The US payment giant PayPal announced last night (7) that it launched the US dollar stablecoin PayPal USD (PYUSD), which has attracted a lot of attention. The stablecoin is issued by Paxos Trust, a BUSD operator, and will be backed by more than 100% of U.S. dollar cash, U.S. Treasury bonds, and cash equivalents, becoming another major financial technology company that accepts digital currencies for payment and transfer.
PayPal stated that Paypal USD will be officially launched on Paypal in the next few weeks, and the first stable currency reserve report will also be published on the official website from September 2023 to achieve transparency and regulatory transparency.
Paxos announces PYUSD contract address
It is understood that PYUSD will be an ERC-20 token issued on the Ethereum network. The official believes that it will be available for a large and growing number of external developers, wallets, exchanges and Web3 applications to be seamlessly integrated and deployed at the same time. Enhanced ecological experience within PayPal.
From the contract address of PYUSD announced by Paxos, we found that the current total supply of this stablecoin on Ethereum is 26.9 million.
On-chain transaction records show that Paxos minted 1.1 million PYUSD for the first time in November 2022, and then conducted multiple small transfer tests. Immediately afterwards, another 26.4 million PYUSD were minted on February 1, 2023; 25.5 million PYUSD were destroyed on February 23; and 24.9 million PYUSD were re-minted on August 3.
Breaking news: PYUSD originally planned to issue on Solana
An interesting news is that the earliest plan of PYUSD was not laid out on Ethereum, but on Solana.
According to Wu Blockchain, citing people familiar with the matter , PayPal had cooperated with FTX to issue PYUSD on Solana first in 2022. The two parties had signed a relevant cooperation agreement, but it was subsequently suspended due to FTX's thunderstorm.
Combing history, the implementation of PayPal’s stable currency can be said to be full of twists and turns. It was first discovered in early 2022, but it was later delayed due to regulatory issues, and then encountered FTX thunderstorms, and partner Paxos was investigated and prosecuted in early 2023.
The official said that eligible U.S. PayPal customers who purchase PayPal USD in the future will be able to:
- Transfer PayPal USD between PayPal and compatible external wallets
- Person-to-Person Payments Using PYUSD
- Choose to make purchases with PayPal USD at checkout
- Convert any cryptocurrency supported by PayPal to and from PayPal USD
As for whether PYUSD can be listed on other exchanges, and further adopted by the agreements of all parties? It is worth our continued observation.
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