PayPal USD Circulation Reaches 2.6 Billion Tokens, Signaling Ethereum DeFi Growth

PayPal’s stablecoin, PYUSD, has surpassed a circulation of 2.6 billion tokens as of mid-October 2025, a significant increase of 125.5% since August, according to KPMG assurance report. The rise is supported by a $2,652,728,424 in collateral backing from Paxos Trust Company, on behalf of PayPal Inc. This surge indicates increased liquidity and activity within Ethereum’s DeFi markets. While this growth fuels increased on-chain activity on both Ethereum’s Layer 1 and Layer 2 networks, its impact on market prices is unclear.