PayPal’s stablecoin, PayPal USD (PYUSD), appears to have quietly gone live on the Ethereum Layer 2 network Arbitrum. An update to the payment giant’s cryptocurrency terms and conditions, dated July 16, now lists Arbitrum alongside Ethereum and Solana as supported networks for PYUSD.
Previously, the terms and conditions only mentioned Ethereum and Solana. The change was identified by comparing the current terms with an archived version from July 11 via the Internet Archive’s Wayback Machine. The “Transaction Limits” section has also been updated to include PYUSD on Arbitrum.
PayPal has not yet made a public announcement regarding this expansion.
Expanding Stablecoin Reach
PYUSD initially launched in August 2023 on the Ethereum network. Issued by Paxos and fully backed by U.S. dollar deposits, short-term Treasuries, and similar cash equivalents, the stablecoin was introduced with the aim of providing a stable digital instrument for payments and commerce.
“The shift toward digital currencies requires a stable instrument that is both digitally native and easily connected to fiat currency like the U.S. dollar,” PayPal CEO Dan Schulman stated at the time of its launch.
The stablecoin later expanded its reach to the Solana blockchain in May 2024, furthering PayPal’s goal of enabling a widely accessible digital currency with a stable value. Paxos, the issuer of PYUSD, also expanded its tokenization platform to Arbitrum in September 2024, paving the way for this latest development.
July 2025, Cryptoniteuae
