Paxos, a blockchain and tokenization platform, has applied to the U.S. Office of the Comptroller of the Currency (OCC) to transform its current New York trust charter into a national one.
Paxos Application for National Trust Charter
Paxos has filed an application to convert its trust charter issued by the New York Department of Financial Services (NYDFS) into a national trust charter. This move is aimed at broadening federal regulation and global compliance.
Goals and Benefits of the New Charter
The national trust charter would directly subject Paxos to OCC regulation, complementing its current oversight by the Finnish Financial Supervisory Authority (FIN-FSA), the Monetary Authority of Singapore (MAS), and the Abu Dhabi Financial Services Regulatory Authority (FSRA). This will enhance Paxos's ability to provide blockchain-based financial infrastructure globally.
History and Competition in Digital Assets
Founded in 2015, Paxos was the first to receive a trust charter from NYDFS. In 2018, it launched the first regulated stablecoin, establishing a standard for transparency and compliance in the digital assets market. Other companies like Circle and Ripple are also seeking such charters, while only Anchorage Digital currently holds a national charter among U.S.-based digital asset platforms.
Paxos aims to leverage this step to expand its global footprint while maintaining its focus on security, transparency, and compliance.
