PayPal launches PYUSDx platform for custom stablecoin creation

PayPal just made its stablecoin ambitions a lot bigger. The company launched PYUSDx, a platform that lets businesses and developers create their own custom stablecoins, each fully backed by PayPal’s existing PYUSD token. Instead of every company needing to go through the painful, months-long process of issuing their own dollar-pegged token, they can now spin one up in days using PayPal’s infrastructure and PYUSD reserves as the backing layer. How the platform works PYUSDx effectively turns PYUSD from a standalone stablecoin into a reserve asset that underpins an entire ecosystem of application-specific tokens. Each custom stablecoin minted through the platform is backed 1:1 by PYUSD, which itself is issued by Paxos and backed by US dollar reserves. The system was built in partnership with M0 and MoonPay, bringing together token infrastructure expertise and crypto payment rails. Features include multi-chain compatibility, meaning tokens can be deployed across different blockchains, and customizable economics that let issuers set their own fee structures and incentive models. PayPal first announced the concept back in February 2026, and the platform officially went live on September ...