Paxos Gains Approval for Stablecoin Issuance and Digital Asset Services in Abu Dhabi
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Modified on: Thu, 30 Nov, 2023 at 12:08 AM
Crypto firm Paxos has received in-principle approval from Abu Dhabi’s Financial Services Regulatory Authority (FSRA) to issue United States dollar-backed stablecoins and provide crypto-brokerage and custody services. The approval aligns with Paxos’ international growth strategy through regulated frameworks. Following a similar move in Singapore, the company plans to launch a U.S. dollar-backed stablecoin through its local entity. Paxos emphasizes transparency in its stablecoin reserves and aims to serve as a trusted, innovative partner for global enterprises.
Crypto firm Paxos has secured in-principle approval from Abu Dhabi’s Financial Services Regulatory Authority (FSRA) to issue United States dollar-backed stablecoins and provide crypto-brokerage and custody services in the emirate. The approval reflects Paxos’ commitment to international growth through regulated frameworks, following a similar move in Singapore where its local entity is set to launch a U.S. dollar-backed stablecoin. Paxos plans to expand the use of its stablecoins upon full approval, emphasizing transparency in its reserves. The company aims to serve as a trusted and innovative partner for global enterprises.
Key Points:
Paxos has received in-principle approval from Abu Dhabi’s Financial Services Regulatory Authority (FSRA) to issue United States dollar-backed stablecoins.
The approval also covers the provision of crypto-brokerage and custody services in the emirate.
Paxos emphasizes its commitment to international growth through regulated frameworks, following a similar move in Singapore.
The company plans to launch a U.S. dollar-backed stablecoin through its local entity in Singapore.
Paxos aims to expand the use of its stablecoins upon receiving full approval, positioning itself as a trusted and innovative partner for global enterprises.
Paxos views the in-principle approval from the FSRA as a significant step in pursuing its international growth strategy. The company has also obtained similar approval from the Monetary Authority of Singapore, reinforcing its commitment to regulatory compliance and transparency. Paxos plans to leverage its regulatory licensing to serve as a trusted partner for global enterprises seeking stable, safe, and reliable digital asset solutions.
The approval aligns with Paxos’ strategy to expand the use of its stablecoins, reinforcing their stability, safety, and reliability. The company's emphasis on transparency in its stablecoin reserves is in line with industry best practices, providing assurance to users and regulatory authorities. Paxos previously collaborated with PayPal to launch the PYUSD stablecoin in August, further establishing its presence in the stablecoin market.
The move to launch a U.S. dollar-backed stablecoin in Singapore and gain approval for stablecoin issuance and digital asset services in Abu Dhabi positions Paxos as a key player in the growing global stablecoin ecosystem. As regulatory authorities worldwide focus on establishing frameworks for digital assets, Paxos’ commitment to compliance and innovation positions it for continued success in the evolving cryptocurrency landscape.
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