PYUSD (PayPal USD) is a U.S. dollar stablecoin launched by PayPal in August 2023 and issued by Paxos Trust Company, a regulated New York trust. Each token is meant to hold a value of one dollar and is redeemable 1:1.
It is one of the first dollar stablecoins from a mainstream consumer payments company, putting on-chain dollars directly inside PayPal and Venmo.
How PYUSD is backed
Paxos holds the reserves and publishes monthly attestations. Reserves are held in U.S. dollar deposits, short-dated U.S. Treasuries, and cash equivalents so holders can redeem at par. Paxos is supervised by the NYDFS.
Chains and availability
PYUSD launched as an ERC-20 token on Ethereum and later expanded to Solana for faster, cheaper transfers, with the issuer continuing to add networks.
What PYUSD is used for
- Payments and transfers across PayPal and Venmo
- Merchant settlement and cross-border payouts
- An on and off ramp between fiat and crypto
- Holding dollars on-chain with 24/7 settlement