison123.https://t.co/F7xWVdj3uL ...

Group 1 - The recent surge in stablecoin-related stocks in both A-shares and Hong Kong stocks indicates a strong market interest, with notable performances from companies like Jinshi Technology and China San San Media [1][2] - The legislative progress in Hong Kong and the U.S. regarding stablecoin regulations is expected to provide clearer guidelines and promote the development of the stablecoin industry [1][4] - Major financial centers worldwide, including the U.S., EU, and South Korea, are establishing regulatory frameworks for digital currencies, which is likely to enhance market sentiment and facilitate institutional involvement [2][3] Group 2 - Internet giants and traditional financial institutions are rapidly positioning themselves in the stablecoin market, recognizing its potential as a multi-trillion-dollar opportunity [2][3] - Companies like Ant Group and JD.com are actively seeking stablecoin licenses in Hong Kong, indicating a competitive landscape for stablecoin issuance [3] - The global stablecoin market is projected to exceed $3.7 trillion by 2026, driven by cross-border payments and the tokenization of real-world assets [4] Group 3 - The total market size of cryptocurrency stablecoins has surpassed $250 billion, with trading volumes exceeding $20 trillion last year, reflecting the growing demand for stablecoins in the digital asset market [5]

Stablecoin & Blockchain Integration - PayPal is seemingly adding support for Arbitrum for its PYUSD stablecoin [1] - This is in addition to existing support for Ethereum and Solana [1] Website Update - Website terms indicate the potential addition of Arbitrum support [1]

🚨 BREAKING: PayPal to expand its $PYUSD stablecoin to the Arbitrum network. https://t.co/SRZ1ibEvEt ...

Summary of Conference Call Industry and Company Involved - The conference call focused on the **stablecoin** industry and its implications, particularly in the context of recent legislative developments in **Hong Kong** and the **United States** regarding stablecoins and blockchain technology [1][3][6]. Core Points and Arguments - **Increased Attention on Stablecoins**: The market's interest in stablecoins has surged due to recent legislative advancements in Hong Kong and the U.S., alongside the potential listing of a stablecoin issuer in the U.S. [1][3]. - **Stablecoin as a Currency**: For stablecoins to function effectively as a currency, a stable monetary system is essential, which may involve a one-to-one correspondence with fiat currencies [4][5]. - **Global Promotion of Stablecoins**: The establishment of stablecoin systems by countries can enhance their monetary status globally, potentially challenging the dominance of the U.S. dollar [6]. - **Payment and Settlement Systems**: The stablecoin payment flow system is crucial, involving both issuance and custody mechanisms, which are essential for the functioning of stablecoins [7][9]. - **Investment Opportunities**: Companies involved in the issuance and management of stablecoins, such as **JD.com** and **Central Online**, are highlighted as potential investment opportunities [8][9]. - **Cross-Border Payment Systems**: Companies like **Newland** and various IT firms are expected to benefit from the development of cross-border payment systems enabled by stablecoins [12]. - **RWA (Real World Assets)**: The discussion also touched on RWA, which involves tokenizing physical assets to enhance liquidity and reduce transaction costs, presenting broader investment opportunities [13][16]. Other Important but Possibly Overlooked Content - **Market Dynamics**: The most profitable entities in the stablecoin market are the issuers, who benefit from high yields on short-term U.S. Treasury securities [24]. - **Role of Exchanges**: Exchanges play a significant role in the growth of stablecoins, as seen with **Circle** and **Tether**, which have partnered with major trading platforms to increase their market presence [25]. - **Regulatory Environment**: The evolving regulatory landscape in both the U.S. and Hong Kong is crucial for the future of stablecoins and their adoption [3][6]. - **Potential of Hong Kong Stock Exchange**: The Hong Kong Stock Exchange is seen as a key player in the RWA space, particularly for tokenizing stocks for trading [28]. This summary encapsulates the key insights and discussions from the conference call, providing a comprehensive overview of the current state and future potential of the stablecoin industry and related investment opportunities.