Introduction
PayPal has signed a landmark agreement with OpenAI to embed its digital wallet directly into ChatGPT. Starting in 2025, users will be able to complete purchases and payments through the world's most widely-used artificial intelligence, with protections and guarantees verified by PayPal.
The PayPal and OpenAI Deal
PayPal becomes the first official payment wallet integrated into ChatGPT, according to an exclusive report to CNBC. The agreement, sealed over the weekend, allows both sides of PayPal's ecosystem to operate on the AI platform: buyers can click the "Buy with PayPal" button for secure checkouts, while sellers can sell with their inventory listed directly in ChatGPT.
"We've got hundreds of millions of loyal PayPal wallet holders who now will be able to click the 'Buy with PayPal button' on ChatGPT and have a safe and secure checkout experience."
Alex Chriss, CEO of PayPal
How Payments Work in ChatGPT
PayPal's integration into ChatGPT enables complete transactions with advanced consumer protections. Users can link bank accounts, credit cards, or stored balances to fund purchases. Every transaction benefits from package tracking, dispute resolution, and fraud prevention, as PayPal manages merchant routing, payment validation, and all backend processing aspects.
Benefits for Buyers
- "Buy with PayPal" button embedded directly in ChatGPT
- Purchase protection and package tracking included
- Automated verified dispute resolution
- Network of verified and trusted merchants
- No need to register separately with OpenAI
Benefits for Merchants
PayPal automatically manages routing, validation, and backend payment processing, allowing sellers to operate on ChatGPT without signing separate agreements with OpenAI. The company positions this initiative as the payments infrastructure for the emerging era of agentic AI shopping.
The AI E-Commerce Context
The PayPal-OpenAI agreement fits into a broader strategy for ChatGPT to become an e-commerce platform. With over 700 million weekly users, ChatGPT functions as an intelligent personal shopper that helps users discover products and complete purchases. In recent months, OpenAI has announced partnerships with Shopify, Etsy, and Walmart, transforming generative AI into a conversational shopping tool.
PayPal's Race for AI Shopping
PayPal is positioning itself as the payment backbone for the agentic AI commerce era. Beyond the OpenAI agreement, the fintech recently signed deals with Google and Perplexity, solidifying the role of its hundreds of millions of verified users and the world's largest merchant network in the new economy of AI-powered shopping.
Market Reaction and Impact
The news of the agreement generated a positive market response: PayPal shares jumped approximately 4% upon announcement. The deal represents an inflection point in recognizing the critical role that verified payments will play in future AI shopping ecosystems.
Comparison with Competitors
OpenAI has already collaborated with Stripe and its Link solution, which allows users to pay Etsy merchants using stored cards and bank accounts. However, Link cannot yet store funds and lacks a dedicated consumer mobile app, so many fintech experts don't yet consider it a full, verified wallet like PayPal.
Conclusion
PayPal's integration into ChatGPT marks a turning point in the convergence of artificial intelligence and digital commerce. With verified protections, a global merchant network, and hundreds of millions of trusted users, PayPal positions itself as a foundational infrastructure partner for the future of conversational and agentic shopping. Starting in 2025, users will be able to discover and purchase products through ChatGPT with the same confidence and security that characterizes traditional PayPal transactions.
FAQ
When will PayPal be available on ChatGPT?
PayPal's integration into ChatGPT will be available starting in 2025, according to announcements by OpenAI and PayPal. Specific rollout dates will be communicated in the coming months.
How do you use PayPal to pay on ChatGPT?
Verified PayPal users simply click the "Buy with PayPal" button during ChatGPT checkout, link their bank account, credit card, or stored balance, and complete the transaction with standard PayPal protections automatically active.
What protections does PayPal offer on ChatGPT payments?
PayPal guarantees purchase protection, package tracking, dispute resolution, and fraud prevention on all payments made through ChatGPT, as it manages internal routing and transaction validation for every verified merchant.
Do merchants need to register separately with OpenAI to sell on ChatGPT?
No: PayPal automatically manages payment backend and merchant routing. Sellers don't need to sign separate agreements with OpenAI; they operate directly through the already-verified PayPal network.
How does agentic AI shopping work in ChatGPT?
Agentic AI shopping allows ChatGPT to function as an intelligent personal shopper, helping users discover products, compare prices, and complete purchases conversationally, without leaving the platform, with PayPal as verified payment infrastructure.
Which other AI platforms support payment with PayPal?
Beyond ChatGPT, PayPal has announced recent partnerships with Google and Perplexity, positioning itself as the verified payment standard for leading emerging AI ecosystems and the future of agentic commerce.