- PayPal integrates PYUSD with the Solana blockchain.
- Promises enhanced transaction speed and reduced costs.
- Crypto.com, Phantom, and Paxos provide initial onramps.
Stablecoin transfers are becoming increasingly important in crypto, thanks to their stability and ease of use for customers. Most recently, PayPal, one of the largest payment networks in the world, has announced a major step for its stablecoin.
PayPal’s PAYUSD is now available on the Solana blockchain. This move leverages Solana’s high-speed and low-cost transaction capabilities, providing users with a cheaper payment method.
PayPal USD Integrates with Solana Blockchain
On Wednesday, May 29, at the Consensus 2024 conference, PayPal Holdings, Inc. announced that its stablecoin, PayPal USD (PYUSD), is now available on the Solana blockchain. Thanks to Solana’s highly scalable technology, this integration will provide faster and cheaper transactions.
Jose Fernandez da Ponte, Senior Vice President of PayPal’s Blockchain, Cryptocurrency, and Digital Currency Group, stated, “Making PYUSD available on the Solana blockchain furthers our goal of enabling a digital currency with a stable value designed for commerce and payments.”
So far, PYUSD transfers have been available only on Ethereum. After the integration, PayPal’s Venmo wallet will show one PYUSD balance, regardless of the chain. Crypto.com, Phantom, and Paxos, also support the integration, as they are the first platforms to enable buying PYUSD on Solana.
What PYUSD Integration Means for Solana
The expansion of PYUSD to Solana contributes to the chain’s narrative of being a scalable and efficient platform. Transfers on Solana cost a fraction of their price on Ethereum, making the blockchain more accessible to users.
“The Solana network’s speed and scalability make it the ideal blockchain for new payment solutions that are accessible, cost-effective, and instantaneous,” explained Sheraz Shere, GM of Payments at the Solana Foundation.
The Solana scalability and low cost make it particularly suitable for stablecoin transfers, which require fast and cost-effective chains.
On the Flipside
- On March 26, Solana’s stablecoin volumes surpassed that of Ethereum. However, the likely culprit behind this metric is high-volume bot traders.
Solana’s reputation as a high-performance chain is undermined by its outages, as well as the network congestion it is currently experiencing.
Why This Matters
Thanks to Solana’s high-speed and low-cost infrastructure, PayPal can boost transaction efficiency and reduce users’ costs. This move may further drive the broader adoption of blockchain-based payments.
Read more about Solana’s stablecoin dominance:
Solana Leads Stablecoin Volume: Here’s What’s at Play
Read more about the recent revelations about Solana’s validators:
Solana Validators to Get More Fees, Amid Side Deal Concerns
