PayPal USD is now issued natively on Polygon Chain through Paxos, giving businesses another way to use the stablecoin for payments, settlement, and cross-border money movement.
Polygon announced the launch on Thursday. The company said PYUSD is also built into the Polygon Open Money Stack, a payment system that combines wallets, fiat ramps, compliance tools, and settlement services in one integration.
PYUSD goes native on Polygon
PayPal and Polygon are positioning the move around business payments. Companies already using Polygon payment infrastructure can now access PYUSD through the same wallets, ramps, and compliance tools they use on the network.
The launch means businesses can accept funds from cards, bank accounts, or exchange balances, move PYUSD across borders, and cash out to local currencies through one system. Polygon says this setup reduces the need to connect several providers for payments, compliance, and currency conversion.
Polygon said its network has settled more than $2.6 trillion in stablecoin transactions to date. It also said the chain handles more than $2.5 billion in stablecoin volume daily, giving PYUSD access to a large payments network.
Polygon targets business payment use cases
The main target is not only crypto traders. Polygon says PYUSD on its chain can support payroll, remittances, online marketplaces, business-to-business payments, and international payouts. These are areas where companies often face delays, failed transfers, and higher fees through traditional payment routes.
The Open Money Stack is designed to make stablecoin payments easier for companies that do not want to build their own payment system from several different vendors. Polygon has said the system gives businesses one API for deposits, stablecoin transfers, and cash-outs.
“A stablecoin is only as useful as the places it can go and what it can do when it gets there,” Polygon Labs CEO Marc Boiron said.
Boiron said bringing PYUSD into the Open Money Stack lets a business take money in, move it across borders, and cash it out through one integration with compliance built in.
Paxos-issued PYUSD adds compliance focus
PYUSD is issued by Paxos. PayPal says the stablecoin is backed by U.S. dollar deposits, U.S. Treasuries, and similar cash equivalents. It can be bought or sold through PayPal and Venmo at a rate of $1.00 per PYUSD.
Paxos issues PYUSD under a national trust charter supervised by the Office of the Comptroller of the Currency. Polygon said that structure gives enterprise users a compliance profile they may need before using stablecoins in payment flows.
“PYUSD is issued under a national Trust charter supervised by the OCC,” Paxos Chief Revenue Officer Peter Jonas said.
Jonas said native PYUSD on Polygon places a dollar-backed stablecoin on one of the most active networks for stablecoin payments. He said businesses using the Open Money Stack can settle in PYUSD with regulatory oversight built into the product.
Stablecoin payments continue to expand
The Polygon launch follows PayPal’s broader push to grow PYUSD access. In March, PayPal said PYUSD would be available to users across 70 markets, allowing eligible users to buy, hold, send, and receive the stablecoin through PayPal accounts.
The move also comes as payment firms and financial institutions test more stablecoin settlement products. As reported by The Coin Headlines in June, Mastercard expanded its stablecoin settlement network across Solana, Base, Polygon, Ethereum, Arbitrum, and XRPL. That service focused on always-on settlement options across several blockchains.
Moreover, as previously reported in May, State Street and Galaxy launched the SWEEP fund for on-chain cash management, with qualified investors able to deposit and redeem using stablecoins, initially PYUSD. That showed how PYUSD has also been moving into institutional cash products.
