To date, 4.98 billion BUSD stablecoins have been removed from circulation after Paxos announced that it would no longer mint the stablecoin BUSD. the Paxos-managed stablecoins have also out of the top 10 crypto assets by market capitalization, falling below dogecoin’s valuation with a market capitalization of about $11.12 billion, compared to memecoin’s $11.2 billion.
BUSD redemption; approximately $5 billion worth of stablecoins were removed from circulation in 12 days
Since February 13, 2023, when Paxos announced that it would no longer issue the dollar-pegged crypto asset BUSD, approximately $5 billion worth of BUSD stave coins have been redeemed. At the time of the announcement, there were approximately 16.1 billion BUSD coins in circulation; today there are approximately 11,129,348,406 BUSD coins in circulation. Through the past 12 days and 4.98 billion BUSD redemptions, the dollar-pegged crypto asset has remained on par with the US dollar.
On February 25, 2023, Binance’sReserve Portfolioshowed that crypto exchanges hold $9.01 billion in BUSD. coingecko.com statisticsshow that globally, BUSD 24-hour trading volume is around 6.84 billion, Binance was the most active BUSD exchange; the majority of BUSD trades were paired with the stablecoin Tether (USDT), and the Turkish lira still accounted for2.80%of total BUSD trading on Saturday.
Of the $1.1 trillion crypto economy, the BUSD currently represents 1.007% of total value. Its dominance has decreased significantly over the past 12 days, and BUSD was officially removed from the top 10 crypto coins this weekend. At the time of writing, BUSD has the 11th largest market valuation out of the thousands of crypto assets in existence, with a market cap below dogecoin (DOGE) and above lido staked ether (STETH).
What do you think about the redemption of approximately $5 billion worth of BUSD stablecoins in the past 12 days, causing this asset to fall out of the top 10? Share your thoughts on this in the comments section below.
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