Paxos, a regulated blockchain and tokenization infrastructure platform, announced it has agreed to acquire Membrane Finance, an Electronic Money Institution (EMI) based and licensed in Finland.
The acquisition is subject to “regulatory approval.” After the completion of the acquisition, Paxos will be a “fully licensed” EMI in Finland and the EU. Paxos issues trusted USD-backed stablecoins.
These digital assets are available to retail and institutional users in various markets.
This acquisition will allow Paxos to expand its globally regulated platform to serve European customers in a safe and compliant way.
Specifically, Paxos intends to make its portfolio of assets and tokenization solutions compliant with Markets in Crypto Asset (MiCA) regulations.
Walter Hessert, Head of Strategy at Paxos, commented that stablecoins offer a global solution to challenges “that countless people and companies feel when it comes to money movement and payments.”
Hessert added that stablecoins are becoming increasingly prevalent throughout the market “as more use cases emerge for everyday users.” He also noted that the Paxos platform offers the “safest, most compliant stablecoins and stablecoin infrastructure globally. With Membrane, we expect to extend our reach to EU customers looking to benefit from stablecoins.”
As covered, Paxos is the regulated blockchain infrastructure and tokenization platform.
Its products are the foundation for a new, “open financial system that can operate faster and more efficiently.”
Trillions of dollars are locked in inefficient, “outdated financial plumbing that is inaccessible to millions.”
Paxos claims that it is re-platforming the financial system to enable assets “to instantaneously move anywhere in the world, at any time, in a trustworthy way.”
Paxos partners with enterprises to “tokenize, custody, and trade assets.”
Its blockchain solutions are reportedly used by PayPal, Interactive Brokers, Mastercard, Mercado Libre and Nubank.
Paxos is licensed by the NYDFS to engage in virtual currency business activity and is the issuer of regulated digital assets “including PayPal USD (PYUSD), Pax Dollar (USDP) and Pax Gold (PAXG).”
Its affiliate company, Paxos International, issues the “yield-bearing regulated stablecoin Lift Dollar (USDL).”
Paxos Singapore is the issuer of Global Dollar (USDG), “a USD-backed stablecoin that powers the Global Dollar Network and is compliant with the MAS upcoming stablecoin framework.”
Prudentially regulated by the NYDFS in the US, the MAS in Singapore and FSRA in Abu Dhabi Global Market, Paxos is a fintech with more than $540 million raised from investors “including Oak HC/FT, Declaration Partners, Founders Fund, Mithril Capital and PayPal Ventures.”
