PayPal and Stablechain Forge Path to Mainstream Stablecoin Commerce

PayPal Ventures has invested in Stable to integrate its stablecoin, PayPal USD (PYUSD), onto the Stablechain blockchain, marking a strategic expansion of the digital asset’s global reach. This collaboration aims to leverage Stablechain’s infrastructure to enable faster, cheaper, and more scalable stablecoin transactions, with sub-second settlement times and USDT-based gas fees to reduce friction for cross-border payments. Stable, a blockchain network designed specifically for stablecoin transactions, processes trillions in annual volume and sees the partnership as a step toward mainstream adoption of stablecoin-based commerce title1^[1].

The integration positions PYUSD to operate natively on Stablechain, a blockchain optimized for stablecoin use cases. By utilizing USDT for transaction fees and prioritizing interoperability across multiple ecosystems, the partnership aligns with PayPal’s broader goal to make stablecoin payments as seamless as traditional transfers. Stable’s CTO Sam Kazemian emphasized that the collaboration addresses infrastructure challenges such as network congestion and fragmented payment rails, enabling reliable liquidity for global users. He noted that PayPal’s expertise in peer-to-peer transfers strengthens Stablechain’s ability to scale adoption title2^[2].

PayPal’s Head of PYUSD Ecosystem, David Weber, highlighted the initiative’s focus on expanding PYUSD across multiple blockchains to unlock new commerce-driven use cases. The company aims to integrate PYUSD into everyday financial products, targeting markets where dollar-backed stablecoins can address access and reliability issues. This aligns with broader industry trends, as stablecoins like Tether’s USDT and Circle’s USDC dominate the market, collectively accounting for over $270 billion in total value title3^[3].

Stablechain’s architecture, which supports enterprise-grade throughput and sub-second finality, is central to the partnership’s success. The network’s design eliminates volatility risks and prioritizes user-friendly payment experiences. With PayPal’s global reach, Stable aims to expand on-chain on/off ramps and cross-chain connections in future updates, embedding stable-value assets into global finance. The company also plans to share additional development updates as part of what it describes as a “new growth chapter” for stablecoin utility title4^[4].

Financial details of the investment were not disclosed, but the partnership follows a $28 million seed funding round for Stable in August 2025. This funding underscores Stable’s ambition to become a leading platform for next-generation blockchain payments, powered by PYUSD. The collaboration with PayPal reinforces Stablechain’s position as a blockchain tailored for stablecoin transactions, competing with other Layer 2 solutions in the Ethereum ecosystem title5^[5].

The move reflects PayPal’s broader strategy to integrate cryptocurrency into its payment ecosystem. Earlier this year, the company expanded PYUSD to multiple blockchains via LayerZero, creating a permissionless version (PYUSD0) to enhance interoperability. With a circulating supply exceeding $1.3 billion, PYUSD’s integration with Stablechain further diversifies its use cases, potentially accelerating adoption in both crypto-native and traditional commerce environments .