# Paxos Trust Company

Paxos Trust Company is a New York–based financial institution and technology company specializing in blockchain. The company's product offerings include a cryptocurrency brokerage service, asset tokenization services, and settlement services. ItBit, a bitcoin exchange run by Paxos, was the first bitcoin exchange to be licensed by the New York State Department of Financial Services, granting the company the ability to be the custodian and exchange for customers in the United States.
Paxos was founded in 2012 and is based in New York City, with offices in London and Singapore. As of April 2021, the company has received $540 million in funding.

## History

Charles Cascarilla and Rich Teo founded Paxos in 2012 as the itBit Bitcoin exchange. In 2015, the company changed its legal name from itBit to Paxos Trust Company. At the same time, the New York State Department of Financial Services granted Paxos a limited-purpose trust charter, making it the first company in the U.S. approved and regulated to offer crypto products and services.
The company received $65 million in a funding round in May 2018. In September 2018, Paxos launched the Paxos Standard stablecoin as one of the industry’s first regulated stablecoins. Paxos introduced PAX Gold, the first regulated gold-backed digital token, in September 2019.
In October 2019, Paxos received a no-action letter from the U.S. Securities and Exchange Commission (SEC) to test a new settlement service for U.S.-listed equities on a private blockchain. The service went live in February 2020. In July 2020, Paxos launched its crypto brokerage with Revolut as the first client.
In October 2020, PayPal announced that it would offer cryptocurrency buy, hold and sell services to its users through a partnership with Paxos.
In September 2022, Canada-based multi-asset retail financial trading services provider OANDA Global Corporation (OANDA) collaborated with Paxos to develop a crypto trading ecosystem. On 20 October 2022, OANDA launched crypto trading function to its forex trading platform in partnership with Paxos. The partnership will allow the U.S.-based clients of OANDA to trade cryptocurrencies on Paxos’ itBit exchange from the OANDA mobile app.

## Products
### Crypto brokerage

Paxos provides a crypto brokerage so clients can give their customers access to the cryptocurrency market. The company manages the regulatory and technology components of cryptocurrency trading on behalf of its clients.

### Pax Dollar

Paxos Standard (PAX) that was renamed Pax Dollar (USDP), launched in September 2018, is one of the industry's first regulated stablecoins, tied to the U.S. dollar such that 1 PAX = 1 USD.

### PAX Gold

PAX Gold (PAXG) is a digital asset backed by physical gold. Paxos Trust Company is the custodian for PAX Gold tokens and their associated physical gold bars.

### itBit

ItBit is a digital asset exchange approved by the New York State Department of Finance to trade five digital assets: bitcoin (BTC), Ethereum (ETH), Bitcoin Cash, Litecoin (LTC), and PAX Gold (PAXG).

### Post-trade services

Paxos provides post-trade automation services for precious metals and other trades. Services include automation of trade confirmations and settlement among multiple parties.

### Securities settlement service

In October 2019, the SEC gave Paxos permission to establish a settlement service for stock trading. Credit Suisse and Société Générale were the first banks to sign on to use the service. Paxos announced it had settled a securities trade on a blockchain for the first time in February 2020.