- PayPal’s stablecoin, PYUSD, has made significant strides since its launch in August 2023.
- Recent expansion into the Solana network significantly boosted its market capitalization.
- According to DeFiLlama, PYUSD’s market supply has surpassed half a billion dollars.
Discover how PayPal’s stablecoin, PYUSD, skyrocketed to over $500 million market cap, driven by strategic moves and integration into major networks.
PYUSD Surpasses $500 Million Market Cap After Solana Integration
Since its debut in August 2023 via a partnership with custodian firm Paxos, PayPal’s stablecoin, PYUSD, has experienced exponential growth. Initial reports noted a supply of 230 million by the end of 2023. Recent data from DeFiLlama indicates that the total supply has more than doubled, reaching a critical milestone of over 500 million dollars.
Significant Growth in Recent Months
In the past month alone, PYUSD’s supply surged by 97%, jumping from 270 million on June 26 to over 533 million. This impressive growth secures PayPal a position among the top ten stablecoin issuers, with Tether remaining the market leader with an excess supply of 112 billion dollars.
The Role of Solana Integration
The rapid growth of PYUSD can be largely attributed to its integration with the Solana network in May. This strategic move resulted in Solana hosting approximately 134.5 million PYUSD tokens, representing 25.2% of the total supply. Such a development significantly contributed to PYUSD’s rising market cap.
Ethereum’s Share of PYUSD
While Solana has played a critical role, Ethereum still hosts a dominant share of approximately 399 million PYUSD tokens. The distribution across two major blockchain networks has diversified PYUSD’s presence and usability within the crypto ecosystem.
Adoption & Integration in Centralized and Decentralized Platforms
PYUSD has not only seen broader acceptance on centralized exchanges like Crypto.com but also found its way into decentralized finance (DeFi) protocols such as Curve and Frax. This dual presence in both centralized and decentralized arenas has been instrumental in driving PYUSD’s adoption and growth.
Major Holders and Their Influence
Within the Ethereum network, Paxos emerges as the largest holder with over 112 million PYUSD tokens, representing more than 20% of the total supply. Following Paxos, significant holdings are observed with Crypto.com (103 million), Defiance Capital (35 million), and BitGo (14.8 million). Curve also holds a notable amount of 14 million PYUSD, as reported by Nansen.
Conclusion
PayPal’s stablecoin, PYUSD, has achieved remarkable growth fueled by strategic network expansions and diversified integrations. Crossing the $500 million market cap is a testament to its increasing relevance and adoption in the cryptocurrency market. As PYUSD continues to penetrate both centralized and decentralized ecosystems, its future trajectory looks promising, offering robust alternatives to existing digital currencies.
