Big Tech Tiptoes Further into Crypto: YouTube Offers Stablecoin Payouts

Major technology corporations continue their cautious integration of cryptocurrency into their operations, as exemplified by YouTube's recent decision to offer content creators the option to receive payments in PayPal's stablecoin. May Zabaneh, head of crypto at PayPal, verified this new feature with *Fortune*, confirming its immediate availability, though currently restricted to U.S.-based users of the video platform.

A representative from Google, YouTube's parent company, corroborated that the video platform has enabled creator payouts via PayPal's stablecoin but declined to provide additional commentary. YouTube is an established client of PayPal, utilizing its payout services designed to facilitate payments from large enterprises to contractors and gig workers.

Early in the third quarter, PayPal incorporated the functionality allowing payment recipients to receive funds in PayPal's stablecoin, PYUSD. Subsequently, YouTube chose to extend this option to creators who receive a portion of the revenue generated by their content, according to Zabaneh. She emphasized the advantage of this structure: "The sophistication of our design ensures that YouTube is not required to engage directly with cryptocurrency, thereby simplifying the process."

YouTube's adoption of stablecoins reflects a broader trend, as Google and other Big Tech entities demonstrate increasing interest in cryptocurrencies amidst significant industry buzz. These tokens, whose value is fixed to assets like the U.S. dollar, have long existed within the crypto sector but have recently achieved mainstream prominence, notably following the enactment of new U.S. legislation regulating these assets. Advocates view them as an improvement upon existing financial frameworks, attracting the attention of major financial technology firms like Stripe, which completed a major $1.1 billion acquisition of stablecoin startup Bridge in February.

PayPal has historically been a pioneer in crypto adoption among major tech firms, allowing users to buy and sell Bitcoin, Ethereum, and other digital currencies since 2020. The company introduced its PYUSD stablecoin in 2023, which has since achieved a market capitalization approaching $4 billion, as reported by CoinGecko. PayPal has systematically integrated PYUSD across its product suite, allowing users to hold the asset in its digital wallet and on Venmo, its affiliated financial app. It is also usable for merchant payments, and, as of February, a PayPal executive announced that small and medium-sized merchants would gain the ability to use it for vendor payments.