Overview

• PayPal announced a 3.7% annual yield on PYUSD stablecoin holdings for U.S. users, with rewards accrued daily and paid monthly.
• The yield program, launching this summer, is designed to boost PYUSD adoption and encourage its use across PayPal and Venmo wallets.
• Users can utilize PYUSD rewards for purchases, peer-to-peer transfers, and international payments through PayPal's ecosystem.
• Launched in 2023 by Paxos Trust, PYUSD is backed 1:1 by U.S. dollar reserves but holds less than 1% of the stablecoin market share.
• PayPal’s broader strategy positions stablecoins as foundational for next-generation payment systems, enhancing speed and reducing costs.