Discover why Stellar (XLM) achieved the highest 24-hour gains among the top 20 cryptocurrencies after PayPal announced plans to launch its stablecoin, PYUSD, on the Stellar blockchain. Explore technical analysis, expert commentary, and what it means for the digital payments landscape.
PayPal’s PYUSD Set to Launch on Stellar: What This Means For Crypto Payments
On June 11, the global fintech giant PayPal made a major announcement that has sent ripples throughout the cryptocurrency world: PayPal USD (PYUSD), the highly anticipated US dollar-backed stablecoin, is expected to launch on the Stellar blockchain network. This move, pending approval by the New York State Department of Financial Services, represents PayPal’s strategic plan to expand the reach of PYUSD beyond its current deployment on Ethereum and Solana.
This headline news has provided immediate upside for Stellar’s XLM token, which not only saw the top percentage gain of any top 20 cryptocurrency in a dramatic 24-hour window but also signaled new utility and growth for the Stellar blockchain itself. As the world’s most influential payment providers enter the stablecoin race, the relevance of scalable, affordable, and efficient blockchains like Stellar is climbing rapidly.
Why Stellar? PayPal’s Strategic Choice for PYUSD
PayPal highlighted Stellar’s global payment infrastructure in its press release. Unlike other blockchain networks, Stellar is architected for high-speed, low-cost transactions with wide-ranging real-world applications. The foundation’s focus on practical, mainstream payment solutions has made it a top choice for companies aiming to bridge blockchain with daily finance.
Integrating PYUSD with Stellar’s vast ecosystem gives this stablecoin extended reach—enabling real-time, inexpensive transactions in more than 170 countries. This move isn’t just about consumer payments; it positions PYUSD as a powerful tool for remittances, cross-border transfers, and services for small businesses that require agile working capital financing. The Stellar network, through its local payment rails, on/off ramps, and compatibility with digital wallets, is well placed to distribute PYUSD at scale.
Senior Leadership Insights: The Promise of Stellar-PayPal Partnership
May Zabaneh, PayPal’s VP for digital currencies, commented that the collaboration is designed to “advance the use of blockchain in streamlining cross-border payments.” Denelle Dixon, Stellar Development Foundation’s CEO, said such moves help carry stablecoin utility into emerging markets, addressing the needs of businesses and consumers who require fast, reliable settlement infrastructure.
Support for innovative liquidity and settlement options is also in the pipeline. PayPal plans to leverage “PayFi,” its in-development digital finance tool, to deliver real-time capital to businesses in PYUSD on Stellar, helping enterprises better manage operating funds and transaction settlement.
Meanwhile, Ian Burrill—Senior Director at PayPal overseeing crypto engineering—offered technical context in a recent video. He highlighted Stellar’s remarkable speed, low transaction costs, and potential to bring PYUSD access to more than 180 countries, empowering merchants to send and receive funds in real-time and optimize their cash flow.
Technical Analysis: XLM’s 24-Hour Surge and Key Support Levels
Following PayPal’s announcement, Stellar’s XLM token quickly became one of the most-watched crypto assets on July 11–12. According to CoinDesk Research, XLM achieved close to 20.6% volatility across a 0.071range,soaringfrom0.071 range, soaring from 0.071range,soaringfrom0.345 to $0.416 within a day.
The greatest momentum occurred in the early UTC hours of July 12, where XLM shot up from 0.354to0.354 to 0.354to0.393 with volume surpassing 551 million—more than double the daily average. Key new support has formed at $0.354, suggesting buyers are taking control following the news.
Sustained bullish behavior continued mid-session, with XLM peaking at 0.416beforewitnessingresistancenear0.416 before witnessing resistance near 0.416beforewitnessingresistancenear0.400–0.403assomeprofit−takingoccurred.Final−hourtradingbroughtanotherspike:XLMgained3.90.403 as some profit-taking occurred. Final-hour trading brought another spike: XLM gained 3.9%, closing at 0.403assomeprofit−takingoccurred.Final−hourtradingbroughtanotherspike:XLMgained3.90.39, with strong volume establishing further support at 0.385–0.385–0.385–0.387. Market participants are now watching for a breakout above the 0.39–0.39–0.39–0.40 resistance zone.
What’s Next? Broader Implications for Blockchain and Stablecoin Ecosystems
Launching PYUSD on Stellar—once regulatory greenlights arrive—has major implications for both platforms. For Stellar, it could result in higher on-chain activity, wider mainstream adoption, and improved network value, particularly as PayPal’s products integrate deeply with working capital and lending markets. For the entire stablecoin ecosystem, the move marks continued evolution beyond Ethereum, addressing cost, speed, and market accessibility concerns.
iX Deep (Economic Insight):
The PYUSD-Stellar integration could reshape cross-border payments, fuel DeFi applications, and stimulate demand for both PYUSD and XLM. However, traders and businesses should monitor ongoing SEC and NY regulator developments, watch for sustained user adoption, and assess technical resistance around $0.40 for next moves.
