On September 10, 2025, Paxos Labs unveiled the USDH Proposal V2, partnering with PayPal to enhance global adoption of its stablecoin.
Key Updates of the USDH Proposal V2
The proposal includes three major upgrades aimed at increasing liquidity and improving market integration. Key players are Paxos, led by CEO Bhau Kotecha, and PayPal. The partnership with PayPal aims to leverage its extensive payment network for USDH's adoption.
Financial and Strategic Aspects of the Proposal
Paxos is offering $20 million in incentives to enhance liquidity and market integration. Fees for USDH will be waived until the total value locked reaches $1 billion.
Market and Regulatory Implications
Target metrics for USDH are tied to total value locked, indicating strategic growth in the DeFi sector. Experts believe these measures will enhance stability and reliability in Paxos's offerings. Historical precedents show positive market responses to similar integrations.
Paxos's new steps in collaboration with PayPal could have significant impacts on the digital payment market and regulatory systems, improving user interaction with financial services.
