# PayPal Makes Major Bet on Crypto and Stablecoins After Q2 Results The company announced its second-quarter results and established crypto as a separate division. - **Source:** [CryptoPotato](https://brifing.si/source/bd22636b-ec8d-42a8-8cca-1937c50e0f6c) - **Published:** 2026-08-02 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/9dedd555-34a1-44ae-a120-70cd2d34e9b4 ## PayPal's Financial Performance PayPal reported a total payment volume of $486.4 billion in the second quarter, marking a 10% year-over-year increase. Revenue reached $8.68 billion, with earnings per share at $1.38, surpassing analyst estimates of $1.28. Transaction margin rose to $3.9 billion, and adjusted free cash flow hit $1.83 billion. ## Crypto and Stablecoin Strategy PayPal consolidated its crypto assets into a separate unit and identified stablecoins as a key growth area. The PYUSD stablecoin had a circulating supply of $2.8 billion by mid-July, down from $4 billion in March. PYUSD is now available in 70 markets and is used by YouTube to pay content creators. ## Market Share and Competition According to CoinGecko research, PYUSD and Societe Generale's EURCV hold only a small share of the stablecoin market. USDT and USDC dominate with 93.5% of fiat-backed stablecoins. PYUSD was launched natively on the Polygon network and is supported by Paxos. ## Structural Changes and Savings Plan CEO Enrique Lores aims to save $1.5 billion by 2025, with $400 million expected by year-end. The plan focuses on simplifying operations, optimizing portfolios, and accelerating AI adoption, which is projected to account for 40% of total savings. ## Cost of Crypto Holdings PayPal reported an $81 million net loss from its crypto assets, up from $74 million in the previous quarter. The company expects its crypto portfolio to contribute $0.14 per share to 2025 GAAP earnings. ## Future of Stablecoins PayPal views stablecoins and crypto assets as part of its long-term growth strategy. The company plans to expand PYUSD's global reach, positioning it as an alternative to traditional financial systems. ## CEO's Vision New CEO Enrique Lores is focused on improving PayPal's operational efficiency. Investments in AI and automation are expected to reduce costs. Lores, who rejected an offer from Stripe, supports PayPal's crypto-focused strategy. ## Outlook and Expectations PayPal's investments in crypto and stablecoins aim to strengthen its leadership in fintech. The company targets stronger performance in 2025, with new partnerships and technological advancements expected to boost PYUSD's market share. ## Sources covering this story - https://cryptopotato.com/paypal-betting-big-on-stablecoins-after-disclosing-q2-results/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._