Payments infrastructure provider BVNK has integrated stablecoin PayPal USD (PYUSD) into its payment platform.
Following the integration, businesses will be able to access the US dollar-pegged PYUSD stablecoin on BVNK’s payments platform. Additionally, customers will be able to create PYUSD wallets, settle suppliers, pay contractors and employees around the world and accept consumer payments in the currency.
These features will all be possible through BVNK’s API, hosted payments page, or merchant portal.
Chris Harmse, Co-Founder and VP Commercial Strategy at BVNK, said: “We’re building modern payments infrastructure to enable more businesses to operate across banks and blockchains and maximise financial flexibility.”
Recently, stablecoin adoption has increased. In 2023, more than $7trn of stablecoins were settled on blockchains. This year, monthly active stablecoin users have surged, reaching 27.5 million unique users and 47 million active wallet addresses in April.
Furthermore, stablecoins account for nearly 70% of transactions on the blockchain as of today, surpassing more established digital currencies like bitcoin. At the end of April, the total market cap of stablecoins reached $160bn after eight consecutive months of growth, which is the highest market capitalisation for stablecoins since September 2022.
Among the increased adoption of stablecoin, consumers have found it difficult to find a comprehensive overview of various aspects, including information on active users, volumes by coin and blockchain, transaction sizes and a continuously evolving set of stablecoin metrics.
Addressing this issue, Visa partnered with blockchain data provider Allium Labs earlier this year to launch ‘Onchain Analytics Dashboard’, in an effort to provide transparency and accessibility to blockchain data.
Harmse added: “Stablecoins make up almost 90% of the payments we process, and they’re very important to our customers as a way to settle global payments efficiently. We’re thrilled to introduce PYUSD to our platform. As a stablecoin that connects into PayPal’s extensive payments network, it’s a valuable payment option for many businesses.”
The currency is issued by Paxos Trust Company, which is overseen by the New York State Department of Financial Services (NYDFS). PYUSD is fully backed by US dollar deposits, short-term US treasuries and similar cash equivalents. However, PYUSD is not regulated in the UK.
Nick Robnett, Head of Asset Growth at Paxos, commented: “As a dollar-pegged stablecoin that is issued by Paxos Trust Company, which is overseen by NYDFS, PYUSD is bringing greater trust to digital assets. We’re seeing growth every day as it’s rolled out across the PayPal ecosystem – and we’re delighted to team up with BVNK to give more businesses access to PYUSD, and more options for how they move their money globally.”
