{"id":30106,"date":"2026-05-29T06:22:26","date_gmt":"2026-05-29T06:22:26","guid":{"rendered":"https:\/\/bitunikey.com\/news\/paxos-becomes-first-blockchain-native-firm-approved-as-sec-clearing-agency\/"},"modified":"2026-05-29T06:22:35","modified_gmt":"2026-05-29T06:22:35","slug":"paxos-becomes-first-blockchain-native-firm-approved-as-sec-clearing-agency","status":"publish","type":"post","link":"https:\/\/bitunikey.com\/news\/paxos-becomes-first-blockchain-native-firm-approved-as-sec-clearing-agency\/","title":{"rendered":"Paxos becomes first blockchain native firm approved as SEC clearing agency"},"content":{"rendered":"<p><\/p>\n<div class=\"post-detail__content blocks\">\n<p class=\"is-style-lead\">Paxos has received approval from the U.S. Securities and Exchange Commission to operate a blockchain-based clearing agency, becoming what the company says is the first blockchain-native firm authorized to provide central securities depository services in the country.<\/p>\n<div id=\"cn-block-summary-block_0ae48351377a8bf1f39036369b488764\" class=\"cn-block-summary\">\n<div class=\"cn-block-summary__nav tabs\">\n        <span class=\"tabs__item is-selected\">Summary<\/span>\n    <\/div>\n<div class=\"cn-block-summary__content\">\n<ul class=\"wp-block-list\">\n<li>Paxos has received SEC approval to operate a blockchain-based clearing agency for U.S. securities settlement.<\/li>\n<li>The approval follows a multi-year pilot program that Paxos said demonstrated same-day settlement and lower operational costs.<\/li>\n<li>The milestone comes as Paxos expands its institutional infrastructure business, including enterprise stablecoin services through Paxos Labs.<\/li>\n<\/ul><\/div>\n<\/div>\n<p><!-- .cn-block-summary --><\/p>\n<p>According to Paxos, the <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/www.paxos.com\/newsroom\/sec-registers-paxos-securities-settlement-company-as-a-clearing-agency\" target=\"_blank\" rel=\"nofollow\">approval<\/a> was granted to its subsidiary, Paxos Securities Settlement Company, allowing it to offer clearing and settlement services for securities transactions under SEC oversight.<\/p>\n<figure class=\"wp-block-embed is-type-rich is-provider-x wp-block-embed-x\">\n<div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Paxos Securities Settlement Company has been granted registration as a clearing agency by the SEC.<\/p>\n<p>We are now the only blockchain-native firm registered to provide clearing and settlement infrastructure as a central securities depository in the United States.<\/p>\n<p>With this\u2026<\/p>\n<p>\u2014 Paxos (@Paxos) <a rel=\"nofollow\" target=\"_blank\" rel=\"nofollow\" href=\"https:\/\/x.com\/Paxos\/status\/2059979796650827925?ref_src=twsrc%5Etfw\">May 28, 2026<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n<p>The company said the registration gives traditional financial institutions a regulated path to use blockchain technology for post-trade operations. Clearing agencies sit between buyers and sellers, verifying trades, matching counterparties, and ensuring that cash and securities are exchanged correctly once a transaction is completed.<\/p>\n<p>For Paxos, the approval follows years of engagement with regulators. Back in October 2019, the SEC issued a no-action letter that allowed the company to test a blockchain-powered settlement platform for U.S. equities. Paxos launched the pilot in February 2020 and said the program showed that blockchain infrastructure could support same-day settlement while lowering costs and improving operational efficiency within existing regulatory rules.<\/p>\n<p>\u201cOur clearing agency registration is the result of seven years of work with the SEC, beginning with our No-Action Letter in 2019 and the settlement pilot we operated with some of the world\u2019s largest and most sophisticated financial institutions,\u201d \u2013 Charles Cascarilla, co-founder and CEO of Paxos.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p>\n<p>With SEC registration now secured, Paxos said its clearing agency business can provide blockchain-based settlement services within a fully regulated framework for U.S. securities markets.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Long regulatory process ends with SEC approval<\/strong><\/h2>\n<p>The approval arrives after several years of regulatory scrutiny involving the company.<\/p>\n<p>In 2023, the SEC issued a Wells Notice to Paxos related to Binance USD (BUSD), a stablecoin created in partnership with crypto exchange Binance. At the time, the regulator indicated it was considering an enforcement action because it viewed BUSD as a potential unregistered security.<\/p>\n<p>During the same period, the New York Department of Financial Services directed Paxos to stop minting new BUSD tokens.<\/p>\n<p>A different outcome emerged the following year when the SEC formally closed its investigation and notified the company that it would not pursue enforcement action. Later, in August 2025, Paxos reached a $48.5 million settlement with the NYDFS over compliance matters connected to Binance and BUSD.<\/p>\n<p>Approval expands Paxos\u2019 infrastructure footprint<\/p>\n<p>Beyond its settlement business, Paxos operates several digital asset products, including PayPal USD (PYUSD), Global Dollar (USDG), and Pax Gold (PAXG).<\/p>\n<p>Recent moves by the company have also focused on infrastructure for institutional stablecoin adoption. In April 2026, Paxos Labs, a spin-off led by Cascarilla, <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/www.paxos.com\/newsroom\/sec-registers-paxos-securities-settlement-company-as-a-clearing-agency\" target=\"_blank\" rel=\"nofollow\">raised $12 million<\/a> from investors including Blockchain Capital, Robot Ventures, Maelstrom, and Uniswap Labs.\u00a0<\/p>\n<p>According to information disclosed at the time, Paxos Labs is developing technology that allows large enterprises to launch branded stablecoins and integrate programmable payment systems into corporate operations.<\/p>\n<p>Those efforts come as financial firms and technology companies continue exploring tokenized money and blockchain-based settlement systems. Paxos said its newly approved clearing agency can serve as a regulated foundation for banks, brokerages, and other institutions seeking to build blockchain-enabled market infrastructure.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Paxos has received approval from the U.S. Securities and Exchange Commission to operate a blockchain-based clearing agency, becoming what the company says is the first blockchain-native firm authorized to provide&hellip;<\/p>\n","protected":false},"author":1,"featured_media":30107,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-30106","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/30106","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=30106"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/30106\/revisions"}],"predecessor-version":[{"id":30108,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/30106\/revisions\/30108"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/30107"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=30106"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=30106"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=30106"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}