PayPal Expands PYUSD Integration, Challenging Tether in 2025

PayPal is gearing up to significantly expand the use of its PYUSD stablecoin, leveraging its vast network of over 20 million merchants in 2025.

This move positions the company to directly compete with established players like Tether (USDT), aiming to drive adoption of its stablecoin through a wide range of payment solutions.

By the end of 2025, PayPal will enable millions of small and medium-sized businesses to use PYUSD for transactions, including bill payments. This USD-pegged stablecoin, designed to simplify cross-border payments, seeks to eliminate the typical hurdles associated with currency conversion and long processing times, according to PayPal’s Michelle Gill.

The company also plans to integrate PYUSD with its Hyperwallet platform, acquired in 2018, which facilitates mass payments for freelancers globally. This integration will allow PayPal to offer PYUSD payouts in early 2025 and enable merchants to complete digital asset transactions by the end of the year. CEO Alex Chriss emphasized that the push for blockchain adoption is becoming tangible, with PayPal leading the way.

As the stablecoin market intensifies, competitors like Tether and Circle are also expanding their reach. Tether, for example, has turned to crypto-friendly regions like El Salvador after regulatory setbacks in Europe.

Meanwhile, Circle’s USDC has capitalized on trends like the Solana meme coin surge. Ripple, too, has launched RLUSD on Ethereum and XRP Ledger, further intensifying the competition. Analysts have noted that Bitcoin’s market movements could soon reflect changes in the stablecoin supply ratio, signaling a potential shift in the broader crypto landscape.

Author

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.