BSC chain analysis

what is the BUSD?

A Binance branded stablecoin issued by Paxos Trust Company

Paxos and BUSD are approved and regulated by the New York State Department of Financial Services, ensuring the utmost of consumer protections.

Backed by Dollars BUSD is 100% backed by reserves held in either or both (i) fiat cash in dedicated omnibus accounts at insured U.S. banks1 and/or (ii) U.S. Treasury bills (including through repurchase agreements and/or money-market funds invested in U.S. Treasury bills).

Transparent A top auditing firm will attest to the matching supply of BUSD tokens and underlying U.S. dollars on a monthly basis. New York’s top financial regulator has ordered a crypto company to stop minting a major stablecoin, widening a clampdown on the embattled digital assets sector.

Paxos, a blockchain company, announced Monday that it had been instructed by the New York State Department of Financial Services (NYDFS) to stop issuing BUSD, a Binance-branded stablecoin pegged to the US dollar.

The firm said in a statement that it would stop issuing the token on February 21. The ones already circulating “have and always will be” backed one-to-one with US dollar reserves, it added.

Paxos has told customers they will be able to redeem their BUSD through February 2024, with options to redeem funds in US dollars or to convert their tokens to Pax Dollar, another stablecoin issued by the company.

Paxos also said it would “end its relationship” with Binance, the world’s largest crypto exchange. It did not give detail on why the regulator had ordered it to stop issuing

Ethereum chain analysis

A batch of $100,000 transactions with a value of $68 billion before paxos 2.5 billion dollars after paxos It has the largest volume of dollars The $100-$1000 category had the highest number of transactions With 319 thousand before paxos and 2 thousand after paxos

WBNB is the most acquired token with 93.3 thousand transactions

From the beginning of the year until now February 3th the most and then February 13th exactly the day it happened to paxos had the largest volume, transactions above $100,000 were the largest on both days, but in terms of transactions, only February 13 had the largest number of transactions.

The amount of swap that was done on 22nd of Bahman was unprecedented compared to the previous days, so that a maximum of 5 million dollars was swapped and after 22nd of Bahman it reached more than 18 billion dollars.

Also, most swaps before February 10 were done by the BUSD-USDC 100 pool, but after February 10, most swaps were done by the BUSD-CRVFX pool. So that on February 22, 18 billion dollars were exchanged by this pool

Transfer charts show us that after the paxos event that the transfer volume increases, but the average volume and the number of users who transfer is decreasing In other words, the number of those who have transferred is small, but with a larger volume than the others

WBNB, both in terms of the number of users who have acquired it and in terms of the volume that has been acquired , has been more different than other tokens.

In Binance Blockchain, the number and volume of swaps have not changed, but on February 11, two days before the paxos incident, the number of swaps was much less than other days, while the volume was much higher than other days.

Most of the swaps, both in terms of volume and number, have been carried out by the WBNB-BUSD pool

In terms of transfer, both in terms of the number of users who transferred and in terms of the volume of the transfer, February 13 was the high point.

Conclusion

For the Ethereum blockchain, the volume and number of valves compared to the previous days, the paxos incident is unprecedented, and most of the liquidity is provided by the pool. BUSD-CrvFRAX Curve LP has taken place

In general, for Ethereum blockchain, it seems that most of the users after what happened to paxos, the volume and number of transfers and transactions have increased very rarely compared to before. And most of these activities were for transactions below 1000 dollars

On Binance Blockchain, the number and volume of exchanges have not changed, but on February 11, two days before the paxos incident, the number of swaps was much lower than on other days, while the volume was much higher than on other days. This indicates that a small number of users had a very high volume of activity before the day of the event

WBNB, both in terms of the number of users who have acquired it and in terms of the volume that has been acquired , has been more different than other tokens.

Most of the swaps, both in terms of volume and number, have been carried out by the WBNB-BUSD pool