PayPal has integrated its stablecoin, PayPal USD (PYUSD), into the Solana blockchain, promising faster and more cost-effective transactions. This move aims to leverage Solana's ability to efficiently handle a large volume of low-cost transactions, enhancing user flexibility.

PayPal USD Joins Forces with Solana

During the cryptocurrency event Consensus 2024, PayPal announced that PYUSD is now available on the Solana blockchain. Solana is renowned for its ability to process a large number of transactions quickly and at low cost, making it an ideal platform for stablecoin transfers. Data shows that Solana is a leading blockchain for tokenized transactions, perfectly matching PYUSD payments.

Sheraz Shere, Head of Payments at Solana Foundation, mentioned, "The speed and scalability of the Solana network make it an ideal blockchain for new payment solutions that offer accessibility, cost-effectiveness, and immediacy. The continued adoption by industry players like PayPal contributes to the next generation of fintech innovation."

Reportedly, the integration with Solana ensures that PYUSD maintains a unified balance across PayPal and Venmo wallets, regardless of the blockchain used. This feature aims to enhance the user experience by providing the option to transfer PYUSD via Ethereum or Solana. Crypto.com, Phantom, and Paxos are among the platforms facilitating the purchase of PYUSD on Solana.

Issued by Paxos Trust Company

PayPal USD is issued by Paxos Trust Company, regulated by the New York State Department of Financial Services, and fully backed by U.S. dollar deposits, U.S. Treasuries, and similar cash equivalents. Users can buy and sell PYUSD at a rate of 1 PYUSD per 1 USD through PayPal and Venmo.

Recently, payment infrastructure provider BVNK integrated PYUSD into its platform to enhance its payment options for businesses, allowing them to transact using a stablecoin pegged to the U.S. dollar. In addition to PYUSD, users can also utilize 14 other popular digital currencies and 25 fiat currencies, broadening the range of payment choices.

BVNK clients can also access various features, including creating PYUSD wallets, settling payments globally, and accepting consumer payments in PYUSD. Additionally, they can convert PYUSD into major fiat currencies like the Euro and the British Pound through BVNK's API, hosted payment pages, or merchant portal, facilitating cross-border transactions.