Stablecoin issuer Paxos mistakenly minted $300 trillion worth of PYUSD, the PayPal-backed stablecoin, during an internal transfer. Blockchain records show that the incident happened at 7:12 PM UTC on Wednesday. Notably, the minted tokens represent over 75 times the current market cap of the entire crypto market.   Paxos Assures Users over Mint Mistake After creating the excess supply and recognizing the mistake, Paxos sent the erroneously minted tokens to a burn address 22 minutes later, effectively destroying them. Approximately an hour later, the stablecoin issuer reported the incident via its official X account. The team claims the minting was a result of an “internal technical error,” stressing that there was no security breach and that customer funds remained intact and unaffected. The company further assured the public that it had addressed the underlying issue to prevent recurrence. 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 Notably, the surge in PYUSD supply briefly resulted in a slight depeg of the stablecoin. Nonetheless, it quickly recovered once the excess tokens were destroyed. Observing the incident, Aave, a multichain lending protocol, temporarily paused PYUSD markets as a precaution while investigating the issue. Not the First Error Since the genesis of its stablecoin business and subsequent integration into other chains, Paxos has not made a minting mistake prior to the recent one. However, in September 2023, Paxos overpaid a Bitcoin transaction fee. The transfer, which was only 0.074 BTC ($2,000 at the time), ended up costing nearly 20 BTC in fees ($510,000 at the time) due to a software bug. Paxos is not alone, though, in its history of stablecoin minting mistakes. There have been past mistakes by stablecoin issuers similar to the recent error. In 2019, Tether accidentally minted about $5 billion USDT on the Tron blockchain during an Omni-to-Tron bridge because of a decimal error. Like Paxos, the issuer quickly burned the excess supply. Meanwhile, the 300 trillion PYUSD mint comes a few days after the firm announced interest in converting its New York State trust charter into a national trust charter. It believes the initiative would further its commitment to “maintain the highest regulatory standards” and increase federal oversight of its operations.   The post Paxos Mistakenly Mints 300 Trillion PYUSD appeared first on CoinTab News.Stablecoin issuer Paxos mistakenly minted $300 trillion worth of PYUSD, the PayPal-backed stablecoin, during an internal transfer. Blockchain records show that the incident happened at 7:12 PM UTC on Wednesday. Notably, the minted tokens represent over 75 times the current market cap of the entire crypto market.   Paxos Assures Users over Mint Mistake After creating the excess supply and recognizing the mistake, Paxos sent the erroneously minted tokens to a burn address 22 minutes later, effectively destroying them. Approximately an hour later, the stablecoin issuer reported the incident via its official X account. The team claims the minting was a result of an “internal technical error,” stressing that there was no security breach and that customer funds remained intact and unaffected. The company further assured the public that it had addressed the underlying issue to prevent recurrence. 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 Notably, the surge in PYUSD supply briefly resulted in a slight depeg of the stablecoin. Nonetheless, it quickly recovered once the excess tokens were destroyed. Observing the incident, Aave, a multichain lending protocol, temporarily paused PYUSD markets as a precaution while investigating the issue. Not the First Error Since the genesis of its stablecoin business and subsequent integration into other chains, Paxos has not made a minting mistake prior to the recent one. However, in September 2023, Paxos overpaid a Bitcoin transaction fee. The transfer, which was only 0.074 BTC ($2,000 at the time), ended up costing nearly 20 BTC in fees ($510,000 at the time) due to a software bug. Paxos is not alone, though, in its history of stablecoin minting mistakes. There have been past mistakes by stablecoin issuers similar to the recent error. In 2019, Tether accidentally minted about $5 billion USDT on the Tron blockchain during an Omni-to-Tron bridge because of a decimal error. Like Paxos, the issuer quickly burned the excess supply. Meanwhile, the 300 trillion PYUSD mint comes a few days after the firm announced interest in converting its New York State trust charter into a national trust charter. It believes the initiative would further its commitment to “maintain the highest regulatory standards” and increase federal oversight of its operations.   The post Paxos Mistakenly Mints 300 Trillion PYUSD appeared first on CoinTab News.