PayPal Receives SEC Subpoena Focused on Stablecoin Work (1)

PayPal Holdings Inc. received a subpoena from the US Securities and Exchange Commission’s division of enforcement related to its work on a dollar-linked stablecoin.

The subpoena asked PayPal to produce documents tied to the project, according to a regulatory filing on Thursday. The company is cooperating with the probe, the filing said.

PayPal unveiled the stablecoin, known as PayPal USD (PYUSD), in August. The coin is pegged to the dollar and fully backed by US dollar deposits, short-term Treasuries and similar cash equivalents, the San Jose, California-based payments company said at the time. The coin has a market capitalization ...