PayPal seeks to launch USD stablecoin on Stellar

Key Points

  • PayPal plans to launch its USD stablecoin, PYUSD, on the Stellar network, pending approval from the New York State Department of Financial Services.
  • The Stellar network offers fast, low-cost transactions, enhancing PYUSD's potential for payments, cross-border transactions, and micro-financing.
  • Integration with Stellar aims to improve PYUSD's usability for everyday financial services like remittances and merchant services.
  • PYUSD on Stellar could introduce new liquidity and financing opportunities through instant settlement via Payment Financing (PayFi).
  • This move supports PayPal's goal to transform stablecoins into practical financial tools for users and businesses in over 170 countries.

Summary

PayPal has announced plans to integrate its USD stablecoin, PYUSD, with the Stellar network, subject to regulatory approval from the New York State Department of Financial Services. This strategic move aims to leverage Stellar’s fast and low-cost transaction capabilities to enhance PYUSD’s utility for financial services such as payments, cross-border transactions, and micro-financing. By joining Stellar, PYUSD users will access a vast network of entry and exit points, improving the stablecoin’s usability for everyday transactions, including remittances and merchant services. Additionally, the integration introduces opportunities for instant settlement through Payment Financing (PayFi), enabling businesses to manage operational needs efficiently. Leaders from Blockchain, Cryptocurrency, and Digital Currency Group, as well as the Stellar Development Foundation, emphasized the potential of this collaboration to bring practical financial solutions to millions in over 170 countries, particularly in emerging markets. This announcement follows PayPal’s recent partnership with Mastercard to expand payment options, reflecting its ongoing efforts to innovate in the digital currency space.

yahoo
June 12, 2025
Crypto
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