Paxos, a blockchain and digital asset solutions provider, has launched a new US dollar-backed stablecoin called Global Dollar (USDG).
The stablecoin is issued by Paxos Digital Singapore, which is regulated by the Monetary Authority of Singapore (MAS), and is designed to meet the regulator’s upcoming stablecoin framework.
Paxos Global, an affiliate, will partner with global exchanges and platforms to distribute USDG to both individuals and institutions.
The firm highlights USDG’s safety and regulatory compliance, backed by high-quality liquid assets such as US dollar deposits, short-term US Government securities, and cash equivalents.
This backing ensures USDG maintains 1:1 parity with the US dollar and can be redeemed at all times.
Paxos is regulated by MAS, the New York Department of Financial Services (NYDFS), and the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market.
The company has partnered with DBS Bank which will manage cash reserves and custody for USDG.
USDG is the sixth digital asset issued by Paxos, joining other offerings such as PayPal USD (PYUSD), Pax Dollar (USDP), Pax Gold (PAXG), and Lift Dollar (USDL), which is issued by its affiliate Paxos International.
Paxos’ clients include PayPal, Interactive Brokers, Mastercard, Mercado Libre, and Nubank.
The smart contract for USDG can be viewed on Etherscan and GitHub.
Ronak Daya, Head of Product at Paxos, said.
“Enterprise interest in stablecoins has never been higher than it is today, but the market lacks a solution that combines regulatory compliance with real economic incentives for enterprises.
Keeping with the Paxos tradition of powering infrastructure for the world’s most important and innovative enterprises, we are thrilled to launch the Global Dollar (USDG). USDG offers a trusted solution with a top-tier banking partner in DBS that will be the catalyst to drive stablecoin innovation and enterprise adoption at a global scale.”
Featured image credit: Edited from Freepik
