
PayPal will deploy PYUSD in USD.AI’s onchain funding for AI infrastructure, featuring a 4.5% yield incentive on up to $1 billion in deposits.
PayPal announced it will extend the use of its USD-pegged stablecoin, PYUSD, into financing artificial intelligence infrastructure through USD.AI’s onchain credit platform. The initiative will fund GPUs, data centers, and related AI assets, with proceeds available directly in PayPal accounts. A one-year incentive program will provide a 4.5% yield on up to $1 billion in customer deposits starting in early January. USD.AI currently secures more than $650 million in compute-backed assets, transforming GPUs into tokenized collateral. The move reflects growing demand for programmable dollar settlement as global AI compute spending is projected to reach $6.7 trillion by 2029.