Paxos’ Post

Stablecoins continue to reshape digital finance, offering speed, cost savings, and continuous accessibility. Their initial value proposition lies in cost savings with lower transaction fees, typically between 0.5% and 3%, which are substantially lower than traditional settlement networks such as Swift. Tether.io's USDT remains the dominant player, capturing about 75% of the stablecoin market and reporting substantial profits, including $1 billion in operating profits in Q1 2024 alone. Now, the Global Dollar Network’s USDG is entering this field, and is looking to capture some of that market share. With DBS Bank managing its reserves, USDG is positioning itself as a highly stable and compliant option for institutional users. For institutions, a compliant stablecoin with 24/7 availability gives them the ability to trade and manage liquidity across markets and time zones without waiting for normal banking hours. Bringing new opportunities to expand global operations, from trading to treasury management. We can expect the demand for stablecoin solutions to continue to grow, and this battle field is definitely one to key an eye out for.

CoinDCX's Bharat Custody: A Step Towards Greater Crypto Regulation and Adoption in India? 🇮🇳 The Indian cryptocurrency landscape is evolving rapidly, and CoinDCX's recent announcement of Bharat Custody, a central depository for crypto assets, signals a significant move towards greater regulatory clarity and mainstream adoption. This initiative aims to mirror the structure of #NSDL in the #equity markets, enhancing investor trust and potentially paving the way for broader institutional participation. Here's a closer look at the implications: 1. A centralized depository like Bharat Custody offers improved security for crypto assets, reducing the risk of theft or loss associated with individual #wallets. The increased transparency could also attract institutional investors hesitant to enter the market due to security concerns. 2. Regulatory Compliance: By creating a structured system, #CoinDCX is seemingly aligning with the government's efforts to regulate the crypto space. This proactive approach could facilitate smoother interaction between crypto businesses and regulators, potentially leading to a more favorable regulatory environment. 3. Increased Institutional Participation: The improved security and transparency offered by Bharat Custody could entice institutional investors, such as mutual funds and hedge funds, to allocate a portion of their portfolios to cryptocurrencies. This influx of capital could boost market #liquidity and stability. 4. Boosting India's Crypto Ecosystem: India has a large and growing population of crypto users. Bharat Custody's establishment could significantly improve the user experience, potentially leading to faster adoption rates and cementing India's position as a global crypto hub. 5. Global Implications: While focused on India, the success of Bharat Custody could serve as a model for other countries grappling with the regulation and adoption of #cryptocurrencies. This could inspire similar initiatives worldwide, fostering greater standardization and interoperability within the global crypto market. Actionable Recommendations: Regulators should collaborate with platforms like CoinDCX to ensure Bharat Custody adheres to robust security and compliance standards. CoinDCX should focus on educating users and investors about the benefits and security features of Bharat Custody. The Indian government should continue working towards creating a comprehensive regulatory framework that fosters innovation while mitigating risks. What are your thoughts on the impact of Bharat Custody on the future of crypto in India and globally? Let's discuss! #CryptoIndia #BharatCustody #CryptoRegulation #IndiaTech #Fintech #Blockchain Link to Article - https://lnkd.in/gCt9nuxf

Quantoz Launches EURQ and USDQ Stablecoins Amid Europe’s Regulatory Shift The stablecoin space is heating up with Netherlands-based Quantoz introducing EURQ and USDQ, Ethereum-based stablecoins designed to align with the EU’s stringent MiCA regulations. Supported by fiat reserves and highly liquid financial instruments, these stablecoins aim to carve a niche in corporate payments, cross-border finance, and consumer ecosystems. Key Highlights: 🔸 Backed 1:1 by fiat and government bonds, EURQ and USDQ emphasize transparency and compliance. 🔸 Listed on major exchanges like Bitfinex and Kraken, both investors in Quantoz. 🔸 Leveraging Tether’s Hadron platform, ensuring robust tokenization infrastructure. 🔸 Builds on Quantoz’s regulated digital euro (EURD), launched in 2023 on Algorand, targeting corporate treasury operations. With MiCA regulations setting the gold standard for stablecoin compliance, issuers are being pushed to adopt tighter safeguards. Quantoz is an example of how regulatory alignment can create opportunities for innovation in cross-border payments and beyond. Will this regulatory-first approach make European stablecoins a global force? Share your thoughts! #Stablecoins #Regulation #CryptoAssets #DigitalPayments #MiCA #BlockchainInnovation

Setting the example and moving our treasury reserves on-chain, starting with this tokenised Fidelity MMF, tokenised by Sygnum, on zkSync ERA

Bringing the world’s largest institutions onchain is a critical next step toward replatforming the world’s systems and assets to a blockchain-based format. A quick recap of how the Chainlink platform is helping to realize this vision: • DTCC—World’s largest securities settlement system, processing $2+ quadrillion annually In a new Smart NAV industry pilot DTCC, Chainlink, and 10 of the world’s largest financial institutions delivered key mutual fund data onchain, demonstrating how Chainlink CCIP can serve as an abstraction layer between "DTCC and the potentially infinite number of blockchains." https://lnkd.in/gcSZZhy8 • Swift—Standard messaging network for 11K+ banks Alongside 12+ leading institutions, including DTCC, Euroclear, Clearstream, ANZ, Citi, BNY Mellon, BNP Paribas, Lloyds Banking Group, and SDX, Swift and Chainlink demonstrated a secure and scalable way to transfer tokenized assets cross-chain using CCIP. https://lnkd.in/gkN-eiwQ • ANZ Bank—Leading Australian bank with $1T+ in AUM Showcasing how Australia and New Zealand Banking Group Limited (ANZ Bank) can provide clients with the ability to trade and settle tokenized assets across public and private blockchains, ANZ Bank demonstrated a cross-chain, cross-border, and cross-currency tokenized asset purchase using CCIP. https://lnkd.in/g2jE9yVw • Arta TechFin—Leading financial institution in Hong Kong Arta TechFin and Chainlink Labs have formed a strategic partnership to expand fund tokenization efforts to include real estate tokenization, stablecoin issuance, and more. https://lnkd.in/eYfs9dVa • Vodafone DAB—Economy of Things for global trade Vodafone is exploring how CCIP can connect IoT devices across its global trade platform, and also joined the Chainlink Network as a node operator. https://lnkd.in/eHmTWRZK • 21Shares, ARK Invest—Launched the ARK 21Shares Bitcoin ETF Crypto ETF issuer 21shares is using Chainlink Proof of Reserve on Ethereum to increase the transparency of the ARK 21Shares Bitcoin ETF’s reserves with ARK Invest. https://lnkd.in/gru-_Ni3 • Paxos, PayPal—Paxos’ Web3 platform is used by global enterprises like PayPal Paxos adopted Chainlink’s PayPal USD Price Feed on Ethereum to bring secure price data around its programmable PYUSD stablecoin, helping drive RWA adoption. https://lnkd.in/efEmmwPe

With industry leaders predicting the stablecoin market cap will grow from $165bn to $1 trillion in the next few years, stablecoin payment volumes could easily reach $15 trillion by 2030. At BVNK, we already process billions of stablecoin payments a year. They enable our customers to grow globally, act nimbly and access their funds quickly. In this new report, we bring together some of our own experiences, with the perspective of industry leaders like Visa, Chainalysis, Circle and analysis from the Centre for Economics and Business Research on the broader market impact of stablecoins. Get the full report here:  https://bit.ly/3A5Ijtt #bvnk #stablecoins #payments

The financial industry is experiencing a significant convergence between traditional firms and cryptocurrency platforms, driven by evolving consumer demands. Key developments highlighting this trend include: Revolut's UK Trading License: Recently granted by the Financial Conduct Authority (FCA), this license allows Revolut to operate as an authorized investment firm. It enables the app to introduce new trading products, including UK and EU stocks and ETFs, building on its previous offerings of US share trading since 2019. Crypto.com's Expansion into Equity Trading: Crypto.com has obtained a license in Australia to offer equity trading, diversifying its services beyond cryptocurrencies. This move positions Crypto.com as a comprehensive financial service provider, aiming to attract both traditional investors and crypto enthusiasts. Robinhood's Acquisition of Bitstamp: In a strategic shift towards digital assets, Robinhood has acquired Bitstamp, enhancing its entry into the crypto space. This acquisition allows Robinhood to offer digital asset trading alongside its existing stock trading services. Goldman Sachs' Spin-Off Plans: Goldman Sachs plans to spin off its digital platform business, reflecting the growing importance of digital assets. This strategic decision aims to focus on developing innovative solutions for clients interested in digital finance while maintaining core banking operations. OKX's Zero-Fee Transactions in Singapore: OKX has introduced instant, zero-fee SGD deposits and withdrawals through PayNow and FAST payment services. This initiative enhances accessibility for users engaging with cryptocurrency markets without incurring additional costs. In conclusion, the integration of traditional finance with cryptocurrency platforms signifies a pivotal shift in the financial landscape. Companies like Revolut, Crypto.com, Robinhood, Goldman Sachs, and OKX are broadening their service offerings to include both equities and cryptocurrencies, contributing to the normalization of digital assets within mainstream finance. This trend is expected to continue as more firms explore innovation opportunities at the intersection of these sectors.

tradias, Frankfurt-based #crypto provider and Bankhaus Scheich Wertpapierspezialist AG’s digital asset arm, has officially received a securities trading bank license from #Germany's Federal Financial Supervisory Authority (BaFin). ℹ️ 📜 Tradias can operate as an independent #securities trading bank with this new license. Previously, the firm operated as Bankhaus Scheich’s over-the-counter trading platform for #cryptocurrencies and #securitytokens, using Bankhaus Scheich’s #BaFin license. According to the bank’s press release, tradias successfully closed a Series A funding round, securing capital for further growth. However, the company did not disclose further details about its latest funding round. According to Bloomberg, several family offices have invested in Tradias, and the new capital will allow the company to expand its workforce from 90 to 100 by the end of the year. With a new securities trading bank license and a strengthened capital base, Tradias aims to drive digital asset adoption in #Europe and enhance its product offerings. Christopher Beck, Founder of tradias said "The transformation from an idea to a fully licensed bank is a testament to our team's vision and relentless drive. Securing our own licenses and completing a successful Series A funding round is a tremendous milestone for our company." Michael Reinhard, CEO of tradias added "Achieving securities trading bank status with our own licenses marks a defining moment for tradias, allowing us to open a new chapter of accelerated growth and solidify our position as a leading regulated player in the digital assets space." In February 2024, Tradias tokenized the “first” money market fund on the #Polygon #blockchain, the Allianz Securicash SRI Fund. Tradias is the #crypto partner of neobroker Trade Republic, Deutsche WertpapierService Bank AG, and T-Systems International . Several German states, such as Hesse, also sell their cryptocurrency holdings through the bank. #AltBanking The leading aggregator, bringing the best actionable news, information and opportunities in this rapidly evolving ecosystem right to you. Share and Follow us to stay up-to-date! #finance #fintech #banking #innovation #digitalassets #Web3 #investment #tokenisation #DeFi #TradFi #digitalfinance #blockchain #tokenization #RWA #Money #Market #Fund https://lnkd.in/e7_Bvfsz

Société Générale FORGE will be working with Bitpanda to increase the adoption and accessibility of regulated stablecoins. FORGE issued the EURCV as a credit institution, simplifying its stablecoin issuance process. In fact, SG FORGE is the second company to announce compliance with MiCA after June 30, 2024, following Circle. From the perspective of stablecoin issuers, especially for companies that have not obtained an e-money issuer (EMI) license, MiCA adds an extra layer of complexity, both administratively and financially. While MiCA enhances security for European investors, this regulation penalizes smaller non-banking entities that wish to comply. The lack of proportionality in MiCA's regulatory requirements creates a barrier to entry for newcomers to the market, as becoming a credit institution or an e-money issuer and complying with MiCA simultaneously presents a complex, lengthy, and costly process. Issuers already licensed as EMIs or credit institutions enjoy a significant advantage. Circle, one of the largest players in the market, was also one of the first to take steps to be ready by June 30, 2024, in order to bolster USDC’s market position as competition with rival issuers like Tether and Binance heats up. Circle belongs to the category of large ecosystem players and can therefore allocate more resources to these regulatory processes than smaller entities. Young French or European companies do not have the same resources. However, those that do not make this effort will be penalized by a reduction in the volumes of their non-MiCA-labeled stablecoins, potentially forcing them to cease issuance altogether. This risk is even greater as competition from the United States is set to increase. The desire to clarify the regulation of cryptocurrencies and AI seems to be growing, not only from American regulatory authorities but also within the political sphere, as shown by the recent stance taken by the candidate, Ms. Kamala Harris. #regulation #MICA #stablecoins #EME #USDC #EURC #EURCV #circle #SGforge #TETHER #BINANCE #AI #BITPANDA #crypto https://lnkd.in/g937ZyfR

As the financial landscape evolves, we are witnessing a significant shift. It's great to see that the bridge between the two worlds of #traditionalfinance and #crypto is getting stronger. Many thanks to everybody involved in this project: Sygnum Bank & Matter Labs and our colleagues from Fidelity International. #fidelityinternational #assetmanagement #blockchain #crypto Marketing Communication - For professional investors only - Capital at risk