What is Pax Dollar ?
Paxos Standard (PAX) is a stable cryptocurrency built on top of the Ethereum (ETH) network. It is linked to the US dollar, which is why it is referred to as a stable coin. Additionally, it is referred to as the digital dollar. The founders of Paxos Standard stable coin created the coin intending to change the financial environment through its ability to conduct fast, flexible, and seamless transactions.
Paxos LLC, previously iBit, was formed in 2012 by three partners:
- Charles Cascarilla (who serves as Paxos’s overall CEO).
- Andrew Chang (who serves as Paxos’s Chief Operating Officer).
- Richmond Two (CEO of Paxos Asia).
- The firm is headquartered in two locations: New York and Singapore. The Paxos team launched the Paxos Standard (PAX) stable coin in September 2018.
Primary features of Pax Dollar
- Price stability: Price stability is ensured through the use of the US dollar as the reserve currency.
- Regulation and security: Paxos Standard Coin is governed by the New York State Department of Financial Services (NYDFS), which oversees the digital asset. Account audits are performed regularly under the supervision of Withum, a US-based auditing firm.
- Easy access to funds: Transactions, such as purchasing or redeeming, are completed regularly, allowing for greater ease and more efficient cash transfer.
- Transactional charges: There are no transactional fees.
Pros & Cons of Pax Dollar coin
PROS
- Its foundation on Ethereum’s makes it more easy, transparent, efficient, and secure.
- Its liquidity is high as its users can access it on major exchanges.
- Periodic audits make their working transparent.
- The New York Department of Financial Services regulates Paxos Standard.
- Funds of customers are held by FDIC-insured banks situated in the United States.
CONS
- Centralization increases the likelihood of censorship or seizure by authorities in the event of alleged malpractices or violations of terms and conditions.
- Reduced privacy, as the majority of exchange platforms, require KYC information to conduct big transactions. The same is true when redeeming or purchasing Paxos Standard in fiat.
History of Paxos Standard (PAX)
Founded in September 2018, Paxos Standard (PAX) is a fiat-collateralized stablecoin backed by USD in accounts held by the company at the U.S. depository institutions.
Paxos Standard was created by Paxos, a New York-regulated financial institution. Led by CEO and Co-Founder Charles Cascarilla, the Paxos team consists of individuals from various backgrounds and experiences ranging from Wall Street to Silicon Valley. There is no fee for PAX conversion or transactions.
Announced publicly on September 10th, 2018, Paxos and Gemini are the first virtual currency companies to be granted Trust charter by the NYDFS (New York State Department of Financial Services). With the charter, Paxos can offer regulated services with crypto-assets and virtual commodities.
Paxos Standard was built to improve the larger financial ecosystem by creating a frictionless global network where digital assets can be mobilized with significantly increased speed, flexibility, and accessibility. It officially began trading on September 27th, 2018. Paxos’ goal is to create a future where digital assets, commodities, and securities can be transferred anywhere at any time.
How to use Pax Dollar coins?
Alternative to traditional currencies: The PAX Stablecoin can be used as a complement to conventional cryptocurrencies.
- Storing value: PAX Coin is a borderless digital asset that anybody may transfer and keep for the purpose of storing value or wealth.
- Payment method: Paxos may also be used as a payment method for digital assets and cryptocurrencies based on the blockchain. The majority of businesses that accept cryptocurrency as a form of payment are open to PAX.
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Cryptocurrency