Paxos USDG Hits $21.8 Billion in September Uniswap Volume

Paxos' USDG stablecoin saw a surge in activity throughout September, recording $21.8 billion in trading volume on Uniswap. This figure accounts for 98% of the token's total decentralized exchange activity for the month.

The volume represents a significant turnover relative to the stablecoin's circulating supply, which currently stands at approximately $3.2 billion. Despite this high level of trading, the token maintained its dollar peg without significant price deviation.

The catalyst for the volume increase was the launch of the StablePair Hook on Uniswap v4 on September 10. This feature introduced dynamic fee structures for stablecoin pairs, such as USDC/USDG on Ethereum.

USDG currently maintains over $600 million in total value locked across DEX pools. This liquidity base supported the high volume of trading activity observed during the month.

Launched by Paxos Digital Singapore in November 2024, USDG is backed 1:1 by liquid US dollar assets and regulated by the Monetary Authority of Singapore. The Global Dollar Network, which manages the token, has grown to include over 150 partners, such as Kraken and Robinhood.

The stablecoin is currently live on several networks, including Ethereum, Solana, Robinhood Chain, X Layer, and Mantle. The integration with Uniswap v4's hook system highlights how technical infrastructure can influence trading activity for stablecoins.

Uniswap's total monthly DEX volume exceeded $70 billion in September, with USDG pairs contributing roughly 31% of that total.