Transparency Report Reveals Backing for Paypal’s PYUSD Stablecoin

Paypal’s stablecoin, PYUSD, has been operational for 38 days. The token’s issuer, Paxos, has issued a transparency study related to the coin’s reserves. Much similar galore of today’s stablecoin manufacture leaders, PYUSD is supported by currency reserves and U.S. Treasury reverse repurchase agreements.

Paxos Issues Transparency Report connected Paypal’s Stablecoin

Paxos, the issuer of this stablecoin and a spouse of payments elephantine Paypal, has made nationalist a transparency study concerning PYUSD’s reserves. According to the update, PYUSD is afloat collateralized by U.S. Treasury notes and currency reserves.

As of August 31, 2023, $45.36 cardinal supports PYUSD, which has a notional worth of astir $44.50 million. Paxos’ repurchase agreements are characterized by “overnight maturity with reputable fiscal institutions and overcollateralization with U.S. Treasuries,” arsenic highlighted successful the update.

The study states that retired of the total, $43.86 cardinal is collateralized by Treasury notes, and $1.5 cardinal is collateralized with currency reserves. “As each trades are overcollateralized, the hazard of nonaccomplishment is not deemed to beryllium material,” Paxos assures successful the transparency report.

Paxos besides mentions that it collaborates with BMO Harris Bank, Customers Bank, and State Street Bank. “In bid to enactment overnight and play liquidity, Paxos maintains balances successful excess of FDIC security limits,” the institution discloses.

At the clip of penning connected September 14, 2023, astatine 9:00 a.m. (ET), astir 44,376,440.45 PYUSD is successful circulation. Roughly 611 addresses clasp PYUSD, and it has recorded a full of 2,758 transfers since its motorboat successful August. As of September 14, 2023, the apical 100 holders collectively person 99.97% of each the PYUSD successful circulation.

PYUSD is presently ranked 411th retired of much than 10,000 crypto assets successful presumption of marketplace capitalization. The recently launched token has experienced astir $1.27 cardinal successful 24-hour planetary commercialized volume.

What bash you deliberation astir the caller PYUSD transparency study Paxos released? Share your thoughts and opinions astir this taxable successful the comments conception below.