The vice president of marketing and communications for Paxos, Dorothy Jean Chang, announced in a tweet yesterday that PAX had entered the top 100 cryptocurrencies:
Took us just 39 days to crack the top 100 cryptocurrencies. Fully backed by dollars 1:1, fully regulated. https://t.co/X0uMMiGhoC
— Dorothy Jean Chang (@dj) October 17, 2018
Paxos reached this milestone only a month after launching their new stablecoin on the 10th of September. This marks the fastest widespread adoption of any digital asset, according to Paxos. They attributed this quick growth to the support they received from over 20 global exchanges, including six of the top ten in the world, such as Kucoin and Digifinex.
It took PAX just 39 days to reach its circulation high of $63 million USD worth. However, a day later, it seems buyers are selling what they purchased, dropping the stablecoins circulatory worth to just under $42 million USD at the time of this writing.
This now places PAX at the position of 125 according to CoinMarketgap. Despite this drop-in circulation, the actual value of each unit of PAX has not changed and still remains 1:1 with the US dollar.
Maintaining an equal value with the USD is the main goal of stablecoins. Stablecoins refer to cryptocurrencies which are meant to hold stable values. They are essentially ‘price-stable’ cryptocurrencies that serve as dollar substitutes. This substitution makes circulation the U.S. dollars easier by lowering regulations and restrictions. Stablecoins like PAX provide much-needed liquidity to the cryptocurrency market.
The stability that PAX strives for has not helped it stay within the circulation. However, it is too soon to say where PAX will go in the future. There is still a great opportunity to bounce back into the top 100.