PayPal is widening access to its U.S. dollar-backed stablecoin PYUSD, announcing expansion to users in 70 markets as the payments company deepens its stablecoin strategy beyond the United States.

According to CoinDesk, users in newly supported countries will be able to buy, hold, send, and receive PYUSD directly from PayPal, transfer it to third-party wallets, or convert to local currency during withdrawals. PayPal executive May Zabaneh described the expansion as a way to demonstrate how stablecoins can be integrated into consumer and merchant distribution networks to cut costs and improve settlement speed.

PYUSD context and competition

Stablecoins have become core infrastructure for crypto trading and cross-border payments. The market is dominated by Tether’s USDT and Circle’s USDC, while PYUSD is smaller but growing (CoinDesk cites a market capitalization around $4 billion). PayPal’s approach is distinctive because it can distribute stablecoin functionality through a large, existing consumer payments network rather than relying on crypto-native exchanges alone.

Why merchants care

PayPal highlighted that merchants using PYUSD may receive proceeds within minutes rather than waiting days for traditional settlement—potentially improving liquidity for international commerce and reducing reliance on correspondent banking networks.

How PYUSD is issued

PayPal introduced PYUSD in 2023; it is issued by Paxos and backed by dollar deposits and short-term U.S. Treasuries, per CoinDesk.

Bigger picture

Traditional payment networks and banks are increasingly testing stablecoin and tokenized-deposit rails. PayPal’s expansion adds momentum to the broader trend of stablecoins moving from a crypto trading tool toward a mainstream settlement layer—especially if regulatory clarity continues to improve in major markets.