BUSD was redeemed for $2.86 billion six days ago, only hours before the blockchain infrastructure platform Paxos declared it would stop minting BUSD stablecoins.
In Just Six Days, around 3 billion BUSD Stablecoins Have Been Withdrawn from Circulation
According to data, a sizable portion of BUSD has been redeemed in the last six days, with the supply falling by 17.77% in that time. In addition, the supply of BUSD has decreased by 19.2% over the last 30 days. The firm that issues, manage, and redeems BUSD, Paxos, declared on February 13, 2023, that it would stop minting new BUSD going forward.
Following Paxos’ statement, redemptions picked up steam, and $290 million were redeemed in just eight hours. The total amount of BUSD in circulation at the time of the announcement was $16.1 billion. There are roughly 13,026,075,228 BUSD in circulation as of February 20, 2023.
The Treasury wallet, which transfers millions of BUSD to the burn address to effectively remove the stablecoins from circulation, has been observed by blockchain intelligence company Nansen. As of February 19, 2023, according to Nansen’s exchange portfolio tool, Binance held 10.9 billion BUSD. Data indicates that BUSD continues to make up $7.24 billion of the $67.71 billion in worldwide trade volume for the day, or 10.7% of the total.