In Brief:
- Buying, selling, sending and spending PYUSD on Arbitrum is now live for eligible Venmo users, according to the network’s rollout announcement.
- With more than 67 million monthly active accounts behind it, Venmo becomes one of the biggest consumer on-ramps a stablecoin has had on an Ethereum L2.
- Although PayPal shipped PYUSD to Arbitrum back in July 2025, it took over a year for retail access inside its own apps to catch up with the contract.
Arbitrum, in a post confirming the launch, said eligible Venmo customers can now buy, sell, send and use PYUSD on the network. Venmo counts more than 67 million monthly active accounts.
That closes a gap that had persisted since the middle of 2025 — the token was deployed in one place while everyday users had no way to touch it there. PayPal brought PYUSD to Arbitrum in July 2025; consumer access through Venmo arrived only later.
Consumer wallets are adding stablecoin access.
Eligible users on @Venmo can buy, sell, send and use PYUSD on Arbitrum.
Venmo supports 67M+ monthly active accounts.@ArbitrumView on X ↗
Across PayPal and Venmo, PYUSD shows up as one balance no matter which chain is holding the funds. Instead of juggling a separate balance per network, users simply choose Ethereum, Solana or Arbitrum when they deposit or withdraw.
What Venmo users get
Buying, selling and holding PYUSD carries no fees, and neither does sending it to another Venmo user or to a PayPal account. Sending to an external wallet address does incur network fees.
Only balances parked inside Venmo or PayPal earn rewards. PayPal sets the rate, which is variable, calculates it on the average daily balance and pays it out monthly in PYUSD. The company promoted a 4% rate in 2026, an increase over the 3.7% offered when the program launched in April 2025. Participation is limited to opted-in U.S. customers outside New York.
Arbitrum was the first L2
The Arbitrum deployment was announced by PayPal on July 17, 2025, giving PYUSD a third chain after its Ethereum debut in August 2023 and Solana in May 2024 — and marking the first L2 to host the token.
Word of the expansion leaked through the fine print before any formal statement. Dated July 16, 2025, PayPal’s amended terms and conditions named Arbitrum next to Ethereum and Solana in the PYUSD Stablecoin section. ARB climbed 10% over the following 24 hours once the news surfaced.
“A key to any cryptocurrency’s success is a robust developer ecosystem,” May Zabaneh, vice president of product at PayPal, said in the July 2025 announcement. She cast the multi-chain strategy as giving developers a choice between the security of Ethereum, the throughput of Solana and Arbitrum’s cost efficiency.
PayPal’s pitch at the time emphasized settlement measured in seconds and transaction costs that typically come in under a penny, with contracts portable from Ethereum mainnet without needing a rewrite. Content micropayments, usage-based billing and instant rewards distribution were the use cases the company said those economics unlock. At the time of the release, Arbitrum’s total value locked was above $2.5 billion.
Liquidity still sits elsewhere
As of April 28, 2026, PYUSD’s onchain market cap on Arbitrum One came to roughly $311.7 million spread across 1,133 holders. Circulating supply overall was close to $3.5 billion in May 2026, with the majority of it still sitting on Ethereum and Solana.
A deal announced Sept. 18, 2025 saw PayPal and Paxos push the token beyond its native chains via LayerZero’s omnichain framework, tacking on nine additional networks — among them Aptos, Avalanche, Sei, Ink and Tron. In native or bridged form, PYUSD now spans 13 networks.
Why the distribution matters is clear from Venmo’s own figures. The fourth quarter of 2025 saw monthly active accounts reach 67 million, a 7% year-over-year increase, while total payment volume rose 13% — a fifth straight quarter of double-digit growth. For the year, Venmo revenue was up roughly 20% to $1.7 billion.
In March 2026, PayPal said PYUSD had reached 70 international markets spanning Asia-Pacific, Europe, Latin America and North America, rolled out market by market. Certain jurisdictions match the U.S. entirely on buy, sell, hold, send and rewards, while others stay restricted while local regulators review the product.
Growth in Paxos-issued stablecoins was already underway before Venmo turned the feature on. Over the 30 days ending in mid-August 2026, USDG and PYUSD together picked up about $313.6 million in market cap, roughly $305 million of which came from USDG.