By the end of the year, eBay's (NASDAQ:EBAY) PayPal will be accepted in more than 2 million retailers across the U.S., giving it a unique opportunity to enter the offline-payments business. But before PayPal can become the dominant player it hopes to be, there are a number of challenges it must address. In this video, Fool contributor Steve Heller discusses PayPal's most obvious challenge and how it should overcome it.

Fool contributor Steve Heller owns shares of eBay. The Motley Fool recommends and owns shares of eBay. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.