With more than 50 stablecoin startups appearing all over the globe and even more ready to enter the fray in the upcoming weeks and months, the modern times are harsh for the dollar-pegged currency created 4 years ago, as the cryptomarket discovers alternatives to the USDT token in the wake of doubts regarding the overstated USD reserves and insufficient transparency of the operations. It has recently been reported that four stablecoins were listed at the OKEx and Huobi cryptoexchanges – PAX, GUSD, TUSD, USDC tokens.
As per the data provided by CoinMarketCap, in the race taking place between the contender stablecoins, PAX token has taken the lead with a market cap accounting for 21.72 million dollars, closely followed by TUSD with 19.62 million dollars’ worth of market capitalization, and GUSD and USDC lagging behind at 3.47 million and 1.16 million US dollars respectively. In just a couple of weeks of cryptotrading, Paxos Standard can proudly exhibit over 64 million dollars’ worth of total supply.
Created on the Ethereum platform, PAX was developed to provide, apart from all the benefits of Tether, such capabilities, as the function of decentralized accounting, as well as the management of financial regulators. In general, PAX stablecoin is a completely regulated digital currency, capable of assuring the confidence of its financiers a lot more successfully than the shady Tether currency did.
In the wake of financers’ fears, accumulated by the absence of transparency in Tether’s Foundation, USDT stablecoin has recently encountered a downtrend subsequent to a major abandonment of the currency by financiers, who took over 300 million dollars out of its cryptomarket, forcing the formerly leader stablecoin into a very tight spot, due to the fact that the majority of Tether token holders resort to panic and quickly sell their assets, searching for an alternative option, which would hold value.
Subsequent to such an abrupt abandonment, USDT reached a new low of 0.85 USD at Kraken, and 0.96 USD at Binance, both of which being very substantial occurrences for the digital currency, the value of which is based almost completely on its tight dollar peg.