PayPal is strengthening its presence in the cryptocurrency market by expanding the reach of its U.S. dollar stablecoin, PYUSD, across multiple blockchains.
The latest integration, carried out through the interoperability protocol LayerZero, allows the token to be used beyond its initial base on Ethereum, Solana, Arbitrum, and Stellar.
Permissionless Version of PYUSD
LayerZero has connected PayPal’s stablecoin to its Hydra Stargate system, creating a new permissionless version named PYUSD0. This token will maintain a one-to-one interchangeability with PYUSD.
Accordingly, users can access the stablecoin across various blockchain networks without compromising on stability, liquidity, or compliance.
The launch of PYUSD0 marks a pivotal step toward overcoming the fragmentation that has long constrained stablecoin adoption across ecosystems. Users can now move value without needing centralized payment providers as intermediaries.
The latest rollout brings PYUSD access to Tron, Ink, Avalanche, Aptos, Stable, Sei, and Abstract. At the same time, existing community-issued tokens on Berachain and Flow will automatically convert into PYUSD0, ensuring consistency and cross-chain interoperability.
This expansion makes PayPal’s digital dollar one of the most widely distributed stablecoins across different networks.
Building on Earlier Integrations
This move builds on PayPal’s collaboration with LayerZero last year. In November 2024, the stablecoin adopted LayerZero’s omnichain fungible token (OFT) standard, which enabled transfers between Ethereum and Solana. That upgrade removed liquidity silos and gave users greater freedom to manage PYUSD outside of centralized platforms such as PayPal or Venmo.
By adopting LayerZero’s framework, PayPal has ensured that PYUSD can scale efficiently across chains while maintaining compliance from the outset.
Rising Adoption of PYUSD
Launched in 2023, PYUSD is one of the first stablecoins backed by a major payments company. Its growth has been steady, with supply increasing from around $520 million at the start of 2025 to $1.3 billion today.
David Weber, who leads the PayPal USD ecosystem, explained that collaborating with LayerZero will accelerate the stablecoin’s market expansion.
“By working together, we will enable PYUSD to expand faster while preserving compliance and composability from the first day,” Weber said.
PayPal’s Push Into Broader Payments
The expansion comes as PayPal continues to strengthen its digital payment ecosystem. Earlier this week, the company launched PayPal Links. This new peer-to-peer payment feature allows users to send and receive money via personalized links.
The company confirmed that cryptocurrency support will be added soon, covering Bitcoin, Ethereum, PYUSD, and other assets. These features will work across PayPal, Venmo, and compatible wallets globally.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
