On February 28, PayPal and MoonPay announced the joint launch of the PYUSDx platform, allowing developers to issue application-specific stablecoins based on PayPal USD (PYUSD). Developed in partnership with M0, this framework aims to use PYUSD as the underlying reserve asset, providing brands and development teams with customized stablecoin issuance solutions.
According to the announcement, PYUSDx helps developers quickly launch PYUSD-backed digital dollar tokens without building complex infrastructure. The platform integrates MoonPay’s distribution and registration system with M0’s tokenization technology architecture, supporting cross-chain compatibility, on-chain reserve reporting, and flexible economic model design. The company states that from testing to official release, the development cycle can be shortened to just a few days, significantly reducing product launch time.
Ivan Soto-Wright, CEO of MoonPay, pointed out that as the stablecoin market continues to expand, developers need more efficient, low-cost tools to manage application-layer stablecoins. Data shows that by 2025, the number of stablecoins with a supply exceeding $10 million will have grown by 89%, and market demand for “application-level stablecoin issuance platforms” is clearly increasing.
Regarding issuance structure, the base PYUSD is issued by Paxos Trust Company, while the PYUSDx tokens are issued by MoonPay Digital Assets Limited. Both parties emphasize that PYUSDx is independent of PayPal’s native stablecoin system and cannot be used for payments or transfers within PayPal or Venmo wallets. Regulatory responsibilities are borne by each issuing entity according to the laws of different countries.
USD.ai is the first project to connect to PYUSDx, planning to build dedicated stablecoin application scenarios around artificial intelligence infrastructure. May Zabaneh, head of PayPal’s crypto business, stated that developers want to innovate financial products within a regulated and trusted framework without rebuilding the underlying currency system. Luca Prosperi, CEO of M0, believes that the platform provides liquidity support and interoperability for new projects, helping to improve the efficiency of the Web3 payment ecosystem.
Since its launch in 2023, PYUSD has continuously expanded its application boundaries. By 2025, users will be able to earn an annualized return of 3.7%. Subsequently, Stellar and Arbitrum networks were included in the support scope, optimizing transaction speed and cost structure. The release of PYUSDx is seen as a key step for PayPal’s infrastructure in stablecoins and its on-chain US dollar ecosystem.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
WLFI submits a locked-escrow proposal; Sun Yuchen and Moonrock Capital’s founder publicly criticize
World Liberty Financial (WLFI) submitted a proposal to its governance forum on April 15 (Wednesday), seeking to lock up WLFI tokens held by early investors for two years, followed by releasing them in batches over the following two years. For holders who do not accept new unlocking plans, the tokens will “continue to be locked indefinitely,” which has prompted criticism from major investors such as Justin Sun.
MarketWhisper23m ago
Ledger Launches AI Security Suite in 2026, Featuring Hardware-Anchored Controls for AI Agents
Ledger is entering the AI security market with new hardware to protect users from rogue AI agents. Emphasizing the need for hardware-level protection, the company plans a suite of technologies aimed at ensuring AI behavior aligns with human intentions by 2026.
GateNews1h ago
Pi Network V23 Upgrade to Launch Smart Contracts, DApp Ecosystem, and DEX Next Month
Pi Network will launch its V23 upgrade next month, featuring smart contracts, a DApp ecosystem, and a decentralized exchange. With over 18 million KYC-verified users, this upgrade moves Pi towards practical applications and utility in its ecosystem.
GateNews1h ago
CoW Swap Recovers cow.fi Domain After Social Engineering Attack on April 14
CoW Swap regained control of its cow.fi domain after a social engineering attack that occurred on April 14. The attackers used forged documents to manipulate the DNS registrar and deploy a phishing site. Users affected by the incident are advised to revoke transaction approvals and transfer funds.
GateNews3h ago
Aave Labs Launches Aave Checkpoint, AI-Powered Governance Security System
Aave Labs has launched Aave Checkpoint, an AI-driven governance security system for reviewing proposals and on-chain payloads, combining automated analysis with mandatory human oversight. Operational since March 2026, it supports Aave V3, V4, GHO, and Aptos-v3.
GateNews3h ago
Fireblocks Launches Institutional Stablecoin Yield Tool Earn
Fireblocks has introduced Earn, allowing institutional clients to use stablecoin balances in on-chain lending via Aave and Morpho, enhancing capital efficiency. The feature initially offers Morpho vaults and Aave's lending market, with variable yields.
GateNews4h ago
