PayPal has deployed its PYUSD stablecoin on Solana, offering “confidential transfers” as an additional feature. Previously only available on Ethereum, PYUSD now allows merchants to provide transaction amount confidentiality to consumers while maintaining regulatory visibility. This new feature has drawn comparisons to Bitcoin’s long-discussed but yet-to-be-built “confidential transactions.” Helius Labs CEO Mert Mumtaz noted that PayPal’s expansion to Solana was not solely for speed, highlighting additional programmability features such as “transfer hooks” that provide more control over the asset for wallets. Solana’s token extension standard also offers benefits like reduced development and testing, enterprise-ready capabilities, and flexibility for the PayPal stablecoin. PYUSD, backed primarily by U.S. Treasury Reverse Repurchase Agreements, was launched in August 2023 and has seen a 50% increase in circulating supply this year. Its 24-hour trading volume is approximately $18 million. The stablecoin was previously only available on Ethereum, with a total circulation of around $400 million and a current supply of $5 million on Solana.
PayPal's latest stablecoin on the Solana network introduces 'private transactions'