PayPal's PYUSD Stablecoin Facilitates AI Infrastructure Financing Through USD.AI
PayPal is leveraging its PYUSD stablecoin to fund AI infrastructure via USD.AI's onchain financing platform, supporting the acquisition of GPUs, data centers, and related assets. Loans are denominated in PYUSD, with proceeds disbursed directly to PayPal accounts.
A customer-incentive program launching in early January offers a 4.5% yield on up to $1 billion in PYUSD deposits over one year.
The USD.AI Foundation provides onchain, compute-backed credit to AI firms by tokenizing GPUs as collateral; currently, USD.AI holds over $650 million in onchain assets.
This innovative funding model combines traditional payment workflows with programmable settlement, enabling long-term financing, rentals, and agent-driven transactions. It expands the practical use of stablecoins beyond the crypto sector.
Analysts underscore rising AI infrastructure spending, with Morgan Stanley estimating global AI compute could reach $6.7 trillion by 2029 and UBS forecasting AI capital expenditures of around $360 billion in 2025.
This arrangement highlights growing demand for programmable dollar settlement in capital-intensive industries and positions PYUSD as a key settlement instrument for AI infrastructure financing.
