Paxos Trust Company is a financial and technology firm specializing in blockchain technology. Founded in 2012, Paxos offers services like asset tokenization, brokerage, and settlements.
Just a few days ago, the national bank regulator announced that it had granted the firm to bring a new entity online as federally regulated. This new feature will offer stablecoin management, exchange, payments, and many more services.
The approval makes Paxos the third crypto-native company to earn a provisional trust charter from the Office of the Comptroller of the Currency (OCC) along with Protego and Anchorage. This gives the possibility to crypto exchanges to operate in all the United States and state-level licenses won’t be required anymore.
“The OCC is approving our business plan. It’s deeming the activities that we have identified in the business plan to be those that can be carried out by a national trust, that we have the right team in place and the right controls and plan in place to control our risk and to operate as a national trust company.”Dan Burstein, Paxos General Counsel
The company will be given 18 months to confirm OCC it can operate safely and reliably. When this stage ends, it will be decided if Paxos will earn a final charter.
After closing a $300 million Series D round of funding, Paxos got a $2.4 billion valuation.
“Demand for our enterprise solutions has accelerated much faster than we could have anticipated. It validates our approach to providing solutions to re-platform the financial system and create the digital economy of the future.”
Paxos has big names on its clients’ list like PayPal, Venmo, Societe Generale, Credit Suisse, StoneX, and Revolut.