According to CoinDesk, digital asset firm Paxos has been granted full approval by the Monetary Authority of Singapore (MAS) to provide digital payment token services. This approval allows Paxos to issue stablecoins, making Singapore the third jurisdiction where the company is authorized to operate. The company's offerings include PayPal USD (PYUSD) and its own Pax Dollar (USDP).
In a recent statement, Paxos revealed that DBS, Singapore's largest bank, will serve as its primary banking partner. DBS will be responsible for cash management and the custody of Paxos' stablecoin reserves. This partnership underscores the growing acceptance of digital assets within traditional banking systems.
In 2020, Singapore introduced a stablecoin framework that mandates issuers to fulfill specific stability and redemption requirements. Paxos, which is based in New York, is also authorized to operate in New York and the United Arab Emirates. This expansion into Singapore marks a significant step in the company's global growth strategy.