PayPal stablecoin, popularly recognized as PYUSD, continues to experience significant growth of its stable token accessibility and adoption in the wider DeFi (decentralized finance) landscape, according to a revelation disclosed today by Artemis.
As per data shared by Artemis, the PYUSD stablecoin, powered by PayPal Holdings, Inc., a US multinational digital payments company, has increased its market capitalization by $150 million after it debuted a partnership with USDAI on December, 19, 2025. This development showcases a rising adoption of the stablecoin in the larger DeFi ecosystem.
The Deal Between PYUSD and USDAI
Back in late last year, on December 19, 2025, USDAI, an on-chain credit protocol, launched a strategic collaboration with PayPal, a partnership that enabled the integration of the PYUSD stablecoin as a settlement asset for AI infrastructure financing. This partnership aims to make it seamless for AI developers and firms to fund (finance) services and hardware that drive (power) modern artificial intelligence. Instead of AI builders and companies navigating complicated traditional banking setups, the use of the stable digital dollar (PYUSD stablecoin) allows them to efficiently access liquidity for GPU purchases and various operating expenses.
With the partnership, USDAI simply gives out loans in the form of PYUSD, with AI builders and companies seamlessly accessing such funds on-chain, borrowing capital, and paying real-world expenses.
According to metrics presented by Artemis, the market capitalization of PYUSD has increased by $150 million following USDAI’s move to integrate the stablecoin into its new AI Infrastructure financing program. This significant surge is mainly attributed to the increasing number of AI companies moving to secure loans in PYUSD to buy GPUs, build data centers, and scale their infrastructure without depending on traditional banking systems. The loans are given directly within PayPal accounts, powered by programmable settlements and long-term credit mechanisms to enhance flexibility and efficiency.
PayPal’s Stablecoin PYUSD Supply Grows
PayPal’s stablecoin continues to witness a remarkable rise in supply, as per the latest metrics from DeFillama. The market cap of PYUSD currently stands at $3.934 billion, an increase from the $3.8 billion mark noted on December 19, 2025. This impressive rise in supply highlights the growing demand and usage of PYUSD in the DeFi space, placing PYUSD as the seventh-largest stablecoin in the market according to DeFillama.
