USDP

coinfeeds-bot

tldr; Paxos, a stablecoin issuer, has received approval from the New York Department of Financial Services to issue its stablecoin on the Solana blockchain, marking its expansion beyond Ethereum. This move, scheduled for January 17, 2024, positions Paxos to make its USD-backed stablecoin, USDP, more accessible due to Solana's high-speed transactions and lower fees. Paxos aims to operate within a regulated framework and plans to extend its stablecoin offerings to more blockchains in the future. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.

mchaud

This is the table described in the article: Dai (DAI) 4 (constrained) First Digital USD (FDUSD) 4 (constrained) Frax (FRAX) 5 (weak) Gemini dollar (GUSD) 2 (strong) Pax Dollar (USDP) 2 (strong) Tether (USDT) 4 (constrained) TrueUSD (TUSD) 5 (weak) USD Coin (USDC) 2 (strong)

SecretUncle69

I mean Paxos is a Financial Institution, so are banks, don’t know how it’s much different when they accomplish the same thing. Paxos is also secure as hell down to the fine text, fully cash backed for $USDP and fully physical gold backed for PAXG.

SecretUncle69

What about Paxos $USDP

DrXaos

What about USDP or Gemini dollar?

Red_n_Rusty

PYUSD seems to be yet another branded stablecoin from Paxos. Their dollar based stablecoins now include PYUSD, USDP and BUSD. Paypal's branding and integration are sure to drum up hype but I doubt this will be anything too revolutionary. Cryptocom's exchange is and has been solid although the withdrawal fees are not always that low. It seems like the exchange has been seeing some healthy trading volumes in recent times.

GabeSter

PYUSD is Issued through Paxos, not Paypal. Paxos is an established stablecoin company behind Pax Dollar (USDP) currently rank 66 by marketcap. Paxos would be the one freezing assets, and have you heard any bad things about Paxos? They are one of the more transparent stablecoin companies regarding backing.

coinfeeds-bot

tldr; The stablecoin market has been experiencing an exodus for the past 18 months, with the market dominance of stablecoins dropping to 11.6%. The decline in market capitalization can be attributed to various factors, including the suspension of fiat currency deposits on Binance.US and MakerDAO dropping USDP from its reserves. Despite the decline in market capitalization, stablecoin trading volumes have remained high. The exodus could be due to investors cashing out stablecoins to buy traditional assets or take advantage of rising yields in fixed-income securities. The decline in stablecoin supply could impact the liquidity and efficiency of the overall crypto market. The move towards fixed-income securities may be a temporary trend or a long-term shift, depending on the incentives offered by stablecoins. The recent launch of PayPal's stablecoin, PYUSD, could potentially boost investor confidence in the sector and attract new users. Overall, the stablecoin exodus is driven by a desire for yield-bearing assets and a consolidation of the cryptocurrency market. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.

thom_orrow

There were 25 tokens; However, after yesterday’s overhaul, the roster has been notably truncated, (with only 8 tokens). Bitcoin (BTC) and Ethereum (ETH) are the only non-pegged coins, featured in the 8 tokens, alongside Gemini Dollar (GUSD), GMO JPY (GYEN), GMO USD (ZUSD), Pax Gold (PAXG), Pax Dollar (USDP), and PayPal Dollar (PYUSD). Source: https://bitcoinist.com/xrp-dogecoin-ltc-removed-new-york-crypto-greenlist/

coinfeeds-bot

tldr; Stablecoins have the potential to transform small and medium-sized enterprises (SMEs) in developing economies by addressing their financial challenges. SMEs play a crucial role in global economic development, but many struggle to access the global financial system. Opening a USD or euro account is difficult due to strict forex controls in many developing countries. Additionally, the banking infrastructure in these economies is not favorable for SMEs, resulting in higher fees and unfavorable exchange rates. However, stablecoins, which are digital tokens pegged to fiat currencies, offer a solution. They allow SMEs to easily access the financial system and explore opportunities in decentralized finance (DeFi). DLTPAY, a Web3 payment and DeFi platform, provides a unified solution for SMEs to access stablecoin operations and other blockchain-based services. The platform offers stablecoin payments, payroll, invoicing, cross-chain swaps, staking, and analytics, and supports major stablecoins like USDT, USDC, BUSD, and USDP. DLTPAY aims to simplify onboarding and speed up the adoption of blockchain-based services for SMEs in developing economies, helping them scale and thrive. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.

WineMakerBg

The account that overpaid $500,000 in fees on Sept. 10 for a Bitcoin  BTC  $26,123  transfer belonged to Paxos, according to a Sept. 13 statement from the company. Paxos claimed that end users have not been affected and all user funds are safe. Paxos is most well-known as the issuer of stablecoins, including PayPal USD (PYUSD) and Pax Dollar (USDP), but also runs a crypto brokerage firm that carries Bitcoin.

trimalcus

Interesting to hear about USDP

pb__

Because it was minted exclusively for Binance. Australian bankote printing facility (NPA) has printed banknotes for 19 other countries. Why aren't they called Australian? /s BTW Paxos has their own stablecoin named USDP

Slippytoe

USDP? Sounds like an innuendo.

sickvisionz

All dollar back stablecoins are ran by companies that have two processes: give them dollars and they mint the token. Given them the token and they give you back dollars. USDT, USDC, BUSD, TUSD, USDP... all of them work like this. Has anyone done any type of investigating into whether or not Justin Sun actually got these tokens minted "for nothing". He doesn't own TUSD. They'd have to agree to just give him a loan not backed by anything. If you looked at the contract for any of these stablecoins you'd see a lot of "minting for nothing" because dollars aren't native to blockchains so real world dollar transactions won't just magically appear on a chain's ledger. Just like how if you buy something from Wal-Mart, it's not just naturally going to show up on Ethereum's Ledger but that doesn't mean Wal-Mart gave it to you for nothing. Justin Sun is around still because this is the reality of it. The claims against him are backed by a picture of an unknown website. No URL. No links. Address and hashes all chopped up so there's no way to verify any of it. And an OP that doesn't seem to understand how over collateralized lending works, how dollar backed stablecoins work, and how right-click "Copy link" works. There's a reason why real journalist that have to use facts and evidence don't run these stories. There's a reason Coffeezilla isn't reporting on this stuff. There's a reason why OP refused to link to actual transaction, addresses, and literally anything that could be verified. There's a reason why this stuff only pops up on a website where you literally get paid to post anything that gets engagement, whether it's factual or not.

coinfeeds-bot

tldr; The market capitalization of stablecoins has reached its lowest level since August 2021, following 16 consecutive months of decline, according to a report by CCData. The stablecoin market cap fell 0.82% from the start of the month until July 17, bringing it to $127 billion. Stablecoin market dominance also dropped slightly to 10.3% from 10.5% in June. Pax Dollar (USDP) experienced the largest drop, falling 43.1% to $563 million in July. Tether (USDT) recorded its all-time high market cap of $83.8 billion, increasing its dominance to 65.9%. Despite the decline in market cap, stablecoin trading volumes increased by 16.6% to about $483 billion in June. The suspension of fiat deposits on Binance.US and lawsuits against Binance and Coinbase contributed to the increase in trading volumes. The decentralized stablecoin market saw a 0.43% increase in market cap to $7.52 billion in July, the first positive month since February. However, the market cap is still significantly lower than its all-time high of $34.3 billion in April. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.*

coinfeeds-bot

tldr; Sharks and whales in the cryptocurrency market are accumulating stablecoins like DAI and USDP, indicating a potential bull run in the future. Santiment reports a significant increase in addresses holding between $100,000 and $10 million worth of stablecoins since June 27. Investors have already added 2% of DAI's total supply and around 11% of the USDP supply. However, the market capitalizations of top stablecoins like USDT and USDC have decreased slightly, while their trading volumes have seen notable surges. DAI and USDP have also experienced a decline in market capitalizations and trading volumes. Tether Treasury recently minted 1 billion USDT tokens on the Tron network, increasing its market dominance to 65%. Circle, the second-largest stablecoin issuer, plans to launch a stablecoin in Japan. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.*

SilasX

Can someone explain what is going on with Pax dollars (USDP?) now? It's getting heavily borrowed on compound but I don't see any depegging or news about risk to it?

coinfeeds-bot

tldr; Blockchain fintech company Paxos has partnered with online marketplace MercadoLibre to bring the Pax Dollar (USDP) stablecoin to Mexico through the MercadoPago payment service. USDP will be available to all MercadoPago customers in Mexico, providing stablecoin access and potentially reducing fees related to remittances. Mexico currently has a 9.3% cryptocurrency penetration rate, with over 12 million users, and analysts estimate that by 2027, over 20 million people in Mexico will hold crypto. Paxos is well-known in fintech and has previously partnered with PayPal. In other news, cryptocurrency exchange EDX has switched custody providers from Paxos to Anchorage Digital. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.*

Chemical_Main

Same applies for many other stablecoins including USDC, USDP, BUSD, TUSD, etc. Very few stablecoins exist (namely DAI comes to mind) that don’t have a blacklist/freeze function in their main contract.

Consistent_Many_1858

Tldr Blockchain security firm PeckShield recently detected a hack that allowed the attacker to mint over 1 quadrillion Yearn Tether (yUSDT) from $10,000 in the latest decentralized finance (DeFi) exploit.  According to the security firm, the hacker then swapped the yUSDT to other stablecoins, allowing them to take hold of $11.6 million worth of stablecoins. This includes 61,000 Pax Dollar (USDP), 1.5 million TrueUSD (TUSD), 1.79 million Binance USD (BUSD), 1.2 million Tether USDTUSD, 2.58 million USD Coin USDCUSD and 3 million Dai DAIUSD

aasyed

My first ever hot wallet was Metamask and I use it to this day. It has come a long way in terms of functionality and design, and I dare say it get the balance between being feature-rich and user-friendly just right. Another wallet you may check out is Trust wallet. It's also really easy to use and in some ways, has a smoother learning curve than Metamask. About your second question, virtually ALL stablecoins have one thing or another about them that makes them risky. For USDT, it comes down to lack of transparency by Tether. Other stablecoins like BUSD, USDC, DAI, USDD, USDP, they all have their own set of evils. So yes, you're much better off keeping your hard earned money in fiat. You really have nothing to lose by selling USDT for USD or another fiat currency of your choice. As a beginner, you need to 100% prioritise the stability, safety, and preservation of your financial grounds. Once you have achieved a certain level of buffer, that's when risk-taking starts to make sense. Hope this helps.

wizard_level_80

In your example, you picked the most expensive stablecoin possible (except niche USDP). If you borrowed USDT instead, which is the most popular stablecoin, it would have been 4x cheaper, so below 5% a year.

DMCarter_

I'd probably throw in an insignificant amount of money for fun (at least for BTC, ETH, and maybe a stablecoin like USDC or USDP; probably wouldn't touch other coins). I'll be honest though, if something so catastrophic caused BTC to plummet that hard, it would lowkey have to be an exploit, in which case I'd think Bitcoin is done for good.

DMCarter_

>I believe stablecoins should be censorship-resistant as Tether's power opens up the path for more totalitarian measures. I completely agree. Decentralized blockchains should use decentralized tokens...with that being said though, considering how much traction censorable stablecoins get, I doubt people actually care about decentralization. For example, a *good* chunk of DeFi uses censorable stablecoins, mainly USDC and USDT. The biggest "decentralized" stablecoin DAI [has over 60% of it collateral as censorable tokens](https://daistats.com/#/) (USDC, USDP, GUSD). If Tether Ltd, Circle, or any of the stablecoin issuers decide to blacklist the smart contract addresses of dApps...it would not be pretty for DeFi. P.S. - if you want to see a list of the censored addresses of USDT and USDC, you can look at the data Dune provides: https://dune.com/alfredchan/usdt-banned-addresses https://dune.com/phabc/usdc-banned-addresses

witcherycro

MakerDAO Rejects Plan To Diversify From USDC In response to the depegging event, the MakerDAO was forced to review its DAI reserves which were all stored in USDC. This is because the  DAI token is considered vital to the multi-collateral lending operation of the Maker. In addition, DAI also serves as the native stablecoin of the protocol.  To protect investors’ assets from similar depegging debacles in the future, the Risk Core Unit of the Maker protocol proposed on March 17 that the DAI reserves be diversified into other stablecoins, nominating the Gemini Dollar (GUSD) and Paxos Dollar (USDP) as viable alternatives with lower market risks. 

coinfeeds-bot

tldr; MakerDAO has voted overwhelmingly to keep USD Coin (USDC) as the primary collateral for DAI. An alternative proposal to “diversify” collateral into Gemini U.S. Dollar (GUSD) and USDP has been rejected in a 20% to 79% vote. USDC has “potentially more risky exposure to uninsured bank deposits” and “a weaker legal structure” than its competitors. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.*

BusinessBreakfast3

I left another comment stating that when a greedy FIAT simp enters crypto, it's a recipe for disaster. Then, I opened the attached link and what do I see! His FTX holdings ($122m), broken down: * ETH: $1.55 * TUSD: $988k * USD: $120m * USDC: $498k * USDP: $58k * USDT: $863k Case closed.

hse999

I would enter only when fully backed stablecoins USDC, USDP, BUSD are increasing (marketcap) again. ​ Right now it looks like USDt is printing. which is just manipulation in my opinion.

coinfeeds-bot

tldr; The total amount of coins held on exchange addresses. STBL is a virtual asset that aggregates the data of all ERC20 stablecoins supported on Glassnode. Stablecoins included are: BUSD, GUSD, HSUD, DAI, USDP, EURS, SAI, sUSD, USDT, USDC. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR. Get more of today's trending news [here](https://coinfeeds.substack.com).*

coinfeeds-bot

tldr; Paxos halted the issuance of new BUSD tokens after it was given a Wells Notice by the Securities and Exchange Commission. The notice alleged that BUSD, Paxos’ stablecoin, was an unregistered security. Paxos clarified that the Wells Notice has no impact on Pax Dollar (USDP). *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR. Get more of today's trending news [here](https://coinfeeds.substack.com).*

jhung713

Meanwhile Binance is taking advantage of the situation by adding USDC/USDT and USDP/USDT spot trading pairs to make try to make more money from trading fees due to the USDC de-peg

ussichan

LATEST ONCHAIN FLOWS REGARDING USDC : LD Capital exchanged 1M $USDC for 229,956 $USDT and 488 $ETH($703,162). LedgerPrime exchanged 616,304 $USDC for 591,033 $USDP. Dokia capital exchanged 224,821 $USDC for 137.8 $ETH($198,432). Alpha Citadel Ventures exchanged 236,903 $USDC for 231,038 $USDT. Spartan Group exchanged 2.5M $USDC for 2,243,537 $USDT. Signum Capital exchanged 2,729,260 $USDC for 2,531,743 $USDT. Infinity Ventures Crypto exchanged 2.18M $USDC for 1,277 $ETH($1.84M).

clock_age

Why is USDP depegged? Isn't it also issued by Paxos who also issued BUSD?

Yieldseeker88

No reason aside from panic. Only USDT is holding to $1. All the other stables are currently off their pegs. BUSD is only mildly impacted - about 0.5% right now. DAI, GUSD, USDP, FRAX and TUSD are all worse. Some of this is due to being partially backed by USDC (DAI) and the rest due to general fear of the stability of banking partners for stablecoin reserves.

Playful_Aide8142

Contagion: >USDC: 0.91 >DAI: 0.93 >BUSD: 0.995 >FRAX: 0.92 >USDP: 0.96 >USDD: 0.94 >TUSD: 0.992 >GUSD: 0.96 Only TETHER left standing....

Crypto_in_uranus

I mean, If you really want to buy here, I would rather buy GUSD or USDP here. They are much safer than USDC. Also, why is FRAX down?

Simple_Swordfish

Ticker mistype in OPs post - PAXG is their gold-backed stablecoin, 1:1 fine troy ounce of gold (400 PAXG equals a full bar of gold), and it's held in London vaults per their website: https://paxos.com/paxgold/ USDP (previously know as PAX in the early days) is 1:1 USD backed. What a lot of people never understood until a month ago with BUSD news is that Paxos is also the issuer/redeemer and custodian of BUSD (- the classic erc20 version only, the BSC-version pegged BUSD is the non regulated one 100% created by Binance). Cuz they're basically doing infrastructure for PayPal, Binance, and others. If you're the company behind #3 stablecoin BUSD (although branded by Binance), it matters very little to Paxos if their USDP coin is lower volume. Their total reserves are dollars behind BUSD or USDP and they're just sitting on them earning fat yield on short term US treasuries (a portion at least) and cash interest, that's how all the stables make money. Interesting enough with all the old BUSD fud, BUSD never depegged and Paxos handled billions of redemptions just fine even with the SEC lawsuit threat. Now look at USDC.

lnxslck

Thats why I always told people to get USDP, at leas its not as bad as the others

alfonsegangitano

Hey there, it’s me from the future! USDC is currently trading at .88, Dai at .90, FRAX .89, LUSD .94, USDP .97, USDD .93, MIM .88, sUSD .96 & MAI .91 It’s not fine. The largest stables have all depegged except Tether.

MichaelAischmann

This stable coin depeg is spreading like wildfire. (USDD, USDP, FRAX, DAI, USDC) Did I forget any?

SoNotYou

Sale! Rounded upwards USDC $0.89 DAI $0.91 FRAX $0.90 USDP $0.94 GUSD $0.97 LUSD $0.95 USDX $0.84 MIM $0.89

holduntil2020

DAI is unique in that it is collateralized by multiple stablecoins and cryptocurrencies. By far, the biggest share of DAI's backing consists of centralized stablecoins USD Coin (USDC) and Pax Dollar (USDP), followed by Ethereum (ETH), Wrapped Bitcoin (WBTC), and dozens of other cryptocurrencies.

DMCarter_

DAI, the biggest "decentralized" stablecoin, has almost 70% of its reserves as USDC, USDP, and GUSD. Sounds like DAI is very safe and reliable to me! /s

Cadellaoc

Yeah this was my confusion, USDP is for people that want it to be backed by USD. PAXG is for people that want it to be backed by gold. There is an option for either. I don't see any point in backing USDP with gold if it only ever needs to be redeemed for USD in mass sell events.

RTOmorelikeRTNo

AFAIK, SEC's action is more about attacking binance than Paxos, since USDP which is Paxos's actual stable coin is not affected. Paxos mints BUSD yes, but it's via some partnership with Binance. So USDC isn't really in the same boat as BUSD. USDT is Hong Kong based so the SEC doesn't have jurisdiction there, despite what Gender may believe. So while SEC can't really go after the USDT token itself, it may try to attack whatever US based links USDT may have.

BusinessBreakfast3

Whenever I made a stablecoin strategy, I didn't sleep well. Still, I made a lot if money with both centralized and DeFi lending, but I was always on the edge. In a bear market, I'm as careful with stablecoins as I am with all crypto. Anyway, a split between USDC, USDP, and TUSD should do the trick.

BusinessBreakfast3

Whenever I made a stablecoin strategy, I didn't sleep well. Still, I made a lot if money with both centralized and DeFi lending, but I was always on the edge. In a bear market, I'm as careful with stablecoins as I am with all crypto. Anyway, a split between USDC, USDP, and TUSD should do the trick. Proceed with caution.

yanwoo

Maybe. But imo this is more about Binance than it is about stablecoins. That they didn’t target is USDP is noteworthy.

RattlesnakeGR

So the SEC attacks Paxos for the BUSD but not for USDP?

AcostaJA

> 1. Illegally moving $400 mn from Binance US to a friendly bank that has direct linkage with Binance Holding Not illegal > 2. BUSD has been declared unregistered Security and it will be under scrutiny so most likely not to be created out of thin air. BUSD it's an Paxos business, not Binance, Paxos paid binance to put it's name at their product (BUSD = USDP). > 3. Binance has halted deposit and withdrawal of USD. It affect mostly small non US customers to withdraw or deposit in USD thru SWIFT, attacks from Bank system swift mostly, as stablecoin diluted their markets, there are more ways to operate USD transfers without swift but requires a bunch of organization to ready. Personally I'd like Binance to get rid from us-politics-infused assets and create stablecoin in CHF or AED, also HK$. US domestic politic rant is an toxic ingredients for any growing economy, on one side there are the corrupt crypto side of ppl as SBF , and the other side ideologic toxic dinosaurs as Yellen, an their worst allied the FED and it's weaponized subsidiary: the OFAC. Earlier 2000s these people had the power to authorize or deny who's Rich or poor, crypto is fixing that. I don't endorse CZ, actually I don't keep funds at binance unless I need to cash out, but what we see is part of the route all we know is required to modernize the money, bringing transparency and access to all the humanity to the wealth, not just the politically enabled by elites.

SpaceTabs

"SEC believes Binance USD (BUSD) to be an unregistered security" https://cryptobriefing.com/binance-usd-given-fatal-blow-by-u-s-regulator/ Paxos has been ordered to discontinue Binance USD, the third largest stablecoin in the crypto market. The End of BUSD Stablecoin issuer Paxos has landed in regulator crosshairs. The crypto company announced today that it would stop minting new Binance USD (BUSD) tokens starting February 21, 2022, in accordance with recent instructions by the New York State Department of Financial Services. Stablecoins are cryptocurrencies that are designed to stay at parity with chosen government-issued currencies, like the U.S. dollar. With a market capitalization of $15.9 billion, BUSD is currently the third biggest stablecoin in the crypto market, after Tether’s USDT and Circle’s USDC. Paxos indicated that BUSD remained fully collateralized with US dollar-denominated reserves, and that onboarded holders would be able to redeem the coin until at least February 2024. Other Paxos crypto products, such as Pax Dollar (USDP) and Pax Gold (PAXG), remain unaffected by the NYDFS order. The firm has yet to disclose why the regulatory agency ordered for BUSD to be shut down. However, the Wall Street Journal reported yesterday that the Securities and Exchange Commission was planning on suing Paxos for allegedly violating investor protection laws. According to the report, the SEC believes BUSD to be an unregistered security. Bitcoin advocate Nic Carter claimed in a blog post last week that the U.S. government was attempting to stealthily cut off the crypto industry from the banking sector and deprive it of significant off-ramps. The Obama administration employed a similar scheme to cripple the online poker industry in the early 2010s. The move against Paxos by both the NYDFS and the SEC could be seen in this context. Binance CEO Changpeng “CZ” Zhao took to Twitter to indicate that Binance would continue to support BUSD, but that it would move away from using it as its main stablecoin for trading.

awhatname

The same company that is being sued for BUSD offers PAXG and USDP which are gold and dollar backed respectively. Somehow only BUSD is a security though.

Red_n_Rusty

They have several stablecoins: BUSD, USDP (former PAX) and PAXG.

ec265

Clueless 1. It’s not the SEC, it’s New York State Department of Financial Services (“DFS”) 2. They specifically state in their release that: > It is important to note that the Department authorized Paxos to issue BUSD on the Ethereum blockchain. https://www.dfs.ny.gov/consumers/alerts/Paxos_and_Binance I.e. is the Binance pegged BUSD 3. This is specifically about Binance > Bloomberg reported on Monday that Circle tipped off the New York Department of Financial Services (NYDFS) in the fall of 2022, complaining that blockchain data revealed Binance did not have enough reserves to back up the BUSD tokens it had issued through Paxos. 4. They are not doing anything against USDP Next time, please focus on the facts

Aerocryptic

Probably cause there was some fuckery going on with the BUSD bridged to bsc. 30% of the supply was bridged there and there were apparently more coins issued on bsc than coins bridged. 99% of the USDP supply is still on eth L1

TheGarbageStore

I don't really get why they would go after BUSD but not Paxos's USDP

coinfeeds-bot

tldr; STBL is a virtual asset that aggregates the data of all ERC20 stablecoins supported on Glassnode, thereby creating a metric that sums up all exchange balances across stablecoins. Stablecoins included are BUSD, GUSD, HSUD, DAI, USDP, EURS, SAI, sUSD, USDT and USDC. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR. Get more of today's trending news [here](https://coinfeeds.substack.com).*

Trigestis

Gensler didn't do anything about FTX but goes after staking and busd, says alot. How come BUSD is security when USDC and USDP are not? This appears to be a maneuver to limit Binance's presence in the US market.

Red_n_Rusty

Good points. As far as I've understood it, USDP (former PAX) and BUSD are exactly the same product except for Binance's branding/licensing with the latter. The interface with Binance and how Binance handles the asset is of course an other matter. If backing would be the issue, why would the SEC bring up the unregistered security narrative regarding the stablecoin?

pb__

BUSD market cap is 16B USDP is a mere 0.9B and PAXG 0.5B So they are basically giving up 92% of their business without a fight. I have no idea how they plan to function going forwards.

Red_n_Rusty

Paxo's stablecoin is fully backed and they are one of the most strictly regulated crypto companies. They even have a BitLicense which is really difficult to acquire. They should be able to get out of their bond investments somewhat easily. The main reason why this seems to have happened is the SEC and their claim that stablecoins could be unregistered securities. As the SEC seems to be targeting BUSD and not USDP (pretty much identical products from the same company) there are some concerns that this may also be an attack against Binance.

coinfeeds-bot

tldr; The New York Department of Financial Services (NYDFS) has launched an investigation into Paxos, the issuer of BUSD and USDP. The NYDFS said the probe is part of its initiative to protect consumers from the risks in cryptocurrency investments. Paxos has been in the cryptocurrency business since 2012 and obtained a BitLicense in 2015. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR. Get more of today's trending news [here](https://coinfeeds.substack.com).*

coinfeeds-bot

tldr; Paxos, the entity that issues BUSD and its own lesser-known stablecoin, the Pax Dollar (USDP), is reportedly being investigated by the New York State Department of Financial Services (NYSDFS). Paxos has been trying to secure a national trust bank charter for a while now. However, it has not been denied the charter. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR. Get more of today's trending news [here](https://coinfeeds.substack.com).*

coinfeeds-bot

tldr; Paxos Trust Company, the New York-based stablecoin issuer behind Binance USD (BUSD) and Paxos Dollar (USDP), is reportedly being investigated by New York’s Department of Financial Services (NYDFS). The exact motive behind the probe is currently unclear. Paxos has not been asked to withdraw its application for a national trust bank charter from the OCC. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR. Get more of today's trending news [here](https://coinfeeds.substack.com).*

StarkillerZ69

> The full scope of the investigation is unclear. Paxos’ stablecoins include the Pax Dollar (USDP) and Binance USD (BUSD), a Binance-branded stablecoin offered through a white-label service. A NYDFS spokesperson said the agency could not comment on ongoing investigations. This goes back to the LUNA / UST problem in 2022. They have been on a watchlist for a long time and now are investigated.

CointestMod

#Dai Pro-Arguments Below is an argument written by mic_droo which won 1st place in the Dai Pro-Arguments topic for a prior [Cointest](/r/CointestOfficial/wiki/cointest_policy) round. > Disclaimer: I am reusing (and adapting) my arguments from the last round, the arguments can be found [here](https://np.reddit.com/r/CointestOfficial/comments/qk4yn1/coin_inquiries_round_dai_proarguments_november/huca2kg/). > > DAI is a stablecoin. But it's not just any stablecoin. Other than most stablecoins it's decentralized, meaning it's ["not created or redeemed by any central, third-party gatekeeper or group of gatekeepers"](https://blog.makerdao.com/why-dai-is-the-most-used-cryptocurrency-in-the-defi-space/). > > It is currently the [fifth biggest stablecoin](https://www.coingecko.com/en/categories/stablecoins) - and even though it is, of course, pegged to fiat - 1 DAI is 1 USD - it is backed [with crypto and not fiat as collateral](https://ethereum.org/en/stablecoins/) - the biggest stablecoin that's not backed by fiat. At the time I'm writing this, it is mostly backed by [USDC, ETH, WBTC and USDP](https://daistats.com/#/overview). That kinda sounds risky, right? I mean we all love crypto, but how can a stablecoin backed by crypto be, well... stable? > > MakerDAO found a way. DAI was started at a really bad time - December 2017, right before the end of the bull run. DAI was only backed by ETH back then, and while ETH lost 80% of its value in the following months, [DAI remained extremely stable](https://fortune.com/2018/10/01/crypto-ethereum-stablecoin-vc-andreessen-horowitz/). And it has remained stable until today, it usually hovers around $1, its ATH and ATL are similar to other big, centralized stablecoins. > > How does it manage to do that? Well, it is regulated by a system of smart contracts. [If DAI goes too far above or below 1 USD, MKR is created or burned](https://decrypt.co/resources/dai-explained-guide-ethereum-stablecoin). So you don't have to trust any person or group to keep the price stable - an algorithm ensures it. > > DAI is [one of the biggest projects in the DeFi-space.](https://www.coingecko.com/en/categories/decentralized-finance-defi) and has "decentralized" written all over it, but it's also available on [most big centralized exchanges](https://www.coingecko.com/en/coins/dai#markets). > > DAI is said to be very secure, [MakerDAO conducts extensive audits and ensures DAI's security](https://www.gemini.com/cryptopedia/dai-stablecoin-what-is-dai-token). As far as stablecoins are concerned, I think DAI is a pretty good deal! ***** Would you like to learn more? [Click here](/r/CointestOfficial/comments/sifdna/coin_inquiries_dai_proarguments_february_2022/) to be taken to the original topic-thread or you can scan through the [Cointest Archive](/r/CointestOfficial/wiki/cointest_archive#wiki_DAI) to find arguments on this topic in other rounds.

experiencenonsense

From what I remember USDP aka Pax Dollar is pretty legit too

barefoot_au

I would really like a reply correcting what I've previously questioned, rather than just downvoting like arrogant plebs. Cc is turning into a sh$t show of influencers, barely any debate or education. "Binance ditched three stablecoins in September 2022. This included the world's biggest stablecoin by market cap, USDC. So, let's find out why this happened. #Binance is removing $USDC, USDP and TUSD denominated pairs from the platform, with deposits/withdrawals to be auto-converted to #BUSD." Shed some light about this move?

superberde

13 spot pairs... AUD, BIDR, BRL, BUSD, EUR, GBP, RUB, TRY, TUSD, UAH, USDC, BTC/USDP and USDT

techexpert2

USDP

Elean0rZ

USDC is likely the safest bet, though I wouldn't be overly concerned to hold BUSD or USDT either. For smaller names, TUSD and USDP are also reputable. If you're into diversifying you could look into some alternatively-pegged stables like DAI as well. But basically I think if you want to be totally conservative then USDC on Ethereum is probably the most foolproof and regulatorily safe.

ChudTheRuler666

It’s a free mining app you can get on your phone, log in once daily and it’ll mine PlayFi and there’s also USDP up for grabs on the offerwall, as well as a daily lottery draw for USDP. Also has staking which is apparently not working for me

ChudTheRuler666

About PlayFi, or that PlayFi hadn’t paid out a stake? So far, my experience with them has been: it mines daily, but still waiting on KYC and for it to be traded on an exchange. I’ve been paid out to my Coinbase without any issue using PlayFi on their offer wall and occasional airdrops of USDP. Staking is the first thing to cause me to raise an eyebrow, but since it’s the first thing I could have actually lost money on, it’s a big eyebrow raise

sickvisionz

*I'm always right if you ignore the times I'm wrong!* Stablecoins should always count. Cowen talks about BTC as a flight to safety. As something to move into to avoid losses. Stablecoins have emerged as a competitor to that. USDC, USDT, BUSD, USDP etc are down roughly 0% from the 2021 peak. They should definitely count. If they were to be discredited, it definitely shouldn't be because they're *better* at accomplishing the goal than the asset you're trying to prop up as the ideal one for accomplishing said goal.

CointestMod

#Dai Pro-Arguments Below is an argument written by mic_droo which won 1st place in the Dai Pro-Arguments topic for a prior [Cointest](/r/CointestOfficial/wiki/cointest_policy) round. > Disclaimer: I am reusing (and adapting) my arguments from the last round, the arguments can be found [here](https://np.reddit.com/r/CointestOfficial/comments/qk4yn1/coin_inquiries_round_dai_proarguments_november/huca2kg/). > > DAI is a stablecoin. But it's not just any stablecoin. Other than most stablecoins it's decentralized, meaning it's ["not created or redeemed by any central, third-party gatekeeper or group of gatekeepers"](https://blog.makerdao.com/why-dai-is-the-most-used-cryptocurrency-in-the-defi-space/). > > It is currently the [fifth biggest stablecoin](https://www.coingecko.com/en/categories/stablecoins) - and even though it is, of course, pegged to fiat - 1 DAI is 1 USD - it is backed [with crypto and not fiat as collateral](https://ethereum.org/en/stablecoins/) - the biggest stablecoin that's not backed by fiat. At the time I'm writing this, it is mostly backed by [USDC, ETH, WBTC and USDP](https://daistats.com/#/overview). That kinda sounds risky, right? I mean we all love crypto, but how can a stablecoin backed by crypto be, well... stable? > > MakerDAO found a way. DAI was started at a really bad time - December 2017, right before the end of the bull run. DAI was only backed by ETH back then, and while ETH lost 80% of its value in the following months, [DAI remained extremely stable](https://fortune.com/2018/10/01/crypto-ethereum-stablecoin-vc-andreessen-horowitz/). And it has remained stable until today, it usually hovers around $1, its ATH and ATL are similar to other big, centralized stablecoins. > > How does it manage to do that? Well, it is regulated by a system of smart contracts. [If DAI goes too far above or below 1 USD, MKR is created or burned](https://decrypt.co/resources/dai-explained-guide-ethereum-stablecoin). So you don't have to trust any person or group to keep the price stable - an algorithm ensures it. > > DAI is [one of the biggest projects in the DeFi-space.](https://www.coingecko.com/en/categories/decentralized-finance-defi) and has "decentralized" written all over it, but it's also available on [most big centralized exchanges](https://www.coingecko.com/en/coins/dai#markets). > > DAI is said to be very secure, [MakerDAO conducts extensive audits and ensures DAI's security](https://www.gemini.com/cryptopedia/dai-stablecoin-what-is-dai-token). As far as stablecoins are concerned, I think DAI is a pretty good deal! ***** Would you like to learn more? [Click here](/r/CointestOfficial/comments/sifdna/coin_inquiries_dai_proarguments_february_2022/) to be taken to the original topic-thread or you can scan through the [Cointest Archive](/r/CointestOfficial/wiki/cointest_archive#wiki_DAI) to find arguments on this topic in other rounds.

kingyolo420

This isn't right. BUSD is issued by Binance. It's twin-clone USDP is issued by Paxos. They're essentially the same thing.

Feeling-Inside5147

USDP? 🤔

Sweeteclipse

Even then, it has the most trading pairs of any other stablecoin, so it's a real +/- situation Although compared to a few years ago, we have way more stablecoins like USDC, Dai, USDP, etc

nyaaaa

> Binance to Auto-Convert USDC, USDP, TUSD to BUSD (Binance USD) So. No.

Set1Less

This Here is the article: https://www.coindesk.com/business/2022/09/05/binance-to-convert-users-usdc-usdp-tusd-into-its-own-stablecoin-busd/ > Binance said on Monday that it will convert all investments in USDC, pax dollar (USDP) and trueUSD (TUSD) into BUSD on Sept. 29, and customers transferring those tokens to the exchange will see them automatically converted into Binance's stablecoin after that date. **However, customers will be able to withdraw money denominated in USDC, USDP or TUSD when removing money from Binance.** People are literally fudding everything because the state of the market rn is so pathetic

Set1Less

> You deposit USDC, but when it comes time to withdrawal, Binance has to swap BUSD for USDC to fulfill your request?! CZ says Binance had already disabled USDC deposits few weeks ago. The publicly announced they are delisting USDC. https://www.coindesk.com/business/2022/09/05/binance-to-convert-users-usdc-usdp-tusd-into-its-own-stablecoin-busd/ > Binance said on Monday that it will convert all investments in USDC, pax dollar (USDP) and trueUSD (TUSD) into BUSD on Sept. 29, and customers transferring those tokens to the exchange will see them automatically converted into Binance's stablecoin after that date. **However, customers will be able to withdraw money denominated in USDC, USDP or TUSD when removing money from Binance.** However they were allowing customers to swap BUSD and USDT to USDC and withdraw as USDC. So it was no USDC in, but USDC out Eventually as per their announcement they were going to disable USDC completely As of now, people were swapping BUSD and USDT on their plaform and withdrawing as USDC, since there is a run on BUSD as well. The users are swapping them, so they have to get additional USDC to fund the withdrawals

immibis

BUSD is apparently run by a different company called Paxos, which has its own version called USDP, and Binance paid them to make another identical one and call it B for Binance.

DMCarter_

It's reserves do. Most of it is backed by USDC, USDP, and GUSD. https://daistats.com/#/

DMCarter_

Actually, a significant portion of DAI is backed by fiat-backed stablecoins (USDC, USDP, GUSD). DAI may be crypto-backed, but being crypto-backed is worthless if most of the crypto is question is a fiat-backed stablecoin. https://daistats.com/#/

Sweeteclipse

I mean, they never had a proper audit, so in a sense, they are. But the likelihood of them collapsing seems to be pretty low in the future, also compared to a few years ago we have lots of other backed stablecoins like USDC, Dai, USDP etc

atdrilismydad

Paxos' stable USDP is great too, they're the company that backs BNB on Eth. I never see anyone mentioning it but they publish [monthly attestations](https://paxos.com/usdp-transparency/).

Sweeteclipse

Hmm...I still don't trust USDT, but at the same time I don't really feel like they will just go belly up instantly, even if shocking allegations did come to light. Also compared to years ago, we have USDC, Dai, USDP and so many other stablecoins now

striped_sweater12

I can't give any guarantees, but USDP issued by Paxos seems legit. They are regulated and regularly audited and have the USD reserves 1:1. BUSD seems fine as well because they use Paxos as a custodian. USDC does not hold USD 1:1, they take some of the cash and buy US bonds with it to earn yield. From my understanding they are still much safer than USDT.

tylermm03

I’d go with USDP personally because they actually provide audits.

Veloder

The problem is the custody, because Paxos back 1:1 with real money those 2 tokens issued on the ETH network. So as long as Paxos is truthful and stays solvent, you will always be able to redeem the tokens for USD if you have their control (even if Binance goes bankrupt). On the other hand, if you have USDP or BUSD in an exchange and the exchange goes under, you will end up with nothing. NYKNYC.

Veloder

USDP or BUSD in self-custody in the ETH network (ERC20).

DMCarter_

1. So is other "algorithmic" stablecoins like SigUSD, LUSD and sUSD. 2. About 58% of DAI's reserves is in centralized stablecoins (USDC, GUSD, and USDP). The issuers of those coin can blacklist the reserve pool. DAI maybe 135% collateralized, but it might as well be 75% collateralized.

vtelmo

My top pick would tend to be USDC because of its size and being audited. What about USDP?

sQtWLgK

define "reliable"; there is USDP and TUSD but they're comparatively tiny there's BUSD if you trust enough Binance...

mathrio

Go here: [https://www.binance.com/en/collateral-btokens](https://www.binance.com/en/collateral-btokens). Search for USDC and USDP in the little grey box. It's all there. Are you guys even trying for real?

tylermm03

I'm gonna be honest I don't understand all of your numbers, but I looked into the XRP wallet and I saw that they only had 10XRP as reserves and I found that to be concerning. I also took a look at their [proof of assets for their ecosystem](https://www.bnbchain.org/en/assets-proof) and they have 0 proof of assets for stable coins such as USDC and USDP (paxos USD). I may not be the most financially knowledgeable person in the world nor am I an accountant but to me this screams that they're printing money out of thin air and manipulating their finances.

CointestMod

#Dai Pro-Arguments Below is an argument written by mic_droo which won 1st place in the Dai Pro-Arguments topic for a prior [Cointest](/r/CointestOfficial/wiki/cointest_policy) round. > DAI is a stablecoin. But it's not just any stablecoin. Other than most stablecoins it's decentralized, meaning it's ["not created or redeemed by any central, third-party gatekeeper or group of gatekeepers"](https://blog.makerdao.com/why-dai-is-the-most-used-cryptocurrency-in-the-defi-space/). > > It is currently the [fifth biggest stablecoin](https://www.coingecko.com/en/categories/stablecoins) - and even though it is, of course, pegged to fiat - 1 DAI is 1 USD - it is backed [with crypto and not fiat as collateral](https://ethereum.org/en/stablecoins/) - the biggest stablecoin that's not backed by fiat. At the time I'm writing this, it is mostly backed by [USDC, ETH, WBTC and USDP](https://daistats.com/#/overview). That kinda sounds risky, right? I mean we all love crypto, but how can a stablecoin backed by crypto be, well... stable? > > MakerDAO found a way. DAI was started at a really bad time - December 2017, right before the end of the bull run. DAI was only backed by ETH back then, and while ETH lost 80% of its value in the following months, [DAI remained extremely stable](https://fortune.com/2018/10/01/crypto-ethereum-stablecoin-vc-andreessen-horowitz/). And it has remained stable until today, it usually hovers around $1, its ATH and ATL are similar to other big, centralized stablecoins. > > How does it manage to do that? Well, it is regulated by a system of smart contracts. [If DAI goes too far above or below 1 USD, MKR is created or burned](https://decrypt.co/resources/dai-explained-guide-ethereum-stablecoin). So you don't have to trust any person or group to keep the price stable - an algorithm ensures it. > > DAI is [one of the biggest projects in the DeFi-space.](https://www.coingecko.com/en/categories/decentralized-finance-defi) and has "decentralized" written all over it, but it's also available on [most big centralized exchanges](https://www.coingecko.com/en/coins/dai#markets). > > DAI is said to be very secure, [MakerDAO conducts extensive audits and ensures DAI's security](https://www.gemini.com/cryptopedia/dai-stablecoin-what-is-dai-token). As far as stablecoins are concerned, I think DAI is a pretty good deal! ***** Would you like to learn more? [Click here](/r/CointestOfficial/comments/qk4yn1/coin_inquiries_round_dai_proarguments_november/) to be taken to the original topic-thread or you can scan through the [Cointest archive](/r/CointestOfficial/wiki/cointest_archive#wiki_DAI) to find arguments on this topic in other rounds.

Feeling-Inside5147

It relies a lot on centralized assets: USDC, USDP, GUSD, WBTC... Has BlackRock bonds. USDC managed by Coinbase in order to generate yield, because DeFi failed in this task. Unreliable centralized DAI. Just hold USDC instead.

ArtyHobo

Because nobody has yet put significant enough downwards pressure on BUSD/BNB in order to cause panic and a bank run in others. USDP de-pegged down to 0.97c yesterday though so it's not necessarily off the table.