Paxos Gets Green Signal To Issue Stablecoins in Abu Dhabi

CS Web Team
By CS Web Team 2 Min Read

After Singapore, Paxos received approvals to issue stablecoins in the Abu Dhabi Global Market (ADGM).

Highlights
  • Paxos granted in-principle approvals by FSRA for issuing stablecoins in the Abu Dhabi Global Market.
  • The approval comes on the heels of Paxos receiving same approval from Singapore for providing tokenization, custody, and trade services.

The Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM) has granted Paxos in-principle approvals (IPAs), marking a significant milestone for the company. With the use of these licenses, Paxos is allowed to offer custody and crypto-brokerage services, as well as create US dollars and other stablecoins backed by cash.

The IPAs place Paxos at the forefront of the financial services and commerce democratization movement by reaffirming the company’s commitment to regulatory compliance and proactive cooperation with regulatory organizations. In the ADGM, Paxos will operate under the broad regulatory framework of FSRA, providing custody and digital asset solutions.

Paxos’ Head of Strategy, Walter Hessert, emphasized the company’s use of blockchain technology to transform the global financial system. The permits from the Monetary Authority of Singapore and the FSRA show Paxos’s dedication to growing abroad within regulated frameworks.

In keeping with its goal of building a more accessible and equitable financial future, Paxos guarantees that all of its stablecoins are fully backed by US dollars and currency equivalents. By providing holders with accurate information about their assets through reserve reports and regular attestations, the company demonstrates its commitment to openness. Innovating digital assets and dedicated to making the financial system accessible to a wider global audience, Paxos is at the forefront of the industry.

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