He made his debut at the 2020 Summer Olympics in Tokyo in July 2021 after qualifying through the IOC-BTF standings “by virtue of their highest standings in their respective weight categories (in the Olympic qualifying rankings)”, after the remaining qualifying tournaments at that time were cancelled due to the COVID-19 pandemic. He pulled a victory by a split decision against Irish flyweight boxer Brendan Irvine and advanced to the Round 16 Quarterfinals. He then won by a Unanimous Decision against World Championship Silver and bronze medalist Mohamed Flissi of Algeria. He then pulled an upset victory against reigning Olympic gold medalist Shakhobidin Zoirov of Uzbekistan by a 4–1 split decision as the fight was halted due to both fighters having cuts and injuries while fighting. Paalam advances to the semifinals against Ryomei Tanaka of Japan. Paalam would defeat Tanaka by a unanimous decision (5–0) to advance to the gold medal match against British boxer Galal Yafai. Paalam fought Yafai in the finals of the men's flyweight event but lost to a 4–1 split decision. He became the fourth medalist to bring home an olympic medal for the Philippines at the 2020 Summer Olympics in Tokyo as he brings home a silver medal in the men's flyweight boxing event.
