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 <p>Paxos has released a transparency <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/report.html">report</a> on PayPal’s recently launched PYUSD stablecoin. The <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/report.html">report</a>, dated Aug. 31, 2023, reveals that the stablecoin is backed by $45.3 million in assets, primarily held in US Treasury Reverse Repurchase Agreements (REPO) and cash deposits at insured depository institutions.</p>
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  <img src="https://cdn.thebittimes.com/images/2023/09/14/2e2e8378b660af6234c3837067b5b119.webp" alt="PYUSD transparency report" style="width: 100%;height:462px" width="1020" height="462">
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   Paxos transparency report
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 <p>The <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/report.html">report</a> also shows that there are $44,376,440 in <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/circulation.html">circulation</a> backed by $45,360,147.</p>
 <p>Even so, this is significantly lower than the total net collateral of the leading stablecoins in the market.</p>
 <p>Latest data shows that Tether’s USDT has a total net asset of&nbsp; $81.8 billion, while Circle’s USDC has over $26.14 billion.&nbsp;</p>
 <div class="cn-block-related-link"><span> You might also like: </span> PayPal introduces web3 payment solutions for businesses
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 <p><br>Assets backing PYUSD primarily consists of $43.86 million in U.S. Treasury REPO and $1.5 million in cash deposits.</p>
 <p>The cash deposits are held in insured depository institutions and exceed Federal Deposit Insurance Corporation (FDIC) insurance limits, offering an additional layer of asset backing.</p>
 <p>The findings in the <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/report.html">report</a> hold importance for both PayPal and the wider stablecoin market. The <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/collateral.html">collateral</a> assets are low-risk, which strengthens the stablecoin’s trustworthiness.</p>
 <p>Additionally, the portfolio has a Weighted Average Maturity (WAM) of just one day, demonstrating high liquidity and minimal sensitivity to interest rate fluctuations.</p>
 <div class="cn-block-related-link"><span> Read more: </span> Former PayPal president explores vision for Bitcoin as global payment network
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/paxos-report-44-3m-pyusd-in-circulation-are-overcollateralized-tbt62663.html">https://thebittimes.com/paxos-report-44-3m-pyusd-in-circulation-are-overcollateralized-tbt62663.html</a></p>

Paxos report: $44.3m PYUSD in circulation are overcollateralized

TheBitTimes

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