Stablecoin Unification: PayPal USD Bridges Chains, Quietly Expanding Its Reach

PayPal USD (PYUSD) has expanded its reach to the TRON blockchain via LayerZero’s Omnichain Fungible Token (OFT) standard, with the stablecoin now available as PYUSD0 on the TRON network through Stargate Hydra. This marks a significant step in the stablecoin’s global expansion and underscores the growing interoperability between major blockchain networks. The integration eliminates the need for user action, with PYUSD and PYUSD0 functioning as fully fungible and interoperable versions of the same stablecoin across different chains.

The move reflects a strategic alignment between PayPal and LayerZero, leveraging the latter’s cross-chain infrastructure to enhance the accessibility and utility of PYUSD. According to Bryan Pellegrino, Co-Founder and CEO of LayerZero Labs, stablecoins are the “killer app” in the crypto ecosystem, and the expansion of PYUSD to TRON signals the dawn of a more interconnected and borderless financial system. The integration builds on LayerZero’s recent acquisition of Stargate, which pioneered the Hydra model for asset distribution from a central blockchain to multiple spoke chains. Now, the Hydra model is directly applied to PYUSD’s deployment on TRON and other blockchains.

TRON, which has grown into a core component of the global digital financial infrastructure, currently processes an average of 9 million daily transactions and hosts over 332 million user accounts. The blockchain has also seen substantial growth in total value locked (TVL), with over $28 billion in assets secured across its ecosystem. Furthermore, TRON generated nearly $1 billion in protocol revenue in each of the first two quarters of 2025, underscoring its increasing role in facilitating real-world economic activity.

The expansion to TRON comes at a time when stablecoins are playing an increasingly critical role in both retail and institutional finance. In 2025, the total market capitalization of stablecoins reached $246 billion, with PayPal USD securing a position as the sixth-largest stablecoin, surpassing TRON’s USDD. The stablecoin’s supply on Solana has also outpaced its Ethereum-based counterpart, with 56.7% of PYUSD now minted on the high-performance network. This shift highlights the growing importance of scalable and low-cost blockchain networks in supporting stablecoin adoption.

The integration with TRON is expected to further enhance PYUSD’s utility by enabling seamless transactions and broader accessibility for users in markets where TRON has a strong presence. For institutions and developers, the move demonstrates the increasing convergence of established payment systems and decentralized blockchain infrastructure. By combining PayPal’s extensive retail and e-commerce reach, LayerZero’s cross-chain interoperability, and TRON’s global user base, the initiative aims to build a more inclusive and efficient financial ecosystem.