The US Securities and Exchange Commission (SEC) has wrapped up its investigation into PayPal’s stablecoin, PYUSD, without any enforcement action.
PayPal revealed on May 1 that the SEC’s enforcement division had issued a subpoena in November 2023 and informed the company in February 2025 of the investigation’s conclusion.
PayPal warned that future legislation might bring new compliance costs for stablecoin issuers.
Additionally, legal issues with partners or illegal transactions involving PYUSD could present reputational risks. The conclusion of this investigation might temporarily alleviate institutional concerns about stablecoin compliance.
