PayPal's PYUSD Emerges as a Global Stablecoin Through Multi-Chain Integration

PayPal’s

USD (PYUSD) stablecoin has now become available on eight additional blockchain networks thanks to its integration with LayerZero’s cross-chain protocol. This update also introduces a permissionless version, PYUSD0, which maintains full interchangeability with the initial token and allows for smooth transfers across chains. The new supported networks are , , , Abstract, Ink, , Stable, and . Existing community versions on and Flow will automatically upgrade to the PYUSD0 model. With this expansion, PYUSD extends its reach from four native chains—Ethereum, , , and Stellar—up to a total of 13 blockchains, making it one of the most widely accessible stablecoins in the crypto space title1 [ 1 ].

LayerZero’s Hydra Stargate technology powers this integration, enabling PYUSD0 to be minted, burned, and used across multiple blockchains without needing centralized services. Users can now move their tokens freely between supported networks and retain direct control over their assets.

CEO Bryan Pellegrino highlighted that this upgrade illustrates the potential for a seamless, always-on global finance system, with stablecoins as a leading application for broad adoption. The technical solution keeps PYUSD0 interchangeable with the original stablecoin, giving both users and developers the ability to access DeFi and cross-chain tools that were previously out of reach for PayPal’s token title2 [ 2 ].

Since its debut in August 2023, the supply of PYUSD has risen sharply, hitting $1.3 billion by September 2025—over twice its $520 million valuation at the start of the year. This surge points to growing interest in dollar-backed stablecoins for cross-chain and DeFi uses. Even with its growth, PYUSD stands as the 11th largest stablecoin by market cap, still behind major players like

(USDT) and (USDC), whose market capitalizations are $171.2 billion and $74.3 billion, respectively. The U.S. Treasury has forecasted that the stablecoin sector could jump from $295 billion to $2 trillion by 2028, supported by regulatory developments and new technologies like LayerZero’s cross-chain solutions title3 [ 3 ].

PYUSD’s integration with Stellar, announced separately, emphasizes its commitment to fast and affordable transactions. Stellar’s five-second settlement speed and low costs make it especially attractive to users in emerging markets who want to use U.S. dollars. Through its partnership with Paxos—a regulated blockchain company—PayPal upholds regulatory compliance as it expands PYUSD’s capabilities. Industry analysts observe that this expansion is part of a larger movement in fintech, where established players are embracing blockchain interoperability to remain relevant in decentralized finance. By extending PYUSD to various blockchain platforms, PayPal is strengthening its position in both payments and DeFi, allowing users more freedom to transfer value without intermediaries title4 [ 4 ].

This development reflects PayPal’s ambition to establish PYUSD as a global stablecoin. By facilitating cross-chain transactions and broadening DeFi access, PayPal aims to address current financial system limitations. However, it still faces challenges from larger rivals and evolving regulations. The recent passage of the GENIUS Act in July 2025, which introduced comprehensive U.S. stablecoin rules, sets a regulatory foundation for PYUSD’s continued expansion while ensuring compliance with anti-money laundering policies. As the stablecoin sector evolves, PayPal’s success will depend on its ability to innovate while staying within regulatory boundaries title5 [ 5 ].