PayPal partners with Big Ten and Big 12 to facilitate payments to student-athletes

On June 26, 2025, PayPal announced its collaboration with the Big Ten and Big 12 athletic conferences, aimed at transforming the financial landscape for college student-athletes in the United States. This partnership will enable universities within these conferences to make payments directly to student-athletes using PayPal's platform, marking a significant shift in how educational institutions can support their athletes financially. The decision comes at a critical time, coinciding with the upcoming implementation of a court settlement in the House v. NCAA case, which permits universities to compensate current and former athletes. The new rules allow schools to distribute funds amounting up to $20.5 million to current college athletes and $2.8 billion to former players over the next year. These changes reflect the evolving nature of college athletics, where student-athletes are now recognized not just as amateurs but also as individuals with rights to share in the financial benefits accrued by the sports they participate in. This partnership is expected to launch payments as early as this summer, amidst broad excitement for the future of collegiate sports. Tony Petitti, the Big Ten Commissioner, expressed enthusiasm about the partnership, emphasizing the need for secure and efficient payment methods for student-athletes. Similarly, Brett Yormark, the Big 12 Commissioner, indicated that this alliance with a global leader like PayPal could open numerous opportunities for the conference and its athletes. He noted that Venmo, a subsidiary of PayPal, would also play a role in this endeavor, allowing students to utilize the service for purchases at college bookstores and events, further enhancing the financial flexibility available to them on campus. As the landscape of college athletics continues to evolve, this partnership symbolizes a crucial step towards acknowledging the financial rights of student-athletes and ensuring they receive timely and reliable support from their respective institutions. Support for athlete compensation is steadily growing, driven by the recognition of the extensive revenues generated by college sports, and this collaboration is a clear testament to that shift. It sets a precedent for how universities will manage athletic payments and the implications for student-athlete welfare in the future.