Paxos Launches USDG Stablecoin in EU, Expanding Access to 450 Million Consumers

Paxos, the issuer of the Global Dollar (USDG), has announced the launch of its fully regulated global USD-stablecoin in the European Union. USDG is compliant with the EU's Markets in Crypto-Assets (MiCA) regulation and is now available to consumers across the EU, opening up access to over 450 million consumers in 30 countries. The stablecoin is backed by the Global Dollar Network (GDN) and is issued by Paxos, a leading regulated blockchain infrastructure and tokenization platform.

USDG is designed to accelerate stablecoin adoption worldwide and is supported by a growing ecosystem of industry-leading fintechs and financial services companies. Partners in the Global Dollar Network include Anchorage Digital, Kraken, Mastercard, Paxos, Robinhood, Worldpay, and over 20 other leading fintechs and financial services companies. The network aims to increase stablecoin adoption and expand real-world use cases in the region and around the world.

The launch of USDG in the EU is a significant milestone for Paxos, as it marks the stablecoin's expansion into a new market with a large consumer base. The stablecoin is now available on trusted industry partners, including Kraken, Gate, Coinmetro, SwissBorg, Zodia Custody, Orbital, Hercle, CoinsPaid, Bitwyre, Bitnet, and HiFi. USDG is currently available on Solana, as well as Ethereum and Ink.

Walter Hessert, Head of Strategy at Paxos, expressed pride in introducing USDG to the European market. He highlighted that USDG is a fully regulated global USD-stablecoin that is compliant with MiCA and meets the highest standards of consumer protection. Hessert also emphasized Paxos' commitment to offering global digital assets that are supervised by prudential regulators.

Mark Greenberg, Global Head of Consumer at Kraken, noted that stablecoins are becoming core infrastructure for global finance. He stated that USDG stands out for its usability and growing ecosystem, and that supporting USDG's expansion into Europe helps connect more clients to the digital dollar economy.

Paxos remains committed to being substantially compliant with the Monetary Authority of Singapore's (MAS) upcoming stablecoin framework. The company is in close consultation with MAS on a transition plan to remain substantively compliant with MAS' upcoming stablecoin framework. Paxos is also regulated by the Finnish Financial Supervisory Authority (FIN-FSA) in Europe and is subject to the oversight of the New York Department of Financial Services (NYDFS) in the US.

The launch of USDG in the EU is a testament to Paxos' commitment to offering global digital assets that are supervised by prudential regulators and meet the highest standards of consumer protection. The stablecoin's expansion into the EU market is expected to have a significant impact on the region's crypto ecosystem, as demand for U.S. dollar-backed stablecoins continues to grow.

USDG is regulated by Europe’s Markets in Crypto-Assets (MiCA), the Finnish Financial Supervisory Authority (FIN-FSA), and the Monetary Authority of Singapore (MAS). MiCA regulation necessitates that Paxos holds a portion of USDG reserve assets with European banking partners. This regulatory compliance ensures that USDG operates within the legal framework of the EU, providing a secure and reliable option for consumers and businesses alike.

Demand for U.S. dollar-backed stablecoins is growing in Europe, where Circle’s USDC token is the largest MiCA-regulated choice. USDG will make a significant impact as an alternative regulated option, Paxos said. The availability of USDG in the EU market provides consumers with another trusted and compliant stablecoin option, further enhancing the stability and reliability of the digital asset ecosystem in the region.