PayPal's PYUSD Broadens Blockchain Reach to Power Global Digital Payments

PayPal’s stablecoin, PayPal USD (PYUSD), has expanded to nine additional blockchains through an integration with LayerZero’s Stargate Hydra bridge, significantly broadening its cross-chain accessibility. The move introduces a permissionless version of the stablecoin, dubbed PYUSD0, which is fully fungible and interoperable with native PYUSD. This expansion now supports PYUSD on networks including Tron, Avalanche, Aptos, Abstract, Ink, Sei, Stable, and others, with existing community-issued versions on Berachain and Flow automatically upgrading to the new standard. The integration follows PayPal’s initial deployment of PYUSD on Ethereum, Solana, Arbitrum, and Stellar in 2023.

LayerZero’s Stargate Hydra system enables seamless transfers of PYUSD0 across blockchains without reliance on centralized intermediaries, allowing users to self-custody their tokens and move them freely between networks. The technical infrastructure handles minting, burning, and deployment while maintaining compliance and composability, ensuring a unified PYUSD experience across chains. This expansion positions PYUSD to reach over 140 supported blockchains via LayerZero’s network, enhancing its utility for decentralized applications, cross-chain payments, and DeFi protocols.

PayPal’s PYUSD supply has grown substantially since its launch in August 2023, rising from approximately $520 million at the start of 2025 to $1.3 billion as of September 2025. The stablecoin, issued by Paxos Trust Company, now ranks 11th in the stablecoin market, trailing industry leaders like Tether’s USDT and Circle’s USDC. The expansion aims to accelerate PYUSD’s adoption in the crypto economy by making it more accessible to developers and users on high-traffic chains such as Aptos, which reports $70 billion in monthly stablecoin volume.

The integration underscores PayPal’s strategy to position digital dollars as a seamless payment layer for global transactions. By leveraging LayerZero’s omnichain fungible token (OFT) standard, PYUSD0 eliminates liquidity fragmentation, allowing users to transfer the stablecoin between chains without relying on centralized platforms like Venmo or PayPal. This aligns with broader trends in the stablecoin market, where interoperability and cross-chain functionality are increasingly critical for mainstream adoption.

The move also reflects growing institutional interest in blockchain-based financial infrastructure. LayerZero CEO Bryan Pellegrino highlighted that the integration exemplifies the emergence of a global financial market operating continuously across borders. With the U.S. Treasury estimating the stablecoin market could grow from $295 billion to $2 trillion by 2028, PayPal’s expansion positions PYUSD to compete with major stablecoins like USDT and USDC, which operate on 12 and 25 blockchains, respectively.

PayPal’s expansion of PYUSD to nine new chains through LayerZero marks a strategic step in its digital payments evolution. By enhancing PYUSD’s cross-chain accessibility and scalability, the company aims to strengthen its presence in the crypto economy while aligning with regulatory frameworks like the GENIUS Act, which provides clarity for stablecoin operations in the U.S. As the stablecoin sector matures, PYUSD’s interoperability and institutional-grade compliance could position it as a key player in the next phase of blockchain-driven finance.