According to Foresight News, Paxos has released its October PYUSD transparency report, disclosing unaudited data as of November 1, 06:00 Beijing time. The report includes: 1) Total Tokens Outstanding amounting to approximately $158,956,937; 2) The current market value of collateral in US Treasury repurchase agreements is $162,719,629, with a notional position value of $159,529,000; 3) The current market value of collateral in other cash deposits held by custodian institutions is $1,944, with a notional position value of $1,944; 4) The current market value of collateral in total net assets is $162,721,573, with a notional position value of $159,530,944.
US Treasury repurchase agreements are contractual arrangements between two parties, where one party agrees to sell securities to the other at a specified price and commits to repurchase the securities later at another (usually higher) specified price. If the counterparty defaults, Paxos can liquidate the US Treasury collateral to cover losses. Since all transactions are over-collateralized, the risk of loss is not considered significant.