Binance and Paxos-backed Stablecoin BUSD’s market cap climbs 22% in 2 months – Altcoins Bitcoin News
In mid-August, or 68 days ago, the stablecoin BUSD had a market cap of around $17.7 billion and has since grown by 22.88% to today’s $21.78 billion. The rise of BUSD comes at a time when the market valuation of the top two stablecoins Tether and USD Coin has shed some extra weight.
While Tether and USD Coin Lost Billions, BUSD Climbed 22% More in Just 2 Months
Before the explosion of the terra stablecoin in mid-April 2022, the dollar-pegged economy looked completely different than it does today. For example, on April 11, Bitcoin.com News reported the stablecoin market to close at $200 billion for the first time in history.
That day on Monday, April 11, 2022, the stablecoin economy was worth about $190.1 billion, and is worth about $146.81 billion today. The downward slide began after Terra’s UST dipping event in May, when Bitcoin.com News reported Tether (USDT), the largest stablecoin asset, was losing $12 billion from its market cap.
In September, USDC began noticing a decline in its market valuation, losing $6.7 billion in 83 days. The USDC’s market cap has eroded even further over the past month, as nearly 12.2% has been wiped out in 30 days. In addition, some smaller stablecoin markets have dropped below the $1 parity of $0.99 on a few occasions in 2022.
The market capitalization of Binance USD (BUSD) between August 14, 2022 and October 22, 2022.
Binance’s stablecoin, issued in partnership with Paxos Trust Company, BUSD, has done the opposite, as the stablecoin has managed to increase by 22.88% or $4.05 billion since August 14, 2022. As of January 1, 2022, the stablecoin token has 1:1 support. With US dollar reserves, jumped 50.31 per cent to $21.78 billion from $14.47 billion today.
BUSD is one of three stablecoins that are positioned in the top ten crypto market capitalization positions. At the time of writing, BUSD today holds the seventh highest market valuation out of over 13,000 listed crypto assets.
Binance stablecoin BUSD issued by Paxos has published a monthly issued certification report on the Paxos website. The verifications are authored by independent third-party accounting firm Withamsmith + Brown.
Three years ago, on September 27, 2019, the market cap of BUSD was slightly above the $440K mark. Since that day, the market valuation of BUSD has increased by 4,946,036% in 1,120 days. For comparison, Tether’s market cap jumped 1,1203% in the same day, and the USD coin’s valuation jumped 10,177%.
Tags in this story $21.78 billion, verification report, binance, binance dollar, binance exchange, binance usd, busd, 7th largest busd, stablecoin, market cap, market capitalization, monthly verification, paxos, paxos trust company, stablecoin, Tether, Tether (USDT), USD Coin, USD Coin (USDC), USDC, USDT, Withamsmith+Brown
What do you think about the growth of BUSD while other stablecoins have shed extra weight over the past few months? Let us know what you think about this topic in the comment section below.
Jamie Redmayne
image credit: Shutterstock, Pixabay, WikiCommons
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