PayPal’s PYUSD Stablecoin Launches on Arbitrum Network with $100K Weekly Limits

PayPal’s PYUSD stablecoin has expanded to the Arbitrum network, becoming the first layer-2 blockchain integration for the dollar-pegged cryptocurrency. This move aims to reduce transaction costs and improve processing speeds.

Tristan Greene By Tristan Greene Marco T. Lanz Editor Marco T. Lanz Updated 2 mins read
PayPal’s PYUSD Stablecoin Launches on Arbitrum Network with $100K Weekly Limits

Key Notes

  • PYUSD becomes available on Arbitrum with $100,000 weekly purchase limits and $25,000 weekly send restrictions.
  • Arbitrum's token price surged over 10% following the integration announcement across social media platforms.
  • The L2 expansion supports PayPal's 2025 strategy to integrate PYUSD with 20 million small businesses globally.

A July 15 update to PayPal’s cryptocurrency terms and conditions shows that PYUSD is now supported on the Arbitrum network alongside its previous availability on the Ethereum and Solana blockchain networks. The update indicates that transfers will be lower-end capped to a minimum of one PYUSD, with weekly purchase limits set at $100,000 and weekly send limits restricted to crypto assets totaling the equivalent of $25,000.

Arbitrum Becomes PYUSD’s First L2 Partner

Launched in 2023, PYUSD is a fully-backed 1:1 stablecoin pegged to the US dollar. It provides seamless connectivity to the PayPal and Venmo networks allowing users to buy, sell, and hold it without incurring transaction fees or requiring external connectivity.

PYUSD’s expansion to Arbitrum marks the stablecoin’s first integration with a layer-2 blockchain technology. While no official press announcement has been made by PayPal or Paxos as of the time of this article’s publication, the update to PYUSD’s terms and service agreement were quickly noticed by the crypto community.

In the wake of the spreading news, Arbitrum has seen a price increase of more than 10% according to data from CoinMarketCap.

Adding the Arbitrum L2 blockchain to PYUSD’s host networks could serve to lower overhead gas fees and cut transaction times in comparison to the previous integrations with Ethereum and Solana networks, thus increasing the potential for broadening collaborations throughout the cryptocurrency and digital assets community.

As Coinspeaker reported in February, PayPal began a broader push for mass adoption of the stablecoin throughout 2025. Michelle Gill, PayPal’s general manager for small business and financial services group, shared plans to seek PYUSD integration with 20 million small and medium-sized businesses as part of this strategy in interviews. This integration could serve as a catalyst for further industry adoption.

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

Cryptocurrency News, News
Tristan Greene

Tristan is a technology journalist and editorial leader with 8 years of experience covering science, deep tech, finance, politics, and business. Before joining Coinspeaker, he wrote for Cointelegraph and TNW.

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