BlocksInform
Blockchain paxos infrastructure platform will end the issuance of new buses () stablecoins as part of the ongoing probe by New York regulatory agencies.
Paxos officially announced on Feb. 13 that the company will terminate its relationship with the binary for the mark dollar-pegged stablecoin busd.
As of February 21, paxos will cease hitting new bus tokens, as directed and coordinated with the New York Ministry of Financial Services (NY DFNY).
Paxos noted that all existing BUSD chips will continue to be fully guaranteed and repayable through Paxos Trust Company through "at least February 2024." Clients can redeem their funds in USD and convert their BUSD tokens into another stablecoin issued by Paxos, Pax Dollar (USDP), the company said, adding:
"This does not impact our ability to continue to serve our new or existing clients or our continued commitment to grow our people or finance our business goals. Paxos remains committed to becoming the global leader in the blockchain tokenization infrastructure [...]”
Paxos also noted that Paxos Trust is a regulated institution overseen by the NYDFS and audited by a top-four accounting firm, referring to public transparency reports. The company will continue to keep its regulatory capital strong to operate usdp as well as its gold supported stablecoin pax or (paxg).
This is an evolving story, and more details will be added as they become available.
