PYUSDx reaches $100M as M0 CEO explains business stablecoin model

PayPal, M0, and MoonPay have publicly launched PYUSDx after three products processed about $100 million through the business stablecoin platform. Summary PYUSDx lets businesses issue programmable tokens backed one-to-one by PayPal USD. Saturn, Concrete, and Cap have processed about $100 million across three live products. Businesses can control token policies and allocate revenue generated by the backing. A shared swap facility converts supported tokens at par without separate liquidity pools. M0 CEO and co-founder Luca Prosperi told crypto.news that PYUSDx gives businesses control over token rules, revenue, and administration that they would not receive by integrating PayPal USD directly. PayPal, MoonPay and M0 introduced the platform in February as infrastructure for developers seeking to issue application-specific stablecoins without building the underlying token and reserve systems from scratch. With the public launch, Saturn, Concrete, and Cap are using PYUSDx for three different products. Saturn operates a Bitcoin-backed lending product, Concrete runs an onchain investment vault, and Cap provides a credit platform. According to Prosperi, the three products have processed about $100 million through the platform. The figure refers to processed volume rather than PYUSDx circulation or the value of reserves held against the tokens. You might also like: U.S. Bank pilots USBDC stablecoin on Stellar PYUSDx gives businesses control over token rules A business can integrate PYUSD as an existing stablecoin or use PYUSDx to deploy a separate token with custom settings. Prosperi said the second option allows a builder to set administrative roles, compliance controls and upgrade policies for its product. “When you hold someone else’s stablecoin, you use its programming and rulebook,” Prosperi said. With a direct PYUSD integration, functions such as freezing, pausing, forced transfers, minting, and burning follow rules established by the issuer. Prosperi said most roles attached to a custom PYUSDx token instead belong to the business that deployed it. Each builder can choose an administrator, apply compliance controls under its own policy, and determine how software upgrades are handled. According to Prosperi, a business can automatically adopt M0’s audited upgrades or follow its own process. The model also gives businesses a share of the economics created by their tokens. Prosperi said revenue generated by PYUSD goes to its issuer, Paxos, while revenue accruing on the PYUSDx that backs a custom token can be sent to a treasury selected by the builder. PYUSDx tokens are non-rebasing, meaning holder balances do not change automatically as revenue accumulates. The business can use the proceeds to reduce fees, fund rewards for holders, or add the money to its profit and loss account, according to Prosperi.