"Paxos" TAG

Considering the Emergent Use Cases of Stablecoins
  • research
With the growing issuance and use of stablecoins, there has been increased attention within the industry on the exact application that such tokens are finding. Smith + Crown has previously commented on the use of Tether (USDT), USD Coin (USDC), and Dai (DAI). In this weekend’s dispatch, we turn to Ethereum-based Tether (USDT) specifically, as well...
Understanding the Paxos Gold Stablecoin
  • research
Key Takeaways PAXG represents the latest, and perhaps most appealing of an extended history of efforts to create digital gold products. The typical economic structures of stablecoins, where interest on deposited funds provide the operating margins for stablecoin promoters, are upended in the context of a physical commodity requiring the payment of storage fees. This...
  • research
Paxos is a USD-collateralized ERC-20 stablecoin with monthly reserve audits, operated by the itBit exchange with approval from the New York Division of Financial Services (NYDFS) and the BitLicense. Overview Asset-backed stablecoins typically introduce some degree of counterparty risk—issuers vary in their practices of disclosing and evidencing the actual balance of stablecoins issued to assets...