PAX Gold and Stellar: New Partnership to Grow Digital Assets
Date: 2024-10-17 Author: Gabriel Deangelo Categories: BUSINESS
The significance of this collaboration was discussed at the Meridian 2024 conference by Paxos CEO Charles Cascarilla and Stellar Development Foundation CEO Denell Dixon.
PAX Gold is an Ethereum-based stablecoin backed by physical gold reserves. It is managed by Paxos Trust Company, which is regulated by the New York State Department of Financial Services. What makes PAXG unique is that its assets are insolvency-proof and stored separately from the company’s assets.
Each PAXG token is equivalent to one troy ounce of London Good Delivery gold. The physical gold reserves are stored in highly secure vaults such as Brink’s. Regular audits conducted by independent auditors confirm that the gold reserves correspond to the number of issued PAXG tokens. Information about the audits conducted is available on the official Paxos website, which ensures transparency and trust in the asset.
As an ERC-20 token, PAXG is compatible with Ethereum wallets, as well as with DeFi platforms and decentralized exchanges (DEX). Each token has a unique serial number that corresponds to a specific gold bar. This allows holders to track the value and characteristics of the gold reserves represented by the token. PAXG can also be exchanged for fiat money, other crypto assets, or gold bars at the current rate.
The partnership with Stellar opens up new opportunities for PAX Gold in the field of digital assets, allowing for increased accessibility and usability. This collaboration is expected to contribute to the improvement of the infrastructure for tokens backed by real assets and will help attract more users to this innovative product.
