The company understands the limitations of the existing pegged coins because none of these are built to make payments. It is necessary to have a regulatory framework and clarity about the licenses needed to use the currency for payments for facilitating payments. With a global user base of 377 million, PayPal needs to ensure the stability of the coin and match the scale of its vast user base. Additionally, there must be a robust security protocol to ensure safe payments as it happens with fiat currencies.
https://businessupside.com/2022/02/25/paypal-is-working-to-introduce-stablecoin-to-popularize-crypto-payments/