15 September 2025 — PayPal has unveiled a set of new features aimed at making peer-to-peer (P2P) payments easier, letting users send and receive money almost as simply as sending a message.
What’s New
- PayPal Links: Users can now create a one-time personalized link for a payment or request. The link can be shared through chat, email or any conversation, making it simple to ask for or send money.
- Wider Roll-out: The feature is available immediately in the U.S., with the UK, Italy, and other markets gaining access later this month.
- Crypto in P2P Flow: Soon, users will be able to send Bitcoin, Ethereum, PayPal USD (PYUSD), and other supported stablecoins and crypto directly through the P2P flow in the app. The feature will also connect with Venmo and other digital wallets globally.
Privacy, Taxes & Controls
- Friend-and-family transactions via PayPal or Venmo will not trigger 1099-K reporting. Gifts, reimbursements, and splitting bills remain outside of that reporting requirement.
- Links are private and single-use; they expire after 10 days if not claimed. The sender can cancel or send reminders before the link is used.
Why It Matters
Peer-to-peer payments are a key part of how consumers interact with PayPal. Growth in the P2P side recently helped drive overall consumer payment volume up 10% year over year in Q2, and Venmo saw its strongest growth in P2P payments in three years.
With “PayPal World” — the company’s global initiative to link PayPal, Venmo, and other major wallets — PayPal is pushing for more seamless international payments. The new link-based and crypto-enabled tools are part of that expansion.
What to Watch
- How users respond to the simplicity of payment links in different markets.
- The uptake of crypto and stablecoins in everyday P2P use.
- Any regulatory or tax issues arising in markets outside the U.S., especially as cross-border wallet interoperability expands.
