NEW YORK – February 17, 2023 – Paxos, the leading regulated blockchain and tokenization infrastructure platform, commented on the Securities and Exchange Commission’s (SEC) proposed rules changing custody requirements for digital assets firms. Paxos stated:
Paxos commends the Securities and Exchange Commission’s stated intention to recognize state trust charters under their proposed ‘qualified custodian’ rule. Paxos has always prioritized its obligation to safely custody customer assets, which is why we sought and received the first New York State Department of Financial Services trust charter for digital assets in 2015. Paxos has a long history of productively engaging with regulators and working cooperatively with the SEC, including on our successful pilot program to demonstrate the ability to reduce securities settlement times on the blockchain from three days to one. We look forward to continuing our work with the SEC to make the custody and settlement of all securities safer, more transparent, and more efficient.
To learn more about Paxos’ commitment to transparency and regulation, visit our website.
Paxos is the leading regulated blockchain infrastructure platform. Its products are the foundation for a new, open financial system that can operate faster and more efficiently. Today, trillions of dollars are locked in inefficient, outdated financial plumbing that is inaccessible to millions of people. Paxos is replatforming the financial system to enable assets to instantaneously move anywhere in the world, at any time, in a trustworthy way.
Paxos uses technology to tokenize, custody, trade and settle assets. It builds enterprise blockchain solutions for institutions like 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.