Stablecoin PYUSD Expands to 13 Blockchains: What You Need to Know

Introduction to PYUSD and Its Expansion Across Blockchains

The stablecoin market has experienced exponential growth in recent years, with PYUSD emerging as a transformative force. Issued by Paxos and backed by PayPal, PYUSD has rapidly expanded its presence across multiple blockchains, solidifying its position as one of the most accessible and innovative stablecoins in the decentralized finance (DeFi) ecosystem. This article delves into PYUSD’s expansion to 13 blockchains, the introduction of PYUSD0, and the implications for cross-chain interoperability, liquidity, and adoption.

PYUSD’s Expansion to 13 Blockchains

In a groundbreaking development, PYUSD has extended its reach from four initial blockchains—Ethereum, Solana, Arbitrum, and Stellar—to a total of 13. This expansion includes integrations with prominent networks such as Tron, Avalanche, Aptos, Sei, and others. The integration is powered by LayerZero's Stargate Hydra bridge system, which enables seamless cross-chain functionality.

This strategic move positions PYUSD as one of the most versatile stablecoins, catering to a diverse range of DeFi applications and cross-border payment solutions. By broadening its blockchain footprint, PYUSD enhances accessibility and liquidity for users worldwide, making it a cornerstone of the evolving digital economy.

Introduction of PYUSD0: A Permissionless, Interoperable Stablecoin

A pivotal aspect of this expansion is the launch of PYUSD0, a permissionless version of PYUSD. Unlike its predecessor, PYUSD0 is fully fungible and interoperable across all supported blockchains. This innovation eliminates the reliance on centralized exchanges, allowing users to transfer PYUSD0 seamlessly between networks.

The integration with LayerZero's infrastructure ensures the elimination of liquidity silos, fostering a more efficient and decentralized financial ecosystem. PYUSD0 is poised to drive adoption among developers and users seeking robust cross-chain solutions, further solidifying its role in the DeFi landscape.

Cross-Chain Interoperability and Liquidity Improvements

The ability to transfer assets across multiple blockchains without friction is a game-changer for the stablecoin market. PYUSD’s integration with LayerZero’s Stargate Hydra bridge system leverages the Omnichain Fungible Token (OFT) standard, ensuring secure and efficient cross-chain transfers.

This enhanced interoperability significantly boosts liquidity, making PYUSD0 an attractive option for DeFi protocols, liquidity pools, and cross-border payment systems. By removing the dependency on centralized exchanges, PYUSD empowers users with greater control over their assets, aligning with the core principles of decentralization.

Growth of PYUSD’s Market Capitalization and Adoption

Since its launch in 2023, PYUSD has demonstrated remarkable growth. By 2025, its market capitalization surpassed $1.3 billion, more than doubling from $520 million at the start of the year. This growth underscores increasing adoption among both retail and institutional users.

The broader stablecoin market is also on an upward trajectory, with projections indicating growth from $295 billion in 2025 to $2 trillion by 2028. PYUSD’s expansion and innovative features position it as a strong contender in this rapidly evolving market, offering a compelling alternative to established players.

Comparison with Competitors: Tether (USDT) and Circle (USDC)

Despite its impressive growth, PYUSD still trails behind market leaders like Tether (USDT) and Circle (USDC), which dominate the stablecoin market with significantly larger market caps. However, PYUSD’s unique features, such as its integration with LayerZero and its regulatory compliance, provide distinct advantages.

PayPal’s global brand reputation and the credibility of Paxos as a regulated blockchain infrastructure firm further enhance PYUSD’s appeal, particularly for institutional use cases and corporate treasuries. These factors position PYUSD as a formidable competitor in the stablecoin space.

Institutional Adoption and Corporate Use Cases

PYUSD’s regulatory compliance and multi-blockchain integration make it an attractive option for institutional investors and corporate treasuries. The stablecoin’s ability to facilitate cross-border payments, improve liquidity, and reduce transaction costs aligns with the needs of large-scale financial operations.

The GENIUS Act, signed into law in July 2025, provides comprehensive U.S. legislation for stablecoins, boosting institutional confidence in the sector. This regulatory clarity is expected to accelerate the adoption of PYUSD among enterprises, further solidifying its market position.

Advantages of Stellar Integration for Low-Cost, Fast Transactions

One of the standout features of PYUSD’s expansion is its integration with the Stellar blockchain. Stellar offers unique advantages, including five-second transaction finality and minimal fees. These features make it particularly appealing for users in developing countries, where access to affordable and efficient financial services is crucial.

By leveraging Stellar’s capabilities, PYUSD aims to address the needs of underserved markets, further expanding its user base and utility. This integration underscores PYUSD’s commitment to financial inclusion and accessibility.

Broader Stablecoin Market Trends and Projections

The stablecoin market is undergoing rapid transformation, driven by factors such as institutional adoption, regulatory clarity, and technological innovation. PYUSD’s expansion to 13 blockchains and the introduction of PYUSD0 highlight the growing demand for interoperable and accessible stablecoins.

As the market continues to evolve, PYUSD is well-positioned to capitalize on these trends. Its focus on cross-chain functionality, regulatory compliance, and user-centric features sets it apart in a competitive landscape, making it a credible alternative to established players like USDT and USDC.

Conclusion

The expansion of PYUSD to 13 blockchains and the launch of PYUSD0 represent a significant milestone in the stablecoin’s journey. By addressing critical challenges such as cross-chain interoperability and liquidity silos, PYUSD is paving the way for a more inclusive and efficient financial ecosystem.

As the stablecoin market continues to grow, PYUSD’s innovative features and strategic partnerships position it as a formidable player in the space. Whether you’re a developer, an institutional investor, or a retail user, PYUSD offers a compelling solution for navigating the future of decentralized finance.