What is Pax Dollar (USDP)? Information about USDP

• What is Pax Dollar (USDP )?
• Who created USDP?
• How does USDP work?
• Outstanding Features of USDP
• Some use cases for USDP
• Where to buy and sell USDP?
• USDP coin storage wallet
• Compare USDP and USDT
• summary

What is Pax Dollar (USDP )?

Pax Dollar (USDP) is an ERC-20 stablecoin that is regulated and maintains value in a 1:1 ratio to the US dollar. USDP is issued by the Paxos Trust Company and is subject to the strict regulations of the New York Department of Financial Services (NYDFS). Previously, Pax Dollar (USDP) was formerly known as Paxos Standard (PAX). However, on August 31, 2021, Paxos company decided to approve this name change. Paxos believes that changing the name from PAX to USDP will make it easier for investors to identify this as a US dollar-backed stablecoin.

Who created USDP? 

Paxos LLC, formerly iBit, was established in 2012. Paxos leadership team consists of experts with many years of experience in the financial sector from many large organizations and companies. The company currently has three headquarters in New York, London and Singapore.

Paxos uses technology for the encryption, custody, trading, and settlement of assets for corporate clients. Paxos allows technology companies and financial institutions to provide the ability to pay and use cryptocurrencies to their users through Paxos Crypto Brokerage and stablecoin products. Current customers of Paxos include many global companies and businesses such as PayPal, Credit Suisse, Societe Generale, StoneX and Revolut. Paxos is also a top-funded blockchain company with over $500 million in total funding from top investors such as OakHC/FT, Declaration Partners, Mithril Capital and PayPal Ventures.

In May 2015, Paxos was the first company to obtain a license from the New York State Department of Financial Services (NYDFS) for the management and issuance of digital assets, including stablecoins. Three years later in September 2018, Paxos released the world's first managed stablecoin PAX and now USDP.

How does USDP work?

Here are the steps of encryption from USD to USDP that Paxos is providing to users:

1. User deposits USD into Paxos . bank account
2. Paxos will generate an equivalent amount of USDP using its smart contract
3. USDP after minting will be transferred to users while USD will be kept stored in bank accounts

The process will be reversed if the user wants to exchange from USDP for USD. USDP can be purchased and redeemed through Paxos.com. After completing the process of exchanging USDP to USD, these tokens are immediately burned and taken out of circulation.

Paxos does not charge any fees for both USDP conversion and redemption. The minimum conversion amount starts at 100 USD.

Outstanding Features of USDP

• Price stability : The value of USDP is always guaranteed through the use of the US dollar as a reserve currency.
• High liquidity : Users can easily transfer using USDP to participate in transactions on many major exchanges such as Binance, Coinbase ...
• Regulation, strict management and security, safety and transparency : USDP is regulated by the New York Department of Financial Services (NYDFS). All mortgage deposits are held in FDIC-insured US banks. Reserve account checks are also performed regularly under the supervision of Withum, a US-based auditing firm. In addition, thanks to the construction and issuance on the Ethereum blockchain platform, all USDP issuance and burning transactions are transparent, public and secure.
• Free : USDP is issued and redeemed without any additional fees.

Some use cases for USDP

Similar to other stablecoins, USDP is designed to meet a variety of investor needs. Today, the most common use case for USDP and stablecoins is to limit the volatility and loss of crypto assets as the market corrects. Thanks to blockchain technology, USDP is a borderless digital asset. Anyone anywhere can easily exchange, trade and store USDP as a valuable asset with extremely low usage costs.

Going forward, Paxos' goal is to make USDP a means of consumer payment and a stable store of value for users outside of the US, especially in countries with volatile national currencies. fixed or difficult access to the US dollar.

Where to buy and sell USDP?

Currently, investors can buy, sell and trade USDP on many exchanges such as Binance, BitMart, KuCoin, Curve Finance, Uniswap...

USDP coin storage wallet

USDP is an ERC-20 standard token, so you can create USDP wallets and store them on e-wallets that support ERC-20 tokens such as MyEtherWallet, ImToken, Trust Wallet, MetaMask, Ledger, Trezor…

In addition, you can also store USDP on the wallets of exchanges to facilitate trading and trading.

Compare USDP and USDT

summary

Above is the basic information about the Pax Dollar (USDP). USDP is a stablecoin with a stable value against the US dollar. When exchanging USD for USDP, users can use this currency for transactions, payments and some other functions. However, more and more stablecoins have been released in the past few years to compete with previous stablecoins, including USDP, with many attractive features and incentives. What really sets USDP apart from other stablecoins is the fact that it is extremely compliant with the regulations and terms of the authorities. It makes USDP attractive to long-term investors who need security, safety, and transparency.

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