Paxos Price

Paxos (USDP) is a regulated stablecoin pegged 1:1 to the US dollar, currently ranked #505 in the cryptocurrency market with a price of $0.9999. It's designed to maintain consistent value, making it ideal for global payments and as a store of value. With a market cap of $67.04M and 24-hour trading volume of $1.88M, USDP offers stability in the volatile crypto market. It operates primarily on the Ethereum blockchain and is fully backed by US dollar reserves held in segregated accounts. Each USDP token can be redeemed for one US dollar, providing users with a reliable digital alternative to traditional fiat currency while enabling fast, low-cost transactions across borders.

Paxos was created on September 27, 2018. It was launched by Paxos as a fiat-collateralized stablecoin designed to maintain a 1:1 peg with the US dollar. Originally known as Paxos Standard (PAX), it was later rebranded to Paxos to better reflect its purpose as a digital dollar. The stablecoin operates primarily on the Ethereum blockchain and is fully backed by US dollar reserves held in regulated financial institutions.

Paxos was founded by Charles Cascarilla and Rich Teo. Charles Cascarilla also serves as the CEO and co-founder of Paxos, the company behind USDP. Under their leadership, USDP has been developed as a regulated USD-backed stablecoin that offers 24/7 liquidity and settlement capabilities, making it a reliable digital dollar for the crypto ecosystem.

Paxos works as a regulated stablecoin pegged 1:1 to the US dollar. Each USDP token is backed by actual USD reserves held in FDIC-insured banks and regularly audited by third parties. The mechanism is straightforward: 1. Users purchase USDP with USD through authorized partners 2. Paxos (the issuer) holds these dollars in reserve 3. Users can redeem USDP for USD at any time at a 1:1 ratio As an ERC-20 token on Ethereum blockchain, USDP enables fast, low-cost transfers globally while maintaining price stability at $0.9999. The current circulating supply is 67.05M USDP, with a market cap of $67.04M. USDP is particularly useful for: • Trading against other cryptocurrencies • Transferring value internationally • Protecting against market volatility • Accessing DeFi applications The stablecoin undergoes monthly attestations to verify its reserves, ensuring full backing and regulatory compliance.

Paxos operates on a multi-chain technical architecture primarily built on the Ethereum blockchain as an ERC-20 token, with additional deployment on Solana. The core architecture follows a fiat-collateralized model where each USDP token is backed 1:1 by US dollar reserves held in regulated financial institutions. These reserves are regularly audited to ensure full collateralization. The smart contract implementation includes security features like upgradeability, pausability, and blacklisting capabilities to maintain compliance with regulatory requirements. The token contract (0x8e870d67f660d95d5be530380d0ec0bd388289e1 on Ethereum) handles minting and burning operations that occur when users deposit or redeem USD through the issuer. This architecture ensures USDP maintains its $0.9999 peg to the US dollar while providing the benefits of blockchain technology: transparency, programmability, and efficient cross-border transfers with minimal price volatility.

Paxos aims to maintain its position as a regulated USD-backed stablecoin with a focus on institutional adoption. The roadmap for USDP includes: 1. Enhanced regulatory compliance: As one of the most compliant stablecoins, USDP will continue working closely with regulators to maintain its trusted status through 2025 and beyond. 2. Expanded blockchain integration: By 2026, USDP plans to be available on additional blockchain networks beyond Ethereum and Solana to increase accessibility. 3. Institutional partnerships: USDP is focusing on growing its presence in institutional markets, targeting financial services and payment systems by 2027. 4. Improved liquidity: Plans to increase market depth and trading volume from the current $1.88M to support larger transactions. 5. Banking integration: By 2030, USDP aims to establish deeper connections with traditional banking systems to facilitate seamless fiat-to-crypto conversions. As a regulated stablecoin with 1:1 USD backing, USDP is positioned as a reliable digital dollar in the evolving stablecoin landscape, currently ranked 505 with a market cap of $67.04M.