According to the latest report published by analyst firm Nansen, more than 90% of the total issuance of PayPal's stablecoin PYUSD is still on the balance sheet of its issuing company Paxos.
According to the company's analysts, as little as 7% of the coin's supply is in user wallets linked to exchanges Kraken, Gate.io and Crypto.com.
Nansen believes the low interest in the asset is due to PayPal targeting a different demographic.
Analysts have said:
"We are seeing a lack of demand for PYUSD from cryptocurrency users when there are other alternatives."
The largest PYUSD holder in this category has the equivalent of about $10,000 and bought the token after selling three different memecoins.
PayPal announced last August 7 the launch of a stablecoin pegged to the US dollar based on Ethereum. The issuer of the coin was the blockchain infrastructure company Paxos.