2024-08-12
The market capitalization of PayPal USD
(PYUSD) has seen a significant increase since its launch on the Solana
blockchain on May 29, 2024.
The stablecoin’s total value is now
$684.43 million as of August 8,2024, according to data from DefiLlama.
PYUSD on Solana is valued at $356.41
million and PYUSD on Ethereum is valued at $349.5 million.
Market cap of PYUSD on Solana has
increased 86.57% over the last one month. Market cap of PYUSD on Solana has
increased 16.40% over the last 7 days.
This expansion to Solana has resulted
in a nearly even split in PYUSD’s participation between the Ethereum and Solana
ecosystems, with 50.49% and 49.51% dominance respectively.
The growth of PYUSD within the Solana
DeFi ecosystem may be attributed to incentive campaigns among its applications,
such as Kamino, where PYUSD offers the highest annual percentage yield (APY)
for being supplied as collateral and the lowest borrow rate on the Solana-based
money market.
Solana has one of the cheap
transactions among blockchains. The base fee, currently set at 0.000005
SOL.
However, despite this growth, PYUSD
still trails behind more established stablecoins like Tether USD (USDT) and USD
Coin (USDC) in terms of overall market dominance.
PayPal released its own stablecoin,
PayPal USD (PYUSD) for many reasons.
PayPal has been a leader in digital
payments, and introducing its own stablecoin allows it to integrate blockchain into
its ecosystem.
PYUSD can be used for various
transactions within PayPal’s platform, such as peer-to-peer payments, online
purchases, and cross-border transactions which are often expensive using
traditional financial systems.
