LayerZero brings Global Distribution to PayPal USD through Stargate Hydra

Following PayPal USD’s (PYUSD) support for LayerZero’s Omnichain Fungible Token (OFT) Standard, PayPal USD (PYUSD) will now be available through Stargate Hydra as a permissionless token, PYUSD0 expanding its availability to nine new blockchains. This expands PYUSD availability beyond chains where it is natively deployed and onto additional chains supported by Stargate Hydra.

What is PYUSD0? 

PYUSD0 extends PayPal USD from its native deployments on Arbitrum, Ethereum, Solana and Stellar, bringing the stablecoin to Abstract, Aptos, Avalanche, Ink, Sei, Stable, and Tron – with more to come – while existing permissionless versions on Berachain (BYUSD) and Flow (USDF) will upgrade to PYUSD0. No action will be required by end users and whether someone holds PYUSD or PYUSD0, it is one unified PayPal USD stablecoin: fully fungible and interoperable across blockchains.

“As the stablecoin market continues its rapid growth beyond $270 billion, innovations like this are essential for creating the seamless, interoperable financial infrastructure that users and developers demand. By working together, we will enable PYUSD to reach new markets faster while maintaining compliance and composability from day one.” — David Weber, Head of Ecosystem, PayPal USD

Expanding PYUSD’s Userbase

PayPal built one of the first global digital payment networks at the onset of the internet age, allowing dollars to move quickly online. In 2023, they were one of the first mainstream fintech companies to deploy a stablecoin with PYUSD, helping provide stable value first on Ethereum, quickly followed by Solana, and Arbitrum, and soon, Stellar. With PYUSD0, PayPal and LayerZero are working to drive greater availability of PYUSD across a variety of blockchains, enabling PYUSD to reach the markets that demand it and the users who want it through LayerZero’s distribution network. This means:

• New markets can access PYUSD faster, with availability across more than 140 supported blockchains.
• Developers  can access a PayPal-branded, US dollar-pegged stablecoin for their applications. 
• Users can use PYUSD nearly anywhere in the crypto ecosystem, transfer stable value without the need for a bank.

The result of this integration is better money experiences utilizing modern technology. Anyone who self-custodies their PYUSD can move it seamlessly between blockchains without needing to rely on the existing and centralized banking infrastructure. 

“The US dollar is the foundation of finance. Stablecoins are the killer app within the crypto ecosystem. With PYUSD0, PayPal USD expands its reach and flexibility to work across today’s networks and tomorrow’s. Launches like this make it obvious that we are at the start of a global financial market that breaks down borders and works around the clock.” — Bryan Pellegrino, Co-Founder and CEO, LayerZero Labs

PYUSD0: Asset, Interface, Rails

PYUSD0 brings three infrastructure partners into one system:

• PYUSD as the stablecoin issued by Paxos 
• Stargate as the interface for value transfer
• LayerZero as the rail for distribution across digital ledgers

PYUSD is the digital money for the digital economy: a US dollar-pegged asset backing the entire PYUSD0 system. Stargate is how users can move PYUSD assets, enabling stable value to move without slippage, without the need for a bank. LayerZero enables the minting, burning, and deployment of PYUSD0 to new blockchains while maintaining composability and fungibility across all historical networks and applications. 

This integration builds on LayerZero’s acquisition of Stargate. Stargate pioneered the Hydra model for extending assets from a hub blockchain to spoke blockchains. With Stargate integrated into LayerZero, the Hydra model is now applied directly to extend PYUSD to these nine new blockchains. 

Conclusion

Stablecoins are no longer just a crypto product: they are becoming the foundation of global finance. 

PYUSD is proving what that future looks like: a US-dollar backed stablecoin, available across many blockchains and supported by one of the world’s largest payments companies.

LayerZero is the technology making this possible, ensuring that tokenized dollars — and eventually every tokenized asset — can move without borders, without friction, and at the speed of software.

IMPORTANT DISCLOSURES

This press release is for informational purposes only and is not intended as financial, investment, or other advice. The use and exchange of digital assets, including stablecoins such as PYUSD, may involve complex risks, including but not limited to:

• Network & Custody Risks: Transactions on blockchains – and the blockchains themselves – are subject to a range of operational, technological, and security risks. Users are responsible for safeguarding their private keys and/or working with reputable custodians/wallet providers; loss of access may lead to the permanent loss of funds.
• Third-Party Reliance: Digital assets rely on third-party blockchain software and network infrastructure. Neither PayPal nor Paxos Trust Company, LLC (“Paxos”) has control over blockchain networks and is not liable for any blockchain’s performance, security, or ongoing availability.
• Redemption and Market Risk of Fiat-Backed Stablecoins: U.S. dollar- backed stablecoins that are regulated by the New York State Department of Financial Services, are designed to maintain a stable value of one U.S. dollar per token. Individuals or entities with direct redemption access via PayPal, Paxos or authorized partners are guaranteed to convert PYUSD 1:1 for US dollars. All other parties may be limited to selling PYUSD at market prices.
• Regulatory Uncertainty: Regulatory frameworks for digital assets are evolving. Availability or legality of digital asset services may change without notice, and services may be restricted, suspended, or terminated in certain jurisdictions as required by law or regulation.
• No FDIC/SIPC Protection: Digital assets, including PYUSD, are not insured by the Federal Deposit Insurance Corporation (FDIC) or the Securities Investor Protection Corporation (SIPC).
• Terms & Conditions: Use of PYUSD is subject to Paxos and PayPal’s Terms & Conditions, including disclaimers on liability and user responsibilities. Transactions are irreversible once recorded on the blockchain. You are advised to review and understand all applicable terms.
• Service Availability & Illegal Activity: PYUSD and related payment services may be suspended or terminated due to events or investigations involving illegal activity, system failure, or other factors beyond PayPal’s control.
• Forward-Looking Statements: Statements in this press release regarding potential product features, expansion plans, and regulatory outcomes are forward-looking and subject to change. Actual results may differ materially due to known and unknown risks, uncertainties, and other factors.

Any materially new product or service requires approval from the New York State Department of Financial Services (NYDFS). As of September 15, 2025, the NYDFS has not provided any such approval.

About PayPal USD (PYUSD) PayPal USD is issued by Paxos Trust Company, a fully chartered limited purpose trust company. Paxos is licensed to engage in Virtual Currency Business Activity by the New York State Department of Financial Services. Reserves for PayPal USD are fully backed by U.S. dollar deposits, U.S. Treasuries and similar cash equivalents, and PayPal USD can be bought or sold through PayPal and Venmo at a rate of $1.00 per PayPal USD.

PayPal, Inc. (NMLS ID #: 910457) is licensed to engage in Virtual Currency Business Activity by the New York State Department of Financial Services.