The two-year-old stablecoin continues to find more support in the crypto community
PayPal is expanding the reach of its US dollar-backed stablecoin, PayPal USD (PYUSD), by rolling it out on eight additional blockchains. The move significantly broadens access to the digital asset, which launched in 2023 as the company’s first major step into crypto.
PayPal built the first global digital payment network at the onset of the internet age. In 2023, they were the first major fintech company to launch a stablecoin with PYUSD.
With PYUSD0, PayPal and LayerZero are working to drive greater availability of PYUSD across blockchains. pic.twitter.com/CWOc2CP6sA
— LayerZero (@LayerZero_Core) September 18, 2025
Seven of the integrations are happening through LayerZero’s Stargate Hydra bridge, which will introduce a permissionless version of the token called PYUSD0. According to LayerZero, this version will remain “fully fungible” with standard PYUSD and allow for seamless use across multiple blockchains.
The new chains include Tron, Avalanche, Aptos, Abstract, Ink, Sei, and Stable. Existing permissionless tokens on Berachain and Flow will also upgrade to PYUSD0.
Alongside these expansions, PayPal confirmed that PYUSD is now live on Stellar, a blockchain known for its low fees and fast settlement, making it especially popular in regions where users rely on stablecoins to preserve dollar value. This comes on top of PayPal’s existing support for Ethereum, Solana, and Arbitrum, positioning PYUSD as one of the most interoperable stablecoins in circulation.
The timing aligns with growing momentum in the stablecoin sector. The US Treasury recently projected that the $295 billion global stablecoin market could grow to $2 trillion by 2028, with regulation such as the GENIUS Act signed earlier this year by President Trump providing clearer guardrails.
Despite this progress, PYUSD remains a relatively small player. Data from CoinGecko shows the token’s market cap at around $1.3 billion, placing it well behind industry leaders like Tether’s USDT ($171.2 billion) and Circle’s USDC ($74.3 billion). Still, PayPal’s brand recognition and expanding blockchain coverage could help close the gap over time.
LayerZero CEO Bryan Pellegrino said the integration highlights a broader shift toward borderless, 24/7 financial systems. “Anyone who self-custodies their PYUSD can move it seamlessly between blockchains without relying on traditional banks,” he said.
