PayPal and Anchorage Digital Launch Rewards Program for PYUSD Stablecoin
Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...
PayPal has partnered with Anchorage Digital to introduce a rewards program for clients holding PayPal’s USD stablecoin (PYUSD).
The initiative applies to clients who use Anchorage’s services or the Porto institutional self-custody wallet to store their PYUSD holdings.
“PYUSD remains fully accessible and segregated in participants’ accounts on-chain for quick deployment,” the crypto bank said in an announcement.
“Importantly, this program presents a way to earn rewards without rehypothecation, staking, or lending involved.”
PYUSD was introduced by PayPal in 2023 as an ERC-20 token on the Ethereum blockchain, backed 1:1 by US dollars and issued by Paxos Trust Company, a regulated crypto custodian in the US.
The stablecoin aims to compete with other prominent dollar-backed stablecoins like the USD Coin from Circle Internet Financial.
One of the key attributes of PYUSD is its integration capability with a wide array of external developers, wallets, and web3 applications, enhancing its utility and appeal in the digital economy.
Stablecoins like PYUSD are increasingly favored in global financial transactions due to their programmability, ease of transfer, and the option for self-custody, making them particularly beneficial for global remittances.
The emergence of regulated digital asset custodians is becoming more prevalent in the US, with companies like Anchorage Digital leading the way.
Anchorage not only launched this rewards program but also introduced Porto earlier this year, a self-custody solution aimed at institutional clients
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