PayPal USD (PYUSD) Set to Launch on Stellar, Expanding Stablecoin Reach

PayPal is expanding the reach of its dollar-pegged stablecoin, PayPal USD (PYUSD), announcing plans to launch it on the Stellar blockchain—pending regulatory approval from the New York State Department of Financial Services (NYDFS). This move marks a major step in increasing stablecoin utility across blockchain ecosystems, following its presence on Ethereum and Solana.

The integration with Stellar will enhance PYUSD’s utility for everyday payments, cross-border remittances, and “PayFi” services. PayPal CEO Alex Chriss emphasized the broader impact, stating, “PYUSD is coming to Stellar, reaching a broader group of developers and unlocking new opportunities for the stablecoin. More blockchains, greater access—and we’re not stopping now.”

Leveraging Stellar’s infrastructure will provide users with improved on- and off-ramps, enhanced access via digital wallets, and connections to local payment systems and cash networks worldwide. The integration is expected to drive increased adoption among consumers and merchants seeking low-cost, high-speed stablecoin payments.

This development follows PayPal’s recent partnership expansion with Coinbase, aimed at accelerating the adoption and distribution of PYUSD. It also aligns with Stellar Development Foundation’s (SDF) broader mission of financial inclusion. SDF, a nonprofit organization behind the Stellar blockchain, recently celebrated its three-year collaboration with MoneyGram, which has already processed nearly $30 million in transactions via Stellar’s global network.

By bringing PYUSD to Stellar, PayPal aims to tap into new markets, enhance blockchain interoperability, and support more seamless financial experiences for users. As demand for stablecoins continues to grow, this move positions PayPal at the forefront of blockchain-enabled financial innovation. The PYUSD launch on Stellar will proceed once final regulatory clearance is secured.