Paxos Unveils Plans to Issue a New Stablecoin
Paxos has introduced a new stablecoin called Lift Dollar (USDL) that generates yield and is denominated in USD.
The stablecoin is regulated by the Financial Services Regulatory Authority of Abu Dhabi Global Market and issued by Paxos International, the company’s UAE division.
Other stablecoin issuers, such as Tether and Circle, have created similar yield-sharing stablecoins and blockchain-based US.
Treasury products that have garnered billions of dollars in interest. This new stablecoin, structured similarly to Paxos’ other stablecoins, is backed by short-term US government securities and overseen by a prudential regulator to ensure the safety of all assets.
CEO Charles Cascarilla stated that the USDL offers a savings-like product compared to traditional stablecoins, providing democratized access to both US dollars and the risk-free rate in a secure manner. However, the stablecoin will not be available in the US due to a lack of regulatory guidance.
