# What is PYUSD? Issuance, backing and controls

PayPal USD, or PYUSD, is a dollar stablecoin identified in Paxos’s disclosures as issued by Paxos Trust Company N.A. A token balance should be evaluated through its issuer terms, exact network deployment and dated reserve evidence. The PayPal name does not by itself make the token an insured bank deposit or a yield-bearing investment.

Evidence: [PayPal USD Transparency](https://www.paxos.com/pyusd-transparency); [What the Public Needs to Know About FDIC Deposit Insurance and Crypto Companies](https://www.fdic.gov/news/fact-sheets/crypto-fact-sheet-7-28-22.html)

Canonical: https://degreesofsatoshi.com/encyclopedia/what-is-pyusd/
Published: 2026-10-02
Substantively modified: 2026-10-02
Independently verified by an automated reviewer: 2026-10-02T18:15:23.891Z
Data current through: 2026-10-02

AI-assisted research and drafting with a separate automated source-verification pass; no external expert or named human review is implied.

## Key facts

- **Issuer disclosure:** Paxos’s retrieved transparency page names Paxos Trust Company N.A. as issuer. ([PayPal USD Transparency](https://www.paxos.com/pyusd-transparency))
- **Report types:** The page distinguishes Paxos portfolio reports from independent examinations. ([PayPal USD Transparency](https://www.paxos.com/pyusd-transparency))
- **Coverage:** US deposit insurance does not insure crypto assets themselves. ([What the Public Needs to Know About FDIC Deposit Insurance and Crypto Companies](https://www.fdic.gov/news/fact-sheets/crypto-fact-sheet-7-28-22.html))

## Read the dated reserve documents

Paxos publishes reserve-related materials for PYUSD. Its transparency page identifies portfolio composition reports released promptly after month-end as self-reported and not independently reviewed.

Use the specific examination report, period and scope when describing external assurance. A page listing both report types does not make every number on the page independently examined.

Evidence: [PayPal USD Transparency](https://www.paxos.com/pyusd-transparency)

## Check the actual asset before sending

A familiar symbol does not uniquely identify a contract. Verify the issuer-supported deployment and the receiving service’s supported network before transferring.

A token balance on a chain and a balance displayed inside a payment platform can have different custody and access conditions. Establish which product is being discussed.

Evidence: [ERC-20 Token Standard](https://eips.ethereum.org/EIPS/eip-20); [PayPal USD Transparency](https://www.paxos.com/pyusd-transparency)

## Separate issuer evidence from a universal safety claim

Reserve transparency can help a reader inspect backing at a stated date. It does not eliminate operational, custody, contract or liquidity dependencies.

The issuer identity here reflects the page retrieved October 2, 2026. It should not be silently backdated to older reports that may name an earlier legal entity.

Evidence: [PayPal USD Transparency](https://www.paxos.com/pyusd-transparency); [What the Public Needs to Know About FDIC Deposit Insurance and Crypto Companies](https://www.fdic.gov/news/fact-sheets/crypto-fact-sheet-7-28-22.html)

## Questions

### Are all PYUSD reserve documents independent audits?

No. Paxos distinguishes its own portfolio reports from independent examination materials. Read each document’s title, date and assurance scope.

Evidence: [PayPal USD Transparency](https://www.paxos.com/pyusd-transparency)

## Claims and scope

### what-is-pyusd-quick-answer

PayPal USD, or PYUSD, is a dollar stablecoin identified in Paxos’s disclosures as issued by Paxos Trust Company N.A. A token balance should be evaluated through its issuer terms, exact network deployment and dated reserve evidence. The PayPal name does not by itself make the token an insured bank deposit or a yield-bearing investment.

Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null}

### what-is-pyusd-fact-issuer-disclosure

Issuer disclosure: Paxos’s retrieved transparency page names Paxos Trust Company N.A. as issuer.

Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null}

### what-is-pyusd-fact-report-types

Report types: The page distinguishes Paxos portfolio reports from independent examinations.

Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null}

### what-is-pyusd-fact-coverage

Coverage: US deposit insurance does not insure crypto assets themselves.

Scope: {"collection":"stablecoins","dataAsOf":"2026-10-02","blockHeight":null}

## Sources

- [PayPal USD Transparency](https://www.paxos.com/pyusd-transparency) — Paxos. PYUSD issuer disclosures and dated reserve attestations. Locator: Reserve reports; Issuer disclosures. Retrieved: 2026-10-02T17:03:43.402Z.
- [What the Public Needs to Know About FDIC Deposit Insurance and Crypto Companies](https://www.fdic.gov/news/fact-sheets/crypto-fact-sheet-7-28-22.html) — Federal Deposit Insurance Corporation. US FDIC coverage distinguishes insured-bank deposits from crypto products and nonbank failures. Locator: Deposit insurance; Non-deposit products; Crypto companies. Retrieved: 2026-10-02T17:03:44.009Z.
- [ERC-20 Token Standard](https://eips.ethereum.org/EIPS/eip-20) — Ethereum Improvement Proposals. Token supply, displayed units and balance accounting. Locator: totalSupply; balanceOf; transfer; decimals; approve; allowance; transferFrom; Transfer. Retrieved: 2026-10-02T17:03:45.826Z.

## Revision history

- 2026-10-02: First publication after primary-source research and independent automated verification.

## Cite this entry

Degrees of Satoshi editorial project. “What is PYUSD? Issuance, backing and controls.” Published 2026-10-02; updated 2026-10-02. https://degreesofsatoshi.com/encyclopedia/what-is-pyusd/