On the day of the interview with Mobius, Paxos announced the launch of a regulated digital currency backed by gold. The digital currency will be available by the end of this month. Paxos is a financial services firm aimed at closing the gap between digital currencies and traditional assets. Paxos is formerly known as iBit Company. The firm is in charge of the iBit exchange that offers an online portal for trading digital currencies. The new crypto – PAX GOLD – will represent “one fine troy ounce of London Good Delivery gold stored in vault facilities in London. In an interview, Charles Cascarilla – the Co-Founder and CEO of Paxos – said:
“If you come to us and you buy one ounce of gold, you send $1,500 of Paxos tokens, and we give you one ounce. That ounce is an actual legal title to an ounce of gold of a bar in a vault in London.”
The statements of the CEO were inspired by the criticism that the financial gold market is encountering. Gold, future, and exchange-traded funds that are not allocated to anyone are synthetic representations. The firm has also secured trust charter from the New York State Department of Financial Services (NYDFS). The NYDFS is one of the world’s most stringent regulators. The regulators have also approved a stablecoin backed by the USD – BUSD that is developed by Paxos and Binance.