Paxos

Paxos is a New York-based fintech company offering blockchain-based asset custody, settlement, and stablecoin issuance services. It issues regulated stablecoins such as Pax Dollar (USDP) and PayPal USD (PYUSD).

Paxos began in 2012 when Charles Cascarilla and Rich Teo founded the itBit bitcoin exchange. The business initially focused on digital-asset trading, but its development was shaped by an effort to operate within formal financial-regulatory structures. In 2015, itBit changed its legal name to Paxos Trust Company, and the New York State Department of Financial Services granted the company a limited-purpose trust charter. The charter enabled Paxos to act as a regulated custodian and exchange for digital assets in the United States. Its itBit operation became the first bitcoin exchange licensed by the New York regulator. The company then broadened its scope from exchange activity to institutional blockchain infrastructure. A $65 million financing round in 2018 supported expansion, and in September of that year Paxos launched Paxos Standard, one of the early stablecoins marketed as regulated and backed by U.S. dollar assets. Paxos Standard was later renamed Pax Dollar, or USDP. In 2019, Paxos introduced PAX Gold, a token backed by physical gold, giving the company an additional asset-backed token product beyond cryptocurrencies and dollar stablecoins. Paxos also pursued blockchain applications in traditional capital markets. In October 2019, the Securities and Exchange Commission issued a no-action letter allowing the company to pilot a blockchain-based settlement service for U.S. equities. Paxos launched that service in February 2020. The initiative reflected the company's broader thesis that distributed-ledger systems could reduce friction in clearing and settlement while operating through regulated financial entities. In 2020, Paxos launched a crypto brokerage service for enterprise clients. The offering allowed financial and fintech companies to provide cryptocurrency buying and selling without building the entire trading, custody, compliance, and technological stack themselves. Revolut was reported as the first brokerage client. Later that year, PayPal announced a partnership with Paxos to support cryptocurrency services for PayPal users, giving Paxos a major distribution relationship in consumer payments. Paxos continued developing partner-based distribution. In 2022, OANDA collaborated with Paxos on a crypto-trading ecosystem, and OANDA subsequently enabled U.S. customers to trade cryptocurrencies through the itBit exchange from its mobile application. In 2023, Paxos began issuing PayPal USD, or PYUSD, for PayPal. The stablecoin was initially issued on Ethereum and was described as backed by dollar deposits, short-term U.S. Treasury securities, and comparable cash equivalents, with redemption intended at a one-to-one rate. PayPal later expanded PYUSD to Solana in 2024. Paxos's later strategy emphasized institutional adoption of on-chain finance. In 2025, it launched Paxos Labs to help institutions integrate decentralized-finance and other blockchain-based products. The company was also reported to have acquired Fordefi, a provider of multi-party-computation wallet and custody technology, for an undisclosed sum. In December 2025, the OCC conditionally approved Paxos's application to convert its state trust charter into a national trust bank charter, subject to regulatory requirements. Paxos remains a private company headquartered in New York City, with offices in London and Singapore reported in reference material. Its business now spans digital-asset brokerage, custody, exchange infrastructure, token issuance, payment-related stablecoins, gold-backed tokens, and blockchain settlement technology. The company's distinguishing strategy is to combine blockchain products with trust-company regulation and enterprise partnerships rather than rely solely on direct-to-consumer cryptocurrency services.

• 2025

  Paxos Labs launched

  [1]Paxosen.wikipedia.org

  Paxos created an internal venture focused on institutional decentralized-finance and on-chain integrations.

• 2025

  Fordefi acquisition reported

  [1]Paxosen.wikipedia.org

  Paxos was reported to have acquired Fordefi's multi-party-computation wallet and custody technology business.

• 2023

  PayPal USD issuance begins

  [1]Paxosen.wikipedia.org

  Paxos began issuing PYUSD for PayPal on Ethereum.

• 2020

  Equity settlement pilot launched

  [1]Paxosen.wikipedia.org

  Paxos launched its blockchain-based settlement service for U.S. equities.

• 2020

  Crypto brokerage launched

  [1]Paxosen.wikipedia.org

  Paxos introduced brokerage infrastructure for enterprise clients, with Revolut reported as its first client.

• 2019

  PAX Gold launched

  [1]Paxosen.wikipedia.org

  The company introduced a digital token backed by physical gold held in custody.

• 2019

  SEC no-action letter

  [1]Paxosen.wikipedia.org

  The SEC issued a no-action letter for Paxos's proposed blockchain-based U.S. equity settlement pilot.

• 2018

  Paxos Standard introduced

  [1]Paxosen.wikipedia.org

  Paxos launched a regulated U.S. dollar-backed stablecoin, later renamed Pax Dollar or USDP.

• 2015

  Name changed to Paxos Trust Company

  [1]Paxosen.wikipedia.org

  The company adopted the Paxos Trust Company name and received a limited-purpose trust charter from the New York State Department of Financial Services.

• 2012

  itBit exchange founded

  [1]Paxosen.wikipedia.org

  Charles Cascarilla and Rich Teo founded the business as the itBit bitcoin exchange.

A regulated, enterprise-focused blockchain and digital-asset infrastructure provider emphasizing compliance, custody, token issuance, settlement, and institutional distribution.

• Digital-asset exchange · 2012

  itBit

  itBit is Paxos's digital-asset exchange operation. It provides cryptocurrency trading and related custody functions for eligible customers and has also served as exchange infrastructure for institutional and platform partners. The exchange was initially the company's founding business and was licensed by the New York State Department of Financial Services.

• Institutional fintech infrastructure · 2020

  Crypto brokerage

  Paxos's crypto brokerage enables financial and technology companies to offer cryptocurrency buying and selling within their own products. Paxos supplies much of the underlying trading, custody, regulatory, and operational infrastructure, allowing partners to concentrate on customer relationships and distribution.

• U.S. dollar-backed stablecoin · 2018

  Pax Dollar (USDP)

  Pax Dollar, formerly Paxos Standard, is a stablecoin designed to track the U.S. dollar at a one-to-one value. Paxos introduced it as a regulated digital representation of dollars supported by reserve assets. It is intended for payments, trading, settlement, and other blockchain-based financial uses.

• Gold-backed digital asset · 2019

  PAX Gold (PAXG)

  PAX Gold is a digital asset backed by physical gold. Paxos serves as custodian for the tokens and the corresponding gold bars. The product combines blockchain transferability with exposure to allocated physical gold rather than relying solely on a fiat currency reserve.

• Payment stablecoin · 2023

  PayPal USD (PYUSD)

  PayPal USD is a U.S. dollar-denominated stablecoin issued by Paxos for PayPal. It launched on Ethereum in 2023 and was later made available on Solana. PayPal has described the token as supported by dollar deposits, short-term U.S. Treasury securities, and similar cash equivalents, with intended one-to-one redemption for U.S. dollars.

• 2022OANDA crypto trading integration

  United States

  Paxos and OANDA developed a crypto-trading arrangement allowing OANDA customers to access cryptocurrency trading through Paxos's itBit exchange.

  Outcome. OANDA launched the functionality in its mobile application for U.S.-based customers.

  Source
• 2020PayPal cryptocurrency partnership

  United States

  Paxos partnered with PayPal to provide infrastructure for cryptocurrency buying, holding, and selling within PayPal's customer offering.

  Outcome. The relationship expanded Paxos's reach through a major payments platform and later led to Paxos issuing PayPal USD.

  Source

• 2025

  Create Paxos LabsStrategy

  Background

  Institutional customers were showing increased interest in decentralized finance and on-chain financial products.

  Action taken

  Paxos launched Paxos Labs as an incubated startup focused on helping institutions integrate DeFi and on-chain products.

  Aftermath

  The initiative extended Paxos's strategy from stablecoin and custody infrastructure toward broader institutional blockchain applications.

  Source

• 2025

  Acquire FordefiM&A

  Background

  Paxos sought additional institutional wallet and custody capabilities.

  Action taken

  The company was reported to have acquired Fordefi, a multi-party-computation digital-wallet and custody technology startup.

  Aftermath

  The reported transaction would broaden Paxos's custody technology portfolio; the purchase price was not disclosed.

  Source

• 2023

  Issue PayPal USDProduct launch

  Background

  PayPal sought a dollar-denominated digital asset for payments and other blockchain-related uses.

  Action taken

  Paxos began issuing PYUSD for PayPal on Ethereum and subsequently supported its availability on Solana.

  Aftermath

  The launch made Paxos a key infrastructure and issuance partner for a globally recognized payments brand.

  Source

• 2020

  Expand into embedded crypto brokerageStrategy

  Background

  Financial platforms increasingly wanted to offer cryptocurrency without building exchange and custody infrastructure internally.

  Action taken

  Paxos launched a brokerage service for enterprise clients and supplied the underlying trading and regulatory technology.

  Aftermath

  The business model positioned Paxos as an infrastructure provider serving partner brands rather than only as a direct exchange.

  Source

• 2018

  Launch a regulated dollar stablecoinProduct launch

  Background

  Paxos expanded from exchange services into blockchain-based representations of traditional financial assets.

  Action taken

  It launched Paxos Standard, later renamed Pax Dollar or USDP.

  Aftermath

  Stablecoin issuance became a major component of Paxos's institutional blockchain strategy.

  Source

• 2015

  Adopt a regulated trust-company structureStrategy

  Background

  The company sought to operate digital-asset exchange and custody services within a formal financial-regulatory framework.

  Action taken

  It changed its legal name from itBit to Paxos Trust Company and obtained a limited-purpose trust charter from the New York State Department of Financial Services.

  Aftermath

  The authorization became a foundation for Paxos's regulated exchange, custody, token issuance, and institutional infrastructure businesses.

  Source

• 2025

  Paxos launches Paxos Labs[1]Paxosen.wikipedia.org

  Product launch

  Paxos launched Paxos Labs as an internal startup intended to help institutions integrate decentralized-finance and on-chain products.

• 2025

  Paxos announces Fordefi acquisition[1]Paxosen.wikipedia.org

  M&A

  Paxos was reported to have acquired Fordefi, a New York-based provider of multi-party-computation wallet and custody technology, for an undisclosed amount.

• 2025

  OCC conditionally approves Paxos national trust bank conversion[1]Paxosen.wikipedia.org

  Regulation

  The Office of the Comptroller of the Currency conditionally approved Paxos's application to convert its state trust charter into a national trust bank charter, subject to regulatory conditions.

• 2024

  PayPal USD expands to Solana[1]Paxosen.wikipedia.org

  Product generation · Product launch

  PayPal announced that PYUSD would also be available on the Solana blockchain.

• 2023

  Paxos begins issuing PayPal USD[1]Paxosen.wikipedia.org

  Product launch

  Paxos began issuing PayPal USD, a dollar-denominated stablecoin created for PayPal and initially launched on Ethereum.

• 2022

  OANDA launches U.S. crypto trading through Paxos[1]Paxosen.wikipedia.org

  Product launch

  OANDA added cryptocurrency trading for U.S. customers through Paxos's itBit exchange and related infrastructure.

• 2020

  Paxos launches blockchain equity settlement service[1]Paxosen.wikipedia.org

  Product launch · Other

  Paxos launched the settlement pilot following the SEC's 2019 no-action letter.

• 2020

  Paxos launches crypto brokerage[1]Paxosen.wikipedia.org

  Product launch

  Paxos introduced brokerage infrastructure for companies that wanted to offer cryptocurrency trading to their own customers, with Revolut reported as the first client.

• 2020

  PayPal partners with Paxos for cryptocurrency services[1]Paxosen.wikipedia.org

  M&A · Product launch

  PayPal announced a partnership with Paxos to support cryptocurrency buying, holding, and selling for PayPal users.

• 2019

  Paxos launches PAX Gold[1]Paxosen.wikipedia.org

  Product launch

  Paxos introduced a digital token backed by physical gold held in custody.

Showing the 10 most recent.

1. 1Paxosen.wikipedia.org
2. 2Paxos official websitepaxos.com
3. 3Bank of America Partners with Paxos Trust for Instant Stock Trade Settlements - Coinspeakercoinspeaker.com
4. 4Mercado Pago launches service for buying, selling and holding cryptocurrencies in Brazilprnewswire.com
5. 5Paxos Adds Patricia Kemp And Scott Malpass To Its Board Of Directorsprnewswire.com
6. 6Paxos Confirms More than $1 Trillion in Commodities Trades through Post-Trade Service; Launches Settlement Affirmations Serviceprnewswire.com
7. 7Paxos Introduces Paxos Crypto Brokerage Service to Power Digital Asset Buying and Selling in Any Productprnewswire.com
8. 8Revolut partners with Paxos to bring cryptocurrency trading to the US | TechCrunchtechcrunch.com
9. 9SIBEX Announces New Partnership With Paxos | Crowdfund Insidercrowdfundinsider.com