Online payment giant PayPal announced several new features for mobile users at its Paypal Innovate 2010 conference on Tuesday. The biggest announcement was the launch of PayPal Mobile Express Checkout, a two-click payment system for mobile phones.

Users of Mobile Express Checkout will login to PayPal and then be able to surf the Web and make purchases using their PayPal account. This login will stay active as users jump web pages and mobile apps, eliminating the need to leave a merchant’s site to login to PayPal before making individual purchases.

PayPal partner Starbucks will use the new tool to allow users of its iPhone app to speedily reload money onto their Starbucks Cards. PayPal merchants will also be able to accept credit card payments (in partnership with VeriFone) through Mobile Express Checkout in early 2011.

In addition to this major announcement, PayPal is also introducing location-based features in version 3.0 of the company’s iPhone app. PayPal local, which will only be available in the San Francisco bay area for the time being, will help users find local businesses that accept PayPal. The idea for this is to use PayPal mobile to pay for items before you even reach the merchant in real time.