According to PANews, a Paxos spokesperson recently said that the decoupling of the Pax Dollar (USDP) stablecoin was caused by problems with pricing aggregators, not the protocol itself. These platforms extract pricing data from trading venues, and yesterday, prices in some venues rose sharply, affecting the price of USDP on pricing aggregators. Paxos does not control the market or trading activities of other trading venues. Despite temporary price fluctuations, USDP will always be redeemable at fair value through Paxos.
According to CoinMarketCap, the decoupling occurred during a sharp rise in USDPâs market value on April 17, when USDPâs market value briefly rose from $140 million to $181 million, when the token hit $1.29, and USDPâs market value fell back to $140 million when it regained parity with the U.S. dollar. USDPâs current market value is $134 million.
