PayPal USD Sets a New Standard for Cross-Chain Value Movement Through LayerZero Integration

PayPal USD (PYUSD) has reached nine more blockchains through its integration with LayerZero’s Stargate Hydra bridge, significantly increasing the stablecoin’s presence throughout decentralized finance (DeFi). The updated version, called PYUSD0, is entirely interchangeable with the original PYUSD and supports effortless cross-chain movement, letting users transfer assets between networks without manual wrapping or relying on centralized services.

This integration covers

, , , Abstract, Ink, , Stable, and Stellar, while permissionless versions on and Flow have also transitioned to PYUSD0. By expanding in this way, PYUSD becomes one of the most widely available stablecoins in the sector, following its original introduction on , , , and Stellar. Stargate Hydra, a bridge that connects over 80 blockchains, is essential for enabling these cross-chain transfers and overseeing PYUSD0’s minting, burning, and deployment.

This rollout uses LayerZero’s Omnichain Fungible Token (OFT) framework, which maintains PYUSD’s consistent economic identity across blockchains. The standard ensures smooth movement and equal value between the original token and its multi-chain version. Users are now able to transfer PYUSD0 between supported networks without any change in denomination, creating a seamless experience regardless of the chain being used.

Based on TRONSCAN data, the TRON blockchain alone supports over 332 million accounts and secures more than $28 billion in total value locked (TVL). Thanks to its high throughput and low transaction costs, TRON has established itself as a leading settlement network for stablecoins, particularly in developing regions where users value affordable ways to store and move U.S. dollar-denominated assets.

Even as its footprint grows, PYUSD remains much smaller than leading competitors such as Tether’s

and Circle’s , which have market capitalizations of $171.2 billion and $74.3 billion respectively. PYUSD, in comparison, currently holds a market cap of about $1.3 billion, ranking 11th among global stablecoins. Still, its recent deployment on nine new blockchains represents a substantial milestone, especially as demand for cross-chain transactions and DeFi liquidity solutions accelerates.

LayerZero CEO Bryan Pellegrino highlighted the vital role of stablecoins in shaping future global finance, stating that partnerships with entities like

demonstrate the growing potential for a 24/7, borderless financial system. “This is more than just scalability,” he remarked. “It’s about demonstrating the U.S. dollar’s ability to move smoothly across diverse blockchain environments.”

This expansion also reflects broader shifts in the industry, as the U.S. Treasury projected in April that the stablecoin sector could reach $2 trillion by 2028. This progress has been bolstered by new regulatory measures, such as the GENIUS Act passed in July, which is regarded as one of the most thorough stablecoin regulations to date.

As PYUSD’s network grows, it faces stiff competition from other stablecoins with extensive blockchain integrations—Tether’s USDT operates on 12 blockchains and USDC on 25. Nevertheless, the collaboration with LayerZero’s platform and increasing adoption among institutions and DeFi services may help PYUSD establish itself as a strong contender in the rapidly evolving stablecoin market.