Blockchain data showed stablecoin issuer Paxos both minted and burned 300 trillion PayPal USD stableCoin tokens in 30 minutes, leaving many crypto users scratching their heads.
In a Wednesday x post following mint and burn, Chaos Labs founder Omer Goldberg said AAVE is temporarily freezing trades for PayPal USD (fuse) after an “unexpected high magnitude transaction” of stablecoin minting and burning. Ethereum blockchain data showed paxos Minty 300 trillion US dollar-pegged stablecoin at 7:12 PM UTC and after burning The full amount 22 minutes later by sending it to an inaccessible wallet.
Pyusd, which is pegged 1:1 to the US dollar, creates a supply of combustible coins worth about $ 300 trillion. StableCoin has a market capitalization of over $2.3 billion as of this writing, making it the sixth largest coin behind Tether’s USDT (USDT), USDC (USDC), Athena USDE (USD), Dai (no) and World Liberty Financial USD (USD1).
In a Wednesday x post, Paxos said It “mistakenly minted too much pyusd as part of an internal transfer.”
“This is an internal technical error,” Paxos said. “There was no security breach. Customer funds are safe. We have addressed the root cause.”
Related: World Liberty burns 47m tokens in bid to pump price as slide continues
Pyusd maintained its dollar PEG following the news, but its price eased by about 0.5%, according to data from Nansen.
$300 trillion is more than twice the gross domestic product for every country in the world, according to Data from the International Monetary Fund.
Biggest burn in crypto history
Some of the most significant token burns include cryptocurrency exchange OKX which is sending more than 65 million okb to an inaccessible address in August in an effort to maintain supply at 21 million. The project behind Bonk Memecoin About 1.7 trillion bonks were burned In December 2024, but the coins were only worth about $50 million at that time.
Magazine: ‘Help! My robot vac is stealing my bitcoin’: When smart devices attack
