The trading volume with the stablecoin of the PayPal payment platform, PYUSD, skyrocketed in the last 24 hours, after the announcement of its integration into the Solana network. According to cryptocurrency data platform CoinGecko taken at the time of this publication, the trading volume of this digital asset exceeded 18 million dollars in one day. This represents an increase of 45.60% compared to the previous day. This metric is used by investors and analysts to evaluate the operations that were carried out in a certain period. Considering the numbers recorded in the last few hours, this would indicate a growing interest in PYUSD, which until now had not had great success in terms of adoption. Currently, its market capitalization is 398 million dollarsas can be seen in the following graph:
PYUSD market capitalization since its launch. Source: CoinMarketCap. So far, you can trade PYUSD on Coinbase, Crypto.com, Bybit, Kraken, Kukoin, Bitget, Bitstmap and BingX. Also, this stablecoin has certain uses within the PayPal platform. As Criptonoticias already reported, PayPal executives are confident that this expansion to Solana will make the stablecoin faster and cheaper when making transactions. The network created by Anatoly Yakovenko stands out for its ability to process large operations at high speed and low cost, that is, an extra benefit for commercial use cases. In this regard, José Fernández da Ponte, senior vice president of PayPal's Blockchain, Cryptocurrencies and Digital Currency group, is very optimistic about the news. In that sense, he remarked:
“Making PYUSD available on the Solana network furthers our goal of enabling a digital currency with a stable value designed for commerce and payments.” José Fernández da Ponte, senior vice president of the Blockchain, Cryptocurrencies and Digital Currency group at PayPal.
What does PYUSD gain with its integration into Solana?
The stablecoin initially only lived on the Ethereum main network, which does not offer the best conditions in terms of economics and speed (although it does offer the best conditions in terms of security and stability). Solana's speed and low transaction fees attracted PayPal. Currently, it is the most used cryptocurrency network to carry out operations with stablecoins, as can be seen in the graph of the on-chain cryptocurrency analysis platform, Artemis:
The green block indicates stablecoin transactions on the Solana network. Source: Artemis. For his part, the CEO of the Solana Helius Labs development platform, Mert Mumtaz, went one step further and said that Paypal not only expanded to this network because of its speed. The argument:
“Solana also enables confidential transfers and token programmability natively in the L1 itself. Confidential transfers alone are a game changer.” Mert Mumtaz, CEO of Solana development platform Helius Labs.
It is worth clarifying that the PYUSD development team, which seeks to be a regulated stablecoin, is unlikely to be interested in it being used for private (i.e., untraceable) transactions. These are not usually liked by international regulatory bodies.
The truth is that the next few days will be key to knowing if, finally, the PayPal stablecoin takes a step forward to try to attract new users. As Criptonoticias reported, one of the challenges ahead is to prevail in a market that is dominated by large players such as USDT, the stablecoin issued by the Tether company.