SEC Closes PayPal’s PYUSD Stablecoin Probe Without Action
The U.S. Securities and Exchange Commission has dropped its investigation into PayPal’s dollar-pegged stablecoin, PYUSD, marking a regulatory win for the payments giant. The agency notified PayPal of the decision in a filing dated April 29, concluding a probe that began with an SEC subpoena in November 2023.
PYUSD’s clearance removes a key obstacle for PayPal’s cryptocurrency ambitions. The stablecoin, launched last year, aims to bridge traditional finance and digital assets. Regulatory uncertainty had cast a shadow over its adoption.
The SEC’s decision signals growing acceptance of compliant stablecoins. Unlike volatile cryptocurrencies, these assets maintain 1:1 dollar backing—a feature that may have influenced regulators’ hands-off approach.
