Blab Crypto
PayPal, MoonPay, and M0 Launch PYUSDx Platform, Enabling Developers to Issue Custom Stablecoins
On September 9, 2026, PayPal, the digital‑payments giant, joined forces with MoonPay and M0 to unveil PYUSDx—a developer platform that lets businesses and developers create application‑specific stablecoins backed by PayPal’s U.S. dollar‑denominated token, PYUSD.
PYUSDx is built on M0’s universal stablecoin framework, while MoonPay holds the PYUSD reserves that back the platform and offers collateral‑transparency services to builders and their users. PayPal’s role is to make its stablecoin extensible, allowing developers to use PYUSD directly and to integrate the new tokens into PayPal’s payment network as circulation grows.
According to the announcement, the platform is the first of its kind that M0 has built with a partner. “Each has different users, different business models, and different requirements for how their tokenized dollar should behave,” the release said. “That they can each build a distinct product without rebuilding the underlying layer is what PYUSDx was designed to make possible.” The platform is intended to be a foundation for future projects, with the partners stating that it will not be the last.
May Zabaneh, PayPal’s senior vice president and general manager of crypto, said the stablecoin market is maturing fast and that the next phase is defined by what companies can do with the asset. “What separates the next phase from the last isn’t the asset. It’s what companies can do with it. PYUSDx is designed to answer that,” she said.
The launch follows PayPal’s earlier expansion of PYUSD into 70 markets in March 2026 and the company’s August 2023 introduction of the token, which is fully backed by U.S. dollar deposits and short‑term Treasury securities. PYUSDx allows developers to issue branded tokens without building reserve and compliance infrastructure from scratch, a feature highlighted by the platform’s ability to provide built‑in liquidity and interoperability.
Research by PYMNTS Intelligence, published in the July 2026 edition of the Payments Innovation Tracker® Series, notes that stablecoins are increasingly used to manage liquidity rather than just facilitate payments. The report states, “As digital currencies become easier to move through wallets, cards and established payment networks, they are also becoming easier for businesses to hold, allocate and redeploy.” It further observes that the deeper opportunity lies in converting corporate liquidity from a static balance‑sheet asset into programmable working capital.
Early launch partners Saturn, Concrete and Cap represent a range of use cases. Saturn focuses on credit products, Concrete on investment services, and Cap on decentralized finance. Together, they have processed more than $100 million in volume on the PYUSDx platform, demonstrating the framework’s ability to support fundamentally different financial products.
Additional developers are expected to join the platform. USD.AI and Fairblock have announced plans to issue stablecoins via PYUSDx, and the platform’s design encourages rapid iteration for fintech developers.
The PYUSDx launch marks a significant step in the evolution of stablecoins, moving the technology from a payment instrument to a programmable asset that can be embedded into a wide range of financial applications. The platform’s integration with PayPal’s payment network and MoonPay’s reserve management provides a robust foundation for developers seeking to create new digital dollar‑pegged tokens.
At present, the platform is live with three projects and has processed over $100 million in transactions. Future developments will likely include additional partner launches, expanded market availability, and further integration with PayPal’s payment services. Regulatory scrutiny of stablecoin issuers remains ongoing, but the PYUSDx framework is designed to meet existing compliance requirements through its reserve‑backing and transparency mechanisms.
In summary, PYUSDx represents a new layer of infrastructure that enables developers to issue custom stablecoins backed by PayPal’s PYUSD, with MoonPay providing reserve management and M0 supplying the underlying platform. The initial launch has already seen significant transaction volume, and the partnership signals a broader trend toward programmable, application‑specific stablecoins in the digital‑asset ecosystem.
PYUSDx is built on M0’s universal stablecoin framework, while MoonPay holds the PYUSD reserves that back the platform and offers collateral‑transparency services to builders and their users. PayPal’s role is to make its stablecoin extensible, allowing developers to use PYUSD directly and to integrate the new tokens into PayPal’s payment network as circulation grows.
According to the announcement, the platform is the first of its kind that M0 has built with a partner. “Each has different users, different business models, and different requirements for how their tokenized dollar should behave,” the release said. “That they can each build a distinct product without rebuilding the underlying layer is what PYUSDx was designed to make possible.” The platform is intended to be a foundation for future projects, with the partners stating that it will not be the last.
May Zabaneh, PayPal’s senior vice president and general manager of crypto, said the stablecoin market is maturing fast and that the next phase is defined by what companies can do with the asset. “What separates the next phase from the last isn’t the asset. It’s what companies can do with it. PYUSDx is designed to answer that,” she said.
The launch follows PayPal’s earlier expansion of PYUSD into 70 markets in March 2026 and the company’s August 2023 introduction of the token, which is fully backed by U.S. dollar deposits and short‑term Treasury securities. PYUSDx allows developers to issue branded tokens without building reserve and compliance infrastructure from scratch, a feature highlighted by the platform’s ability to provide built‑in liquidity and interoperability.
Research by PYMNTS Intelligence, published in the July 2026 edition of the Payments Innovation Tracker® Series, notes that stablecoins are increasingly used to manage liquidity rather than just facilitate payments. The report states, “As digital currencies become easier to move through wallets, cards and established payment networks, they are also becoming easier for businesses to hold, allocate and redeploy.” It further observes that the deeper opportunity lies in converting corporate liquidity from a static balance‑sheet asset into programmable working capital.
Early launch partners Saturn, Concrete and Cap represent a range of use cases. Saturn focuses on credit products, Concrete on investment services, and Cap on decentralized finance. Together, they have processed more than $100 million in volume on the PYUSDx platform, demonstrating the framework’s ability to support fundamentally different financial products.
Additional developers are expected to join the platform. USD.AI and Fairblock have announced plans to issue stablecoins via PYUSDx, and the platform’s design encourages rapid iteration for fintech developers.
The PYUSDx launch marks a significant step in the evolution of stablecoins, moving the technology from a payment instrument to a programmable asset that can be embedded into a wide range of financial applications. The platform’s integration with PayPal’s payment network and MoonPay’s reserve management provides a robust foundation for developers seeking to create new digital dollar‑pegged tokens.
At present, the platform is live with three projects and has processed over $100 million in transactions. Future developments will likely include additional partner launches, expanded market availability, and further integration with PayPal’s payment services. Regulatory scrutiny of stablecoin issuers remains ongoing, but the PYUSDx framework is designed to meet existing compliance requirements through its reserve‑backing and transparency mechanisms.
In summary, PYUSDx represents a new layer of infrastructure that enables developers to issue custom stablecoins backed by PayPal’s PYUSD, with MoonPay providing reserve management and M0 supplying the underlying platform. The initial launch has already seen significant transaction volume, and the partnership signals a broader trend toward programmable, application‑specific stablecoins in the digital‑asset ecosystem.
