More than half of August has passed, but the crypto market is still stuck in neutral sentiments with minor recoveries here and there. Bitcoin, the biggest cryptocurrency in the market, has surged almost 2% since yesterday, aiming for the $60K mark. However, the star of the day is Paypal USD (PYUSD), a dollar-pegged token that has grown heavily over the last few days, taking the spot of the sixth largest stablecoin.
Paypal is a digital payment service provider that is widely popular for its cross-country transactions and multiple payment options. Moreover, its crypto-friendliness has made crypto investors favor this brand. Especially after the company launched PYUSD, a popular stablecoin whose value is pegged to the dollar.
Paypal Stabelcoin Grew 97% In A Month
PYUSD entered the market in August 2023 and almost immediately bagged everyone’s attention. It has been part of the top 10 stablecoin category, bringing 500,000 transactions to the network, but there is more. Just now, it has created a new milestone, where its supply grew by $140.9M in 10 Days, making it the sixth-largest dollar-pegged token.
With this, PYUSD has officially beaten Tron’s stablecoin USDD and many others like USDB, PAXG, TUSD, etc, getting ahead in the market positions. All of this has happened over a month, during which its market cap has risen more than 97% per Coingecko.
Total circulating supply of PayPal’s PYUSD has increased by 49% since July and now stands at $734M, its highest level ever. This is the largest growth rate for any major stablecoin month-over-month including Tether (2.8%), USDC (1.2%), DAI (-3.2%), and FDUSD (1.5%).
This… pic.twitter.com/4qbWojxuBJ
— Akshay Poshatwar (@0xakki_qiro) August 17, 2024
Looking at the stats on Solscan, on August 6, this token market valuation was around $651 million, but now that has grown to over $791.6 million on August 17.
More importantly, its minting is much higher on Solana than Ethereum, as 56.7% of the minting is happening on Solana. This might grow even more, as Bybit, a cryptocurrency exchange, has announced the integration of this token on Solana.
Solana Stablecoins Dominating The Market
Though PYUSD was launched on the Ethereum network first, Solana is taking the lead despite missing ten months of growth. Paypal USD went live on Solana in May, and at that time, the market capitalization was $398.3 million. However, that has now become twice that over two and half months.
With this, it is now the third biggest Solana stablecoin, following the USDT and USDC, the most popular dollar-pegged tokens. This is bringing Solana’s dominance to the next level as PYUSD has joined the top positions. As a result, Solana’s stablecoin ecosystem is now the fifth largest one after Ethereum, TRON, BNB, and Arbitrum.
Final Thoughts
Paypal stablecoin’s hype has grown continuously over time as it has beaten USDD to become the sixth target dollar-pegged token. However, there is still a long way to go as PYUSD is still required to reach the $1 Billion mark and grow another $1 Billion to compete with the next biggest dollar-pegged crypto, First Digital USD (FDUSD). Another interesting aspect is to see Solana’s rising share in terms of the stablecoin ecosystem.
Pooja Khardia
With years of love for reading and 5 years of content writing experience, I’m here, working on my favorite writings about cryptocurrency. I’m actively looking for trending topics and informational statistics to curate the best content pieces for crypto enthusiasts. Staying updated with trends and learning the basis and advancements of this field is the best part of the day.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/trending/paypal-pyusd-become-sixth-largest-stablecoin/
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