**[PayPal Launches PYUSD Savings Vault on Spark Platform]** According to The Block, PayPal is launching a PYUSD Savings Vault on the decentralized lending platform Spark, providing its stablecoin users with a new way to generate yield on their holdings, with an annual percentage yield (APY) of 4.25%. The yield of the PYUSD Savings Vault is "anchored" to the Sky Savings Rate, which is funded by the revenue of the Sky Protocol. PYUSD was integrated into SparkLend in September, allowing users to deposit and borrow the stablecoin. At the time, the two companies stated that after seeing deposits on the first day reach about one-fifth of their target amount, they aimed to expand the deposit scale to $1 billion. The new PYUSD Savings Vault could help increase PYUSD deposits on SparkLend. As part of Spark's Savings V2 product line, the vault also leverages the Spark liquidity layer, deploying stablecoin deposits into Spark's balance sheet, including lending strategies on SparkLend. For the PYUSD Savings Vault, 90% of deposits will be allocated to yield-generating strategies through the Spark liquidity layer, while the remaining 10% will be stored in the contract as "instant withdrawal liquidity." Interest will be credited to depositors in the form of "accrued tokens" spPYUSD. Based on the current composition of the vault, over 57% is still held in stablecoins, 15.73% is allocated to on-chain crypto lending, 10.24% to AAA-rated corporate bonds, 10.10% to OTC crypto lending, 5.32% to U.S. Treasury bonds, and the rest to other investment strategies.