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The original was posted on /r/ethereum by /u/banaanigasuki on 2023-08-11 22:21:35+00:00.

PYUSD by paypal has launched. People say it’s centralized, it’s off chain, it has censorship, bleh bleh bleh. Which is true, but everyone lose the point.

The reasion why TradFi is using Ethereum is one, they see it as settlement as a service. A transaction on Paypal can settle up to a week. Meanwhile if it’s on a validity rollup will take 15 minutes for L2 soft confirmation and a few hours to settle on ethereum.

Other important thing is the interopability and composability of stablecoins. Peopld forget that paypal balance can not swapped to say stripe balance on the app. Meanwhile stablecoins PYUSD and stripeUSD can be swapped at stableswaps, or really any other AMM with deep liquidity.

Last but not least, it’s also possible to do forex and again, instant quick safe cheap and sound settlement. fyi a swap of USD in wells fargo to CHF in swiss bank can take up to days. Meanwhile you can swap USDC to XCHF or whatever on defi.

Maybe DeFi should be rebranded into on-chain finance