cryptonews.net
Paxos has burned over $700 mln worth of $BUSD tokens since the start of the week. This came shortly after Paxos announced it would stop issuing $BUSD coins amid growing pressure from regulators. However, the stablecoin company promises that its product will always be backed by 1:1 US dollars, and it will continue to process customer withdrawal requests until February 2024.
A crypto wallet owned by Paxos Treasury transferred $703 mln worth of $BUSD to a burn address, according to Nansen. On Monday, Paxos Treasury sent its first $BUSD transaction worth $144.5 mln, according to Etherescan data. Eight more transactions followed over the next 27 hours, totaling about $559 mln.
Redemption of the stablecoin $BUSD in the amount of $700 mln is 6% of the total number of coins in circulation. Against the background of all the recent events, the head of Binance, Changpeng Zhao, said that the market capitalization of $BUSD "will only decrease over time."
Image: Paxos