Paxos has launched the yield-bearing stablecoin wrapped Lift Dollar (wUSDL) on Injective, according to an announcement on October 16.
Lift Dollar is a new yield-bearing stablecoin pegged 1:1 to the US dollar.
The United Arab Emirates-regulated Paxos International, an affiliate of Paxos, launched Lift Dollar (USDL) in June this year.
It’s a stablecoin designed to deliver daily yield to holders, with this distributed as dividends to the users’ wallets.
The yield comes from the stablecoin’s reserve holdings including short-term US Treasury bills and cash equivalents.
Paxos South America looks to bring these benefits to users within the Injective ecosystem via wUSDL, the wrapped version of USDL. With wUSDL, users can tap into decentralized finance protocols on Injective as they earn yield.
These include derivatives trading, money markets, and lending protocols among other decentralized applications.
Such platforms will include the decentralized exchanges Helix and Astroport, and the liquid staking platform Hydro Protocol.
Notably, this deployment on Injective also allows users to unwrap their wUSDL back to Lift Dollar on Ethereum.
1/ Regulated financial services company @Paxos has launched their yield-bearing stablecoin, Wrapped $USDL on Injective. Users can now engage in trading, lending, and more with wUSDL across Injective’s suite of DeFi protocols. blog.injective.com/en/paxos-bring…
6:30 pm · 16 Oct 2024
Paxos recently expanded USDL to Arbitrum as announced on Oct. 9.
Injective’s tokenized market growth
Paxos’ launch of the wUSDL token on the blockchain platform is another landmark step in Injective’s growing presence in the tokenized assets market.
Currently, the layer-1 blockchain ranks among the top three regarding tokenized real-world assets’ value.
The Injective Labs team noted that this growth includes traction for BlackRock’s flagship RWA product.
Injective recently unveiled the BUIDL Index, the first-ever index to track the supply of Blackock’s BUIDL. Notably, the index does not track the fund’s market price.
According to rwa.xyz, the global RWA tokenized value on-chain has grown to over $12.98 billion. Tokenized US Treasuries on-chain have a total market value of over $2.3 billion, with BlackRock’s BUIDL accounting for about $537 million. Ondo Finance’s US Dollar Yield is about $439 million.
Meanwhile, the global stablecoin market, which includes the dominant players Tether (USDT) and USDC (USDC), is currently worth over $171 billion.
INJ price after Paxos news
While the news is positive for the Injective ecosystem, the announcement coincided with a broader market retreat that saw Bitcoin pare gains from above $68k.
Native token INJ was down 3% to around $20.86 at the time of writing, with bulls battling to breach the supply wall near $23.
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