Source: Solana Blog

PayPal announced that its stablecoin PYUSD has officially launched on the Solana blockchain. This announcement was made today in the ongoing Consensus 2024 event happening in Austin, Texas. This is coming nine months after the stablecoin launched on the Ethereum blockchain back in August 2023.

Solana blockchain offers many interesting features like low cost and instant finality time that make it the ideal blockchain for expanding the stablecoin. However, according to the blog published, the main reason for choosing Solana is the token extension capability that the blockchain implements which will bring “familiar fintech features to stablecoin payments.”

Below are some of the benefits that the PYUSD stablecoin being enabled by token extensions will introduce:

- Allow merchants to keep transaction amounts private but maintain transparency of other transaction details for regulatory purposes.

- Allow senders and receivers to add custom information along with the payments.

- “Enable PayPal developers to invoke custom programs during token transfers for individuals and merchants using PYUSD. These hooks will enable an ecosystem of useful features that mirror today’s “plug-ins” for commercial.”

These benefits are poised to increase PYUSD as the preferred stablecoin for commerce and payments.

PYUSD can be purchased on PayPal, Venmo, or through any compatible crypto wallet. PYUSD will be redeemable for USD at a ratio of 1:1. You can learn more about PayPal USD (PYUSD) through their whitepaper here.