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Partner with Paxos on stablecoins
High standards of consumer protection
Paxos-issued stablecoin PYUSD – and its reserves – are subject to strict regulatory oversight by the New York State Department of Financial Services.
1:1 redemption, readily available
Reserves are held 100% in US dollar deposits, US treasuries and cash equivalents – meaning that customer funds are available for 1:1 redemption with Paxos.
Bankruptcy remote, assets fully segregated
Under New York banking law, in the event of Paxos Trust insolvency, customer assets may not be used to satisfy the debts of Paxos because client assets are held bankruptcy remote.
PayPal USD on PayPal
Buy, sell, hold or transfer PayPal USD on PayPal. Use the convert feature for a fee to buy supported cryptos. You can also check out with PayPal using crypto on millions of online sites and PayPal will sell your PYUSD to pay for your items.1
PayPal USD is also available on Venmo! This means that PYUSD is available for purchase and sale on Venmo and can be sent to compatible external wallets and friends and family on Venmo and PayPal, and vice versa.
Benefits of Stablecoins
Stablecoins possess the best qualities of crypto and fiat currency – providing price stability and a steady valuation while offering the secure and decentralized features of crypto.
Before stablecoins, access to the US dollar was restrictive and costly (or unavailable). But now you can access fully-backed stablecoins with a mobile device and internet connection.
Efficient money movement
Compared to traditional wire transfers, stablecoin transfers (including cross-border and global transfers) are quick, cost-effective and could happen 24/7.
Stablecoins are a trusted currency for developers and can be integrated on different blockchains, adding liquidity and creating bridges between traditional fiat and web3.
Review frequently asked questions about PayPal USD
Issued by Paxos Trust Company, PayPal USD (PYUSD) is PayPal’s stablecoin designed for payments. PYUSD is an ERC-20 tokenized digital dollar. Like other crypto assets, it can move instantaneously, anywhere in the world, at any time, and it’s programmable. Unlike other crypto assets, PYUSD is stable. It is backed 1:1 for the dollar and it’s issued by Paxos Trust Company, so the funds are carefully protected, audited and regulated.
- Purchase: Note that at this time retail and institutional users of account.paxos.com must purchase PYUSD from PayPal, Inc. Developers and Crypto Brokerage Partners can purchase PYUSD using our APIs, or convert fiat balances to PYUSD. See our PYUSD Documentation for more details.
- Redeem: Please refer to How to Fund Your Account with Digital Assets.Once your PYUSD deposit is complete you may withdraw USD following the steps noted in Withdrawing From My Paxos Account
PYUSD is regulated by the New York State Department of Financial Services and issued by Paxos Trust Company. USD is issued by the US Treasury.
A note about freeze & seize
Although Paxos has the ability and the right to freeze all USD Stablecoins tokens, including PYUSD, Paxos would only deploy such ability in very limited circumstances, such as when an illicit incident is discovered as part of Paxos’ real time fraud risk monitoring process and / or as reported to us by law enforcement. Paxos will report such incidents to law enforcement and/or regulators in a timeline manner, and will freeze certain PYUSD if required to do so by law, specifically when Paxos receives a formal, binding legal directive from a regulator, judicial body, law enforcement agency, or other legal entity having jurisdiction over Paxos. Paxos would only seize your PYUSD if so formally required in writing by a binding law enforcement agency, a regulator, or a judicial body.
For more information, please see Section 3.4 of the US Dollar-Backed Stablecoin Terms & Conditions.
Stablecoin Resource Library
Learn more about stablecoin use cases, how they support an open financial system and more.
1PayPal Balance or Venmo accounts required.
When you buy or sell cryptocurrency on PayPal or Venmo (including when you checkout with crypto on PayPal), Paypal or Venmo will disclose an exchange rate and any fees you will be charged for that transaction. For currencies other than PYUSD, the exchange rate includes a spread that is earned on each purchase and sale. Learn more about cryptocurrency fees on PayPal and Venmo.
PayPal and Venmo do not make any recommendations regarding buying and or selling cryptocurrency. Consider seeking advice from your financial and tax advisor. Some custody, trading, and transfer services for cryptocurrency are performed for PayPal and Venmo by our licensed service provider, Paxos Trust Company, LLC. PayPal USD is issued by Paxos, not PayPal or Venmo, and is subject to the Paxos US Dollar-Backed Stablecoin Terms and Conditions.
Any cryptocurrencies you hold in your PayPal Balance or Venmo account are not eligible for FDIC insurance.
Cryptocurrency activity is not a regulated activity in many U.S. states and territories. PayPal, Inc. is licensed to engage in virtual currency business activity by the New York State Department of Financial Services. Buying, selling, transferring, and holding cryptocurrency with PayPal and Venmo is not available in Hawaii and where prohibited by law.
All cryptocurrency prices shown are for illustrative purposes only.