These changing conditions would make a stablecoin vastly more appealing for PayPal, for two straightforward reasons. First, as Da Ponte implied, the extended services enabled by a stablecoin may encourage users to hold a larger amount of money in the form of PYUSD, and to hold it longer. In theory, that could happen if there are simply more ways to use PYUSD than a conventional PayPal balance — for instance, for crypto trading on decentralized-finance platforms. Those larger overall collateral balances would produce more interest for PayPal on the back end.
Source: https://www.coindesk.com/consensus-magazine/2023/08/09/paypals-real-stablecoin-strategy-it-wants-to-earn-interest-on-your-deposits/?utm_medium=referral&utm_source=rss&utm_campaign=headlines