Paxos
Paxos is a regulated blockchain and tokenization infrastructure company from the United States that issues stablecoins and other digital tokens for financial institutions and large companies. A company that wants a dollar token under its own brand can have Paxos issue it, while Paxos holds the reserves, runs minting and redemption and has the backing attested every month.
Paxos also runs crypto trading and custody in the background for brokerages and payment companies, which then sell these services to their own clients. The company was founded in 2012 and is supervised as a national trust bank in the United States, as an e-money institution in Finland and as a major payment institution in Singapore.
From the NYDFS trust charter to a national trust bank
The New York State Department of Financial Services granted Paxos the first limited purpose trust charter for digital assets in 2015. For ten years the Paxos trust company in New York issued tokens and held client assets under this state charter. On 12 December 2025 the Office of the Comptroller of the Currency approved the conversion of the New York charter into a national trust charter, and Paxos completed the conversion on the same day.
Paxos Trust Company, N.A. has since been a national trust bank regulated by the OCC, and its US business falls under federal supervision in all 50 states. Paxos names the US stablecoin law, the GENIUS Act, as one reason why companies now look for a regulated issuer for their own token. Outside the United States, Paxos Digital Singapore holds a Major Payments Institution license from the Monetary Authority of Singapore, and the Financial Services Regulatory Authority supervises Paxos in Abu Dhabi Global Market.
Paxos in the EU: e-money institution under MiCA
Paxos entered the EU by buying Membrane Finance, an e-money institution licensed in Finland, and closed the acquisition on 4 February 2025. The interim MiCA register of ESMA lists Paxos Issuance Europe Oy in Helsinki as an electronic money institution supervised by the Finnish Financial Supervisory Authority, FIN-FSA. Under MiCA, a token that references one official currency is an e-money token, and only banks and e-money institutions may issue one to the public in the EU.
Paxos Issuance Europe began issuing the Global Dollar USDG in the EU on 1 July 2025, with the token running on Ethereum, Solana and Ink. Every holder in the EU can redeem USDG with Paxos Issuance Europe at par value at any time, and the company keeps part of the reserves with European banks, as MiCA requires. The euro token EUROe, which came to Paxos with Membrane Finance, now runs in redemption-only mode, so holders can only return it for euros at one to one.
Stablecoin issuance as a service
Paxos issues stablecoins under the brand of a partner, so the partner puts its own name on the token and keeps the customer relationship. Paxos acts as the regulated issuer, keeps the reserves segregated and bankruptcy-remote and has an independent auditor attest them every month. PayPal USD (PYUSD) follows this model, with Paxos Trust Company, N.A. issuing the token for PayPal. According to Paxos, more than $4 billion in PayPal USD circulates in over 70 markets.
More than 80 trading firms are onboarded to create and redeem Paxos tokens directly, the steps known as minting and burning. Paxos also issues its own tokens, the Pax Dollar (USDP) and Pax Gold (PAXG), and each PAXG is backed by one fine troy ounce of gold in LBMA vaults in London. Paxos counts about $9 billion in assets it has issued in circulation, among them more than $3.5 billion in USDG.
Tokenization, settlement and custody for institutions
Paxos calls itself a regulated blockchain and tokenization infrastructure platform, and besides issuance it runs crypto trading for brokerages and settlement for securities. With the white-label crypto brokerage of Paxos, banks and brokers give their clients crypto trading under their own brand, and Paxos handles execution, liquidity and settlement. Interactive Brokers, Mastercard and Mercado Libre are among the companies that use blockchain services from Paxos.
On 28 May 2026 the US Securities and Exchange Commission registered Paxos Securities Settlement Company as a clearing agency, with conditions, so the subsidiary can clear and settle eligible securities on blockchain infrastructure. Paxos had settled US equities every day under SEC no-action relief since February 2020. For custody, Paxos bought Fordefi in November 2025, a wallet platform based on multi-party computation that close to 300 institutions use.
Upcoming payments events in Europe
What is Paxos crypto?
Paxos crypto usually means the tokens that Paxos issues or the crypto trading that Paxos runs for brokerages. The tokens of Paxos include PayPal USD, the Global Dollar USDG, the Pax Dollar USDP and Pax Gold, and each one is backed by dollar reserves or by gold.
Is Paxos a bank?
Paxos Trust Company, N.A. is a national trust bank regulated by the Office of the Comptroller of the Currency, a charter it received by converting its New York trust charter in December 2025. In the EU, Paxos Issuance Europe Oy is an e-money institution under the supervision of FIN-FSA in Finland.
Who issues USDG in the EU?
Paxos Issuance Europe Oy in Helsinki issues USDG in the EU as an e-money token under MiCA, and Paxos Digital Singapore issues it under the supervision of the Monetary Authority of Singapore. Holders in the EU can redeem USDG directly with Paxos Issuance Europe at par value at any time.
What is Paxos Gold (PAXG)?
Pax Gold is a token in which each PAXG stands for one fine troy ounce of gold, stored in LBMA vaults in London and held by Paxos Trust Company, N.A. Holders can redeem PAXG for Good Delivery gold bars or for US dollars at the current market price.
Stablecoin issuance and regulation
Paxos and Finance Loop
Finance Loop covers stablecoin issuance, e-money tokens and the licensing of issuers in its Payments & Digital Money track. Finance Loop and Venturebloxx published the report Stablecoins: The Operating Layer for Global B2B Payments, which covers dollar stablecoins in cross-border B2B payments and treasury, the field for which Paxos issues tokens to companies.
Finance Loop is a professional network and has the goal of driving the institutional use of emerging technologies in finance, such as AI, digital payments, cloud and blockchain solutions. Finance Loop helps its members build skills and personal networks in these fields: Investment & Digital Assets, Payments & Digital Money, Digital Infrastructure & Sovereignty, and Risk & Compliance.