PayPal’s PYUSD Stablecoin Surpasses $500 million in Supply

by

As a seasoned crypto investor with a keen interest in stablecoins, I’ve witnessed the meteoric rise of PayPal’s PYUSD with great intrigue. The recent surge in its supply to over half a billion tokens is an impressive milestone for this U.S. dollar-pegged currency, which was launched less than a year ago through a partnership with Paxos.

The supply of PayPal’s PYUSD stablecoin has reached over half a billion units, representing a noteworthy growth for this US dollar-tied currency. This development signifies an important achievement since its introduction in August 2023 through collaboration with Paxos.

Starting from July 2024, the stablecoin’s growth continues to climb after joining the Solana network in May. This puts it among the leading ten stablecoin issuers worldwide.

Expansion and Market Impact

Beginning in 2023, PYUSD’s supply amounted to 230 million after its introduction. Yet, the overall stablecoin supply has experienced a significant surge, more than doubling since that time. Intriguingly, the past month witnessed an impressive escalation of 97%, raising the total from approximately 270 million on June 26 to over 533 million.

PayPal’s expansion has positioned it as a major player in the stablecoin sector, going head-to-head with industry veterans such as Tether USD.

Network Integrations Boost Growth

The growth of the stablecoin on the Solana network has been noteworthy and has played a major role in its recent increase in usage. Currently, there are approximately 134.5 million PYUSD tokens located on the Solana platform, representing around 25.2% of the total supply. Furthermore, an additional 398.6 million PYUSD stablecoins are being used on Ethereum.

As a researcher studying the cryptocurrency market, I’ve observed that the adoption of PYUSD on prominent centralized exchanges like Crypto.com has significantly contributed to its expansion. Additionally, the seamless integration of PYUSD into popular decentralized finance (DeFi) platforms such as Curve and Frax has further fueled its rapid growth.

Additionally, over half of the PYUSD tokens on Ethereum are controlled by Paxos (with a total of 112 million), while Crypto.com comes in second place with 103 million tokens. Noteworthy holders also include Defiance Capital (with 35 million tokens), BitGo (holding 14.8 million), and Curve (with 14 million).

The growing importance of PYUSD in the digital asset world is underscored by its strategic acquisitions and interconnections within the network.

PayPal’s digital currency, PYUSD, is gaining more ground in the market, fueled by strategic partnerships and strong market acceptance. The surge in supply signifies its increasing significance within the digital economy, representing a crucial stage in PayPal’s exploration of cryptocurrencies.

Also Read: MoonPay Enables PayPal for Crypto Transactions in UK and EU

Read More

2024-07-09 17:40