PayPal Expands PYUSD to Arbitrum in Latest Blockchain Push

PayPal has expanded its stablecoin, PayPal USD (PYUSD), to the Arbitrum network, marking a key step in its strategy to integrate with faster, more cost-efficient blockchain infrastructure.

The update was quietly revealed in PayPal’s revised terms of service on July 16, 2025, which now list Arbitrum alongside Ethereum and Solana as supported networks for PYUSD.

The inclusion of Arbitrum—a leading Layer 2 solution known for low fees and high throughput—brings PYUSD to a broader user base. According to the new policy language, Paxos will continue issuing PYUSD on all three networks. Additional updates clarify trading limits specific to Arbitrum, suggesting a tailored approach to network-specific liquidity and transaction dynamics.

PayPal USD was first launched on the Ethereum blockchain in August 2023. Designed to combine the stability of the U.S. dollar with the flexibility of digital payments, PYUSD is fully backed by U.S. dollar deposits and short-term treasuries. CEO Dan Schulman called it a tool to help bridge the traditional financial system and the blockchain economy.

READ MORE:

How Can You Tell When it’s Altcoin Season?

The stablecoin’s expansion to Solana in May 2024 followed Paxos’ announcement of plans to bring its tokenization platform to Arbitrum later that year. That roadmap has now materialized with full PYUSD support on Arbitrum, enabling users to benefit from near-instant settlements at lower cost.

The move positions PayPal as a significant player in the multichain stablecoin space, as it continues to build infrastructure for global digital commerce.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.