Paypal, the prominent payments company, has announced that it is now offering its stablecoin, Paypal USD (PYUSD), on the Solana blockchain. This move aims to enhance the speed and affordability of using the stablecoin. Platforms such as Crypto.com, Phantom, and Paxos are among the first to provide PYUSD on Solana, alongside Paypal and Venmo wallets.
Paypal Holdings Inc. (Nasdaq: PYPL) revealed this development at Consensus 2024. Jose Fernandez da Ponte, Senior Vice President of the Blockchain, Cryptocurrency, and Digital Currency Group at Paypal, emphasized the significance of this move, stating, "Making PYUSD available on the Solana blockchain furthers our goal of enabling a digital currency with a stable value designed for commerce and payments."
Sheraz Shere, Head of Payments at Solana Foundation, praised the Solana network for its speed and scalability, making it an ideal blockchain for innovative payment solutions that are accessible, cost-effective, and instant. Shere stated, "Continued adoption from industry participants like PayPal helps realize the next generation of fintech innovation."
Paypal highlighted the advantages of the Solana blockchain, noting its ability to process a large number of transactions quickly and at low costs, which is highly beneficial for commerce. According to data from blockchain analytics platform Artemis, Solana is currently the most widely used blockchain for stablecoin transfers. It has emerged as the top choice for running tokenized transactions and is particularly well-suited for PYUSD in payment use cases.
Apart from Paypal and Venmo wallets, platforms such as Crypto.com, Phantom, and Paxos are among the early adopters offering PYUSD on Solana. Users now have the option to send PYUSD using either Ethereum or Solana. Paypal Inc. possesses a license from the New York State Department of Financial Services to engage in virtual currency business activities. The issuance and custody of Paypal USD are managed by Paxos Trust Company LLC, a fully chartered limited-purpose trust company.
What are your thoughts on Paypal's decision to make PYUSD available on the Solana blockchain? Let us know in the comments section below.