SEC officially ends investigation into PayPal’s PYUSD stablecoin

The U.S. Securities and Exchange Commission (SEC) has officially closed its investigation into PayPal USD (PYUSD) without taking any enforcement action, according to PayPal’s latest 10-Q filing.

The inquiry began in November 2023 when PayPal received a subpoena requesting documents related to PYUSD. In February 2025, the SEC informed PayPal that the case had been closed.

This announcement comes shortly after PayPal and Coinbase launched a zero-fee trading program for PYUSD, allowing 1:1 redemptions for USD.

PYUSD currently holds a market cap of $879.9 million, trailing far behind USDT and USDC. To boost adoption, PayPal has expanded PYUSD to Solana and partnered with Anchorage Digital and MoonPay.