Paxos Blames Internal Error for $300 Trillion PYUSD Stablecoin Mint
The post Paxos Blames Internal Error for $300 Trillion PYUSD Stablecoin Mint appeared on BitcoinEthereumNews.com.
TLDR Paxos mistakenly minted $300 trillion worth of PYUSD stablecoins on the Ethereum blockchain. The minting error was identified and corrected within minutes as Paxos burned the entire amount. Paxos confirmed the incident was due to an internal technical issue and not a security breach. Industry leaders expressed concern over the error and questioned Paxos’ operational controls. Paxos is currently seeking a national trust charter under the GENIUS Act while facing increased scrutiny. A Paxos transaction stunned the crypto world after $300 trillion worth of PYUSD was accidentally minted on Ethereum. The massive mint happened within seconds, yet the entire amount was burned just over 20 minutes later. Paxos blamed the issue on an internal error and confirmed that no user funds were at risk. Paxos Acknowledges Technical Error Behind PYUSD Mint Paxos confirmed the unexpected mint was an internal transfer error and assured there was no breach or hack involved. “This was an internal technical error,” Paxos stated on X, addressing confusion over the sudden $300 trillion mint. The company acted quickly and burned the tokens by sending them to a non-retrievable Ethereum address. At 3:12 PM EST, Paxos mistakenly minted excess PYUSD as part of an internal transfer. Paxos immediately identified the error and burned the excess PYUSD. This was an internal technical error. There is no security breach. Customer funds are safe. We have addressed the root… — Paxos (@Paxos) October 15, 2025 The on-chain transaction occurred at 3:12 PM EST, with all tokens destroyed shortly thereafter. Paxos said it identified the error immediately and addressed the underlying cause. There was no indication of system compromise or foul play from external parties. Prior to the mint, Paxos executed two separate transactions for 300 million PYUSD each, which reduced and moved supply. This gave observers reason to suspect…
Filed under: News - @ October 16, 2025 4:24 am