Categories: Uncategorized

Paxos follows in Circle’s footsteps and publishes analysis of the stablecoin reserves PAX and BUSD

Paxos released a breakdown of the reserves of stablecoins PAX and BUSD the day after Circle announced the supporting assets for their USDC. According to the breakdown, as of June 30th, approximately 96% of the reserve is held in cash, while 4% is in US Treasury bills.

Confirmation of reserves by issuers comes amid investor demands for transparency, while regulators warn of the risk of destabilizing crypto markets and potentially spilling over to Wall Street if stablecoins lose confidence.

BUSD is currently the third largest stablecoin, while PAX is the seventh largest by market capitalization. USDT still dominates the stablecoin space with a market cap of $ 61.9 billion and the issuer of Tether announced a reserve analysis in May.

Dan Burstein, General Counsel and Chief Legal Officer of Paxos, said on Wednesday:

“All Paxos cash balances are held in US insured custodians, while all cash equivalents are in US Treasury bills of 3 months or more or overnight repos that are over-collateralized by US Treasuries.

The remaining 4% of the reserves are in US Treasury bills but are classified separately and have a maturity of four months, all in October 2021.

Source: Paxos

Paxos communications director Becky McClain shared:

“More and more stablecoins appear with different purposes as the market matures and more players join. Paxos is developing a model product that will serve organizations that need trust and transparency as well as supervision and regulation. “

In April, Paxos became the third cryptocurrency company to receive a federal charter from the US Office of the Comptroller of the Currency (OCC) to establish a national trust bank.

Annie

According to Coindesk

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page

CoinX

Recent Posts

Bitdeer Convertible Notes Worth $360 Million Offered for Expansion Efforts

The Bitdeer convertible notes offer a 42.5% conversion premium, allowing conversion into cash with the…

2 minutes ago

Sui Foundation Enters into Strategic Partnership with Franklin Templeton Digital Assets

Grand Cayman, Cayman Islands, 22nd November 2024, Chainwire

27 minutes ago

Best Cryptos to Invest in December 2024: Qubetics Surges Past $2.6M as Solana Records Big Whale Pump and Polkadot Aims for $6

Best Cryptos to Invest in December 2024: Qubetics surges past $2.6M, Solana’s whale pump ignites…

2 hours ago

Bitcoin Trader Turned $100M in His 20s—Now Reveals 5 Altcoins to Build a $50M Portfolio, With Memecoins Leading the Way!

As Bitcoin reaches unprecedented heights and the market surges, he's highlighting five altcoins poised for…

3 hours ago

Which Crypto Will Explode in the 2024-2025 Bull Run?

With the crypto market reaching new peaks, many are eager to discover digital currencies poised…

3 hours ago

Dogecoin and Shiba Inu Approach $1, but All Eyes Are on XYZVerse’s Push to $10!

XYZVerse, blending sports passion with meme energy, is set to make a significant impact, uniting…

4 hours ago

This website uses cookies.