Paxos has received approval to convert its New York Department of Financial Services Limited Purpose Trust Charter to a National Trust Charter regulated by the Office of the Comptroller of the Currency. The conversion will be completed soon. Following the transition, all of Paxos Trust Company’s U.S.-based activities will be under the direct supervision of the OCC.
Paxos is a blockchain infrastructure provider for institutions. The new status will place the company under a single federal regulator and eliminate the need for state-by-state oversight. This structure allows Paxos to provide digital asset services to all 50 states within one regulatory framework.
Federally regulated platforms allow businesses to issue, store, trade, and settle digital assets under consistent rules. The OCC Trust Charter also applies to stablecoins issued by Paxos. PYUSD, the US dollar-backed stablecoin issued by Paxos, will operate under federal oversight and is expected to be compliant with the upcoming GENIUS Act. PAXG, a gold-backed digital asset, will continue to be issued within the same federal framework.
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