Paxos will stop minting new BUSD tokens
Existing tokens remain fully supported and redeemable through the Paxos Trust Company through at least February 2024
NEW YORK, 13 February 2023 /PRNewswire/ — Paxos, the leading regulated blockchain and tokenization infrastructure platform, announced that it will end its relationship with Binance for the tokenized stablecoin BUSD.
Efficient February 21, Paxos will stop issuing new BUSD tokens as directed by and working in close cooperation with the New York Department of Financial Services (NYDFS). Paxos Trust, a regulated institution overseen by the NYDFS and audited by a top-four accounting firm, will continue to manage BUSD dollar reserves. All BUSD tokens issued by Paxos Trust are and will always be backed 1:1 with US dollar denominated reserves, fully segregated and held in external bankruptcy accounts. The BUSD reserves are fully supported and the instruments held by Paxos in reserve upon closing operations 10 February 2023 is also available here.
Paxos has always prioritized the security of its customers’ assets. It was true at the founding and is still true today. BUSD will remain fully supported by Paxos and can be redeemed to onboard customers through at least February 2024. New and existing Paxos customers will be able to redeem their funds in US dollars or convert their BUSD tokens to Pax Dollar (USDP), a regulated US dollar-backed stablecoin also issued by Paxos Trust. For customers wanting more information, please visit help.paxos.com.
USDP, Pax Gold (PAXG) and Paxos Business going forward
Paxos continues to maintain strong regulatory capital to protect customers, as well as a strong corporate balance sheet to support our long-term business objectives. This action does not affect our ability to continue serving new or existing customers, our continued dedication to expanding our staff or funding our business goals. Paxos remains committed to becoming the global leader in the blockchain tokenization infrastructure that global businesses rely on as they transition to faster, safer, fairer and more efficient financial systems.
To learn more about Paxos’ commitment to transparency and regulation, visit our website.
About Paxos
Paxos is the leading regulated blockchain infrastructure platform. The products are the basis for a new, open financial system that can work faster and more efficiently. Today, trillions of dollars are locked up in inefficient, outdated economic plumbing that is inaccessible to millions of people. Paxos re-platforms the financial system to enable assets to instantly move anywhere in the world, at any time, in a reliable manner.
Paxos uses technology to tokenize, custody, trade and settle assets. It builds enterprise blockchain solutions for institutions such as PayPal, Interactive Brokers, Mastercard, MercadoLibre, Nubank, Bank of America, Credit Suisse and Societe Generale. Paxos is a top-funded fintech company with more than $540 million raised from leading investors including Oak HC/FT, Declaration Partners, Founders Fund, Mithril Capital and PayPal Ventures. With offices in New York, London and Singapore, Paxos takes a global approach to modernizing the financial system.
Media contact:
Becky McClain
[email protected]
SOURCE Paxos
