As per a recent press release dated December 13, the U.S. dollar-backed stablecoin Paxos Standard (PAX) has crossed $5 billion worth of transaction volumes.
As earlier reported, PAX is a stablecoin which is based on Ethereum (ETH) blockchain-and backed 1:1 by the U.S. dollar. Paxos had obtained regulatory approval from the New York State Department of Financial Services (NYDFS) in September.
As per the report as of today, Paxos (which is the blockchain trust company that issues PAX) the coin has been used in $5,245,958,124.65 worth of transaction volumes, with a market cap of over $174 million (at the time of writing this article), of which the trust company has redeemed “over $136 million.”
As part of the press release, Paxos has also included monthly attestation reports for all the months of September, October and November 2018 since the token’s launch. Paxos hold the investors’ dollar deposits in FDIC-insured U.S.-domiciled banks.
As claimed by Paxos, currently PAX is the “second most widely traded stablecoin with three times the 24-hour trading volume of its next closest competitor.” Without any doubt, this stablecoin is certainly competing with many of the other newly issued fiat-backed stablecoins.
On the same day when PAX was launched for the first time, the Winklevoss twins also launched their own ECR-20 compatible stablecoin, the Gemini dollar (GUSD) which was a dollar-backed and New York regulator-approved coin. OKEx which is currently the top crypto exchange by market cap had also announced in October that it would be listing four stablecoins together – PAX, GUSD, TrueUSD (TUSD) and USD Coin (USDC).
As per a Diar report from Dec. 10, the adoption of stablecoins is growing at a very rapid pace. The four significant stablecoins mentioned in the para above have in fact together broken the $5 billion mark in on-chain transactions just within the three months after its launch. In fact, November saw a massive 1,032 percent growth in on-chain transactions when compared to September.
Stalwart stablecoin Tether (USDT), remains the stablecoin with the highest market cap of $1.8 billion (at the time of writing the article) and is currently ranked the fifth largest cryptocurrency on the CoinMarketCap.