Paxos has published a report on the reserves of the stablecoin PayPal
Date: 2023-09-13 Author: Karina Ziganova Categories: BLOCKCHAIN
Paxos has published the first report on the reserves of the stablecoin PYUSD. According to it, the asset is fully secured, mainly by repurchase agreements to repurchase US Treasury bonds.
According to the firm, the total market value of the outstanding stablecoins is $44.37 million, and the collateral is $45.36 million.
Of this, cash accounts for $1.5 million. The rest is repurchase agreements. Let us remind you that this is a transaction for the purchase and sale of a security with reverse redemption at a set price.
In the event of default by the contracted counterparty, Paxos may liquidate the U.S. Treasury collateral and pay off the obligations.
Learn more about the new stablecoin
Payment service provider PayPal launched PYUSD in early August 2023. The project faced criticism from TradFi counterparties who doubted its further scaling.
This is partially confirmed by statistics. According to DeFiLlama, only about 20% ($7.45 million) of the entire PYUSD supply is in circulation.
According to Etherscan, there are 592 stablecoin holders at the time of writing. At the same time, 74.14% of the circulating supply of the asset is concentrated at an unknown address.
