PayPal and MoonPay have launched a brand new platform that permits builders to create customized stablecoins backed by PayPal’s PYUSD.
Abstract
- PYUSDx lets builders subject app-specific stablecoins backed by PYUSD.
- The platform reduces launch time from months to days.
- USD.ai is the primary challenge constructing on the framework.
In a joint Feb. 27 press launch, the businesses introduced the launch of PYUSDx, a framework developed with M0 to assist application-specific stablecoins utilizing PayPal USD because the underlying reserve asset.
PYUSDx is designed to assist builders launch branded stablecoins with out constructing complicated infrastructure from scratch. The platform permits apps to subject tokens backed by PYUSD, whereas counting on MoonPay’s distribution and onboarding techniques and M0’s token platform.
Constructing application-level stablecoins
In line with the announcement, the variety of stablecoins with provides above $10 million rose by 89% in 2025. The businesses stated this progress has elevated demand for quicker and cheaper methods to launch customized digital currencies.
Ivan Soto-Wright, chief govt of MoonPay, stated builders want reliable instruments to handle stablecoins on the software layer. He added that PYUSDx reduces technical and operational hurdles and shortens the time wanted to convey merchandise to market.
Underneath the construction, the bottom PYUSD token is issued by Paxos Belief Firm, whereas PYUSDx tokens are issued by way of MoonPay Digital Property Restricted. The businesses careworn that PYUSDx tokens are separate from PayPal’s native stablecoin and aren’t supported inside PayPal or Venmo wallets.
The platform presents cross-chain compatibility, on-chain reserve reporting, and versatile financial fashions. Moreover, it facilitates fast deployment, permitting builders to go from testing to launch in a matter of days versus months.
USD.ai has been named as the primary developer to make use of PYUSDx, constructing an application-focused stablecoin for synthetic intelligence infrastructure.
Increasing PayPal’s stablecoin ecosystem
Since its debut in 2023, PayPal has labored to extend the usage of PYUSD, and this launch builds on these efforts. Customers began incomes 3.7% a 12 months on PYUSD balances in April 2025. Stellar and Arbitrum had been added to the stablecoin later that 12 months, rising pace and decreasing transaction prices.
Could Zabaneh, head of crypto at PayPal, stated builders wish to create distinctive monetary merchandise with out rebuilding core financial techniques. She described PYUSDx as a approach to anchor new initiatives in a regulated and trusted construction.
Luca Prosperi, chief govt of M0, stated the platform permits builders to iterate quicker whereas benefiting from built-in liquidity and interoperability.
The businesses additionally famous that regulatory therapy of PYUSDx tokens will differ by area and stays the accountability of particular person issuers. PYUSDx tokens can’t be used for funds or transfers inside PayPal or Venmo.
