Paxos has successfully obtained the green light from the Monetary Authority of Singapore (MAS) to provide services related to digital payment tokens, marking a significant step in establishing Singapore as a pivotal hub for Paxos’s international stablecoin ventures. The endorsement enables the creation of stablecoins in line with the impending regulatory guidelines set by MAS.
**DBS Bank Steps Up as Principal Banking Ally Following Paxos’s Endorsement by MAS**
In a significant development for the blockchain sector, Paxos, a company specializing in blockchain infrastructure and tokenization, has received the nod as a Major Payments Institution in Singapore. This certification empowers Paxos Digital Singapore to issue stablecoins lawfully, in accordance with the soon-to-be-released stablecoin regulatory standards by MAS. Paxos has expressed that this achievement underscores the strategic importance of Singapore, complementing its operations in the United States and the United Arab Emirates, where it enjoys comparable regulatory sanctions.
DBS Bank, recognized as Southeast Asia’s premier banking institution, has been designated as the chief banking associate for Paxos. Entrusted with the responsibilities of cash management and safeguarding the reserves of stablecoins, DBS Bank is set to play a crucial role. Evy Theunis, who leads the digital assets division at DBS Bank, remarked, “We are thrilled to facilitate Paxos’s expansion in Singapore. Our conviction is strong that trust and robust security are the cornerstones for the broader acceptance of stablecoins.”
This announcement comes on the heels of Paxos International’s unveiling of its novel interest-accruing stablecoin, the lift dollar (USDL). In addition to this, Paxos is the issuer behind PayPal’s stablecoin PYUSD, its Ethereum-based counterpart paxos dollar (USDP), and the gold-pegged token PAXG. While Paxos previously issued the binance dollar (BUSD), it has halted the production of new BUSD tokens. Moreover, reports from mid-June indicated that Paxos had reduced its workforce by 65 employees.
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