PayPal's Stablecoin Market Cap Surges by 70%
Date: 2024-01-13 Author: Dima Zakharov Categories: IN WORLD
Stablecoin Growth Spurt
PayPal's foray into the world of cryptocurrencies has been nothing short of impressive. The market capitalization of their stablecoin, PYUSD, has experienced a staggering 70% increase over the past month, surging from $170 million to its current value of $290 million, according to data from Coingecko. This significant surge has propelled PayPal into the ranks of the top ten largest stablecoin issuers.
Tether USD still reigns supreme in the stablecoin arena with a market capitalization exceeding $94 billion. However, PYUSD's rapid rise is catching the attention of the crypto community.
Integration into Crypto Ecosystem
PYUSD's acceptance on centralized exchanges such as Crypto.com and Kraken, coupled with its integration into decentralized finance (DeFi) protocols, has played a pivotal role in its growth. Currently, Crypto.com holds the largest share of PYUSD tokens with 112.8 million, representing 38.7% of the total supply. This is followed by DeFiance Capital with 39.1 million (13.4%), Curve with 32.4 million (11%), Kraken with 31.92 million, and Paxos with 30 million, according to on-chain data provided by Nansen.
DeFi Integration
DeFi protocols have started to embrace PYUSD. Curve, a popular DEX protocol, now includes a liquidity pool with PYUSD and the decentralized stablecoin Frax, with a combined locked value of $135 million. This pool enables seamless trading between the two stablecoins. Additionally, members of the decentralized lending protocol Aave have proposed integrating PYUSD.
Edward Wilson from Nansen remarked, "PYUSD has seen significant changes in balance over the last 30 days, with the PYUSD/FRAX Curve liquidity pool noticeably expanding."
Regarding on-chain activity, Nansen is closely monitoring PYUSD swaps with other stablecoins, WETH, and ETH, expecting further integration with DeFi protocols.
Steady Trading Volume
In the past 24 hours, the daily trading volume for PYUSD reached approximately $29 million, accounting for just under 10% of its market capitalization. As PYUSD continues to gain traction and integration within the crypto ecosystem
