PayPal’s USD-backed stablecoin, PayPal USD (PYUSD), can now be transferred seamlessly between Ethereum and Solana networks, thanks to its integration with LayerZero’s cross-chain protocol.
This development allows users who self-custody their tokens to move PYUSD seamlessly between the two networks without depending on centralized platforms like PayPal or Venmo.
LayerZero’s Omnichain Fungible Token (OFT) Standard underpins this transfer capability, offering increased flexibility for PYUSD holders. Jose Fernandez da Ponte, PayPal’s Senior Vice President of Blockchain and Digital Currencies, expressed optimism about the move, stating, “We believe that PYUSD holders will welcome the flexibility and convenience offered by LayerZero.”
The rollout of cross-chain functionality is part of PayPal’s broader strategy to boost PYUSD’s usability and adoption. PYUSD reached a peak market capitalization of $1 billion in August, with $660 million circulating on Solana and $340 million on Ethereum. However, according to DeFiLlama, PYUSD’s market cap has since declined to $513 million, with $384 million on Ethereum and $166 million on Solana, reflecting shifts in market demand and usage.
The integration marks another significant step in PayPal’s ongoing expansion of PYUSD’s capabilities, aiming to make its stablecoin a versatile tool in the digital finance ecosystem.
[Source: Fxleaders]
