PayPal Expands PYUSD Through Multiplatform DeFi Partnerships

From Spark’s DeFi liquidity engine to cross-chain deployments, PayPal pushes PYUSD across networks for broader accessibility and real-world use.

Written By:
Thales Rodrigues

Paypal Expands Pyusd Through Multiplatform Defi Partnerships

PayPal’s stablecoin, PYUSD, is scaling rapidly across blockchain ecosystems, as the payments giant activates a multi-pronged strategy to expand access, liquidity, and use cases. Through a series of new partnerships—including with Spark, LayerZero, Stellar, and Stable—PYUSD is no longer confined to a single chain or infrastructure model.

Earlier this week, Spark announced it will work with PayPal to expand PYUSD supply by $1 billion using its on-chain liquidity engine. Spark’s automated capital deployment model, backed by an $8 billion balance sheet, allows stablecoin issuers to reach scale without relying on fragmented third-party liquidity. The partnership has already brought deposits near the $200 million mark and is being framed as a potential blueprint for institutional-grade stablecoin rollouts.

Meanwhile, PYUSD is extending beyond Ethereum. It is now live on the Stellar blockchain, enabling faster, low-cost cross-border payments for users and merchants globally. In parallel, LayerZero’s cross-chain messaging infrastructure is helping distribute PYUSD0—a permissionless version of PYUSD—across chains like Aptos, Sei Network, Tron, and others, expanding the asset’s presence in multichain ecosystems.

PayPal pushes PYUSD into payment infrastructure integrations

In a separate move, Stablechain is integrating PYUSD0 into its payment-optimized environment following a strategic investment from PayPal Ventures. The initiative targets fast and affordable transactions, and reflects PayPal’s broader effort to connect stablecoin technology with global retail payment rails.

From high-performance DeFi liquidity provisioning with Spark to permissionless distribution via LayerZero and Stablechain, PayPal is turning PYUSD into a multiplatform asset with embedded utility across public and enterprise-grade networks. In doing so, it is shaping a model where stablecoins aren’t just price-stable tokens, but programmable infrastructure for borderless payments and finance.

Spark’s $1B PYUSD deployment could ease long-standing liquidity gaps. It aims to provide traders with deeper stablecoin markets with reduced slippage, while investors gain a more predictable alternative to incentive-driven liquidity schemes.

Also read: Google, PayPal Unite for AI-Powered Payment Solutions


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Thales is a Brazilian economist passionate about marketing, bringing with him experience from the country’s largest banks and financial institutions. Outside of work, he dedicates his time to sports, family, and business studies.