Digital payments giant PayPal has added Arbitrum to the blockchain networks supporting its stablecoin, PYUSD. According to the company's updated cryptocurrency terms of use, dated July 16, 2025, PYUSD will now operate on Arbitrum, in addition to Ethereum and Solana. While this development has not yet been officially announced by PayPal, it was revealed through changes to the terms and conditions on its website.
PayPal now supports the Arbitrum network
The "PYUSD Stablecoin" section on PayPal's official website, updated on July 16, clearly states that PYUSD is now supported on the Ethereum, Solana, and Arbitrum networks. Arbitrum's new addition to this list is evident from its absence in the previous version, dated July 11, according to the Wayback Machine archive. Similarly, the "Transaction Limits" section now includes information regarding the use of PYUSD on Arbitrum.
The official announcement hasn't arrived yet
PayPal hasn't yet publicly announced this integration. However, considering the company's digital currency strategy, its focus on Ethereum-compatible Layer 2 solutions like Arbitrum isn't surprising.
PayPal USD (PYUSD) was first launched on the Ethereum network in August 2023. This stablecoin, issued by Paxos, is fully backed by US dollar reserves, short-term treasury bonds, and similar cash assets. PYUSD's primary goal is to create a stablecoin that can be integrated into digital payment systems.
PayPal CEO Dan Schulman stated at the launch, "The transition to cryptocurrencies requires a stable medium that is both digitally native and easily integrated with fiat currencies like the US dollar."
The stablecoin was later expanded to the Solana network in May 2024. This move was interpreted as a significant step toward PayPal's goal of creating a digital dollar that supports fast and low-cost transactions and can be used in commerce and payments.
Paxos was already on Arbitrum
Paxos, the company behind PYUSD, completed its integration into the Arbitrum network in September 2024. By migrating its tokenization platform to Arbitrum, the company aimed to offer new opportunities for both institutional and individual users. Therefore, the inclusion of PYUSD in this ecosystem was a technically expected development.
The Arbitrum integration will further expand PYUSD's reach and appeal to different user segments. The low transaction fees and high speeds offered by Arbitrum, in particular, could contribute to making PYUSD more convenient for commercial transactions.
