Ah, the tale of PayPal’s PYUSD stablecoin, which, like a phoenix, is soaring towards a $1 billion market cap, having doubled its worth since the dawn of 2025. This remarkable resurgence occurs amidst a veritable circus of stablecoins, each more flamboyant than the last, backed by the titans of finance.
Yet, dear reader, do not be deceived! The adoption of PYUSD remains as elusive as a shadow at dusk, and its supply is tightly gripped by a select few, those mighty whales of the crypto ocean. 🐳
PYUSD Market Cap Doubles Since Early 2025
Launched in the third quarter of 2023, our dear PYUSD initially floundered, much like a fish out of water, struggling to find its footing amidst the early fanfare. Its market cap plummeted, nearly halving in value. But lo! The winds of fortune have shifted in 2025, as demand swells and trust in stablecoins burgeons, allowing PYUSD to regain its footing.
According to the oracle known as BeInCrypto, PYUSD’s market cap has reached a staggering $984 million by June, a leap from a mere $490 million at the year’s outset. At this rate, it may soon eclipse its former glory of $1 billion, last seen in the balmy days of August 2024.
Furthermore, the data from Token Terminal reveals a robust growth in PYUSD’s circulating supply across the Ethereum and Solana blockchains. This marks a pivotal moment in PayPal’s grand design to infiltrate the realm of decentralized finance (DeFi). Token Terminal even dares to suggest a potential for a tenfold increase in market cap. Oh, the audacity! 😏
“PayPal’s PYUSD hits $1 billion in outstanding supply ~2 years from launch. How long will it take to scale from $1 to $10 billion?” – Token Terminal mused.
In a twist of fate, the US Securities and Exchange Commission (SEC) has wrapped up its investigation into PYUSD, much to the relief of its holders, who can now breathe a sigh of relief. 😅
Moreover, PayPal has entered the fray of the stablecoin yield race, offering a tantalizing 3.7% annual return on PYUSD. Meanwhile, BeInCrypto reports that the market cap for yield-bearing stablecoins has surpassed a staggering $10 billion in 2025. What a time to be alive!
PYUSD Supply Is Concentrated in the Hands of Whales
Despite this growth, the concentration of PYUSD among the elite few raises eyebrows regarding liquidity and stability. Data from CoinMarketCap reveals that wallets holding more than 1% of PYUSD control nearly 91% of the total supply. Dune Analytics further uncovers that the top five wallets hoard over $820 million, or more than 80% of the supply. Talk about a monopoly! 😲
A similar conundrum plagues USD1, the newly minted and somewhat controversial stablecoin from World Liberty Financial. According to Kaiko, over half of USD1’s liquidity is held hostage by just three wallets. How quaint!
This raises the ever-pertinent question of genuine market demand. Many new stablecoins seem to rely on wallets tethered to their creators rather than the warm embrace of actual user adoption. How charmingly ironic! 😂
Yet, amidst this chaos, lawmakers remain optimistic about stablecoins. Treasury Secretary Scott Bessent has boldly predicted that USD-backed stablecoins could soar beyond $2 trillion in market cap by 2028. A lofty ambition indeed!
Meanwhile, the US Senate has passed the GENIUS Act, a clear signal of bipartisan support for its new amendments. One can only hope that this act lives up to its name! 🤔
Read More
2025-06-12 14:27