Paxos and Toku Partnership Enables Yield Generation on Cryptocurrency Payroll
Through a new integration between Paxos Labs and Toku, workers receiving stablecoin paychecks can now generate returns while maintaining full custody of their digital assets amid rising crypto payroll usage worldwide.
Through a partnership with Toku, Paxos Labs has connected its Amplify platform to enable workers to generate returns on their stablecoin compensation immediately upon payment, eliminating the need to transfer assets elsewhere or relinquish control of their holdings.
Workers with balances stored in Toku wallets can access this functionality, with the option to activate yield generation on USDC (USDC), USDt (USDT) and USDG (USDG) without any lock-up periods or delays when making withdrawals. According to the company, this deployment spans Toku's entire payroll infrastructure, which handles over $1 billion in annual transactions for employees located in more than 100 nations and works seamlessly with platforms such as ADP, Workday, Gusto and UKG.
This development solves a key shortcoming of cryptocurrency-based compensation systems, where digital currency balances traditionally remain unproductive during the intervals between payment periods. By incorporating yield generation capabilities directly into wallet balances, workers can generate returns on their earnings without relying on third-party services or moving their holdings to different platforms.
Neither organization revealed specific details regarding the mechanism used to produce the yield or the expected return rates available to users.
Through an API that interfaces with current payroll infrastructure, Toku delivers stablecoin compensation solutions, giving companies the ability to provide cryptocurrency-based salaries while maintaining their established payroll processes.
The yield-generating capability runs on the Amplify platform created by Paxos Labs, which enables businesses to incorporate features like yield generation and lending options via a unified integration point.
While Toku operates as both a stablecoin payroll provider and employer-of-record service, Paxos functions as a blockchain infrastructure firm headquartered in New York that delivers regulated services in the digital asset space, encompassing stablecoins, asset custody and settlement infrastructure.
Stablecoin payroll adoption accelerates globally
The use of stablecoins for employee compensation has been experiencing increased momentum as growing numbers of workers turn to dollar-backed digital tokens for receiving wages and conducting routine transactions.
Research commissioned by BVNK and executed by YouGov in February revealed that 39% of both current crypto holders and potential adopters spanning 15 nations receive at least some compensation in stablecoins, with 27% utilizing them for making payments, pointing to reduced transaction costs and accelerated international money transfers as key benefits.
The research study, which included responses from 4,658 participants, additionally discovered that users maintain approximately $200 worth of stablecoins on average worldwide, with that figure climbing to roughly $1,000 in wealthier markets. Workers receiving stablecoin compensation indicated these digital assets represent about 35% of their total yearly earnings, while also reporting approximately 40% in cost savings on international transfers when compared to conventional remittance services.
During the same month of February, international payroll service provider Deel announced plans to introduce stablecoin wage payments via a collaboration with MoonPay, initially targeting workers based in the UK and European Union before extending availability to the United States. This new capability enables staff members to receive portions or the entirety of their compensation in stablecoins sent directly to self-custody wallets, with MoonPay managing the conversion process and blockchain-based settlement.
With an estimated $22 billion in yearly payroll processing volume, Deel indicated that this integration incorporates cryptocurrency settlement infrastructure into its current systems while preserving its existing payroll and regulatory compliance frameworks.
The aggregate market capitalization of stablecoins has expanded from approximately $259 billion in July 2025, coinciding roughly with the passage of the GENIUS Act, to an estimated $320 billion, based on information from DefiLlama data.
