- Solana plays a crucial role in bringing PYUSD into the mainstream.
- A $1 Billion Market Cap on the Horizon: A Summary of How PYUSD’s Robust Market Cap Has Evolved Since the Solana Integration.
It’s now been over a year since PayPal launched its Stablecoin PYUSD, which is now approaching a $1 billion valuation. The stablecoin has achieved remarkable growth so far, especially after its integration with the Solana[SOL] network.
It’s been almost three months since the Solana integration and PYUSD is on its way to becoming one of the top stablecoins.
PYUSD’s market capitalization has achieved impressive growth over the past twelve months. Interestingly, the stablecoin’s market cap has more than doubled since May following the Solana integration.
Source: DeFiLlama
PYUSD had a market cap of $853 million at the time of writing, which is the closest thing to a market cap of $1 billion. Judging by how quickly it’s gone so far, it’ll probably reach that goal within a few weeks.
Solana’s role in PYUSD’s success
The integration of PYUSD stablecoin into the Solana ecosystem has undoubtedly contributed to its incredible growth and adoption.
High yields have driven adoption in the Solana ecosystems. PYUSD has especially seen robust adoption among DeFi projects such as Kamino Lend and Orca.
DeFiLlama also lists PYUSD as the 6e largest stablecoin on the Solana network by market capitalization. The PYUSD market cap on Solana has also surpassed the market cap on Ethereum.
For context, here is a chart comparing the PYUSD market cap between the two networks.
Source: Coinmarketcap
The amount of PYUSD bridged on the Solana network has increased by 36.73% in the last seven days and 117% in the last four weeks.
Meanwhile, the bridged amount of the same stablecoin on the Ethereum network has increased by 2.71% over the past seven days and 0.29% over the past four weeks, according to DeFiLlama. This underlines the importance of the Solana blockchain integration.
Its high APYs have fueled its robust adoption within the Solana ecosystem.
Solana has had the advantage of cheaper gas rates than Ethereum for quite some time. Moreover, the DeFi ecosystem has seen robust growth so far this year. Integrating PYUSD has not only allowed it to tap into more opportunities, but also gain access to perhaps one of the most important on-ramps of 2024.
Solana may also have popularized the stablecoin. Adoption rates by other networks and DeFi platforms have increased since integrating with Solana.
These findings confirm the growing utility underlying the stablecoin’s rapid growth, and PayPal’s growing involvement in WEB3.