Paxos Raises $142 Million in Series C Funding Round
- The Series C round brings the total amount invested in Paxos to $240 million.
- Paxos will use the investment to scale its operations and grow its team.
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The blockchain platform announced it had raised $142 million in its latest funding round, bringing the total investment into the company to $240 million.
According to a press release published on 17 December, the investment round was led by Declaration Partners, an investment firm backed by the family office of David M. Rubenstein.
Paxos’s Series C saw investments from PayPal, Mithril Capital, RIT Capital Partners, Ken Moelis, and Alua Capital, as well as previous investors RRE Ventures and Liberty City Ventures.
The firm said it would use the raised capital to develop enterprise-grade infrastructure solutions. To meet the demands of its growing user base, the company will scale its operations and double its team.
“In the last year, global adoption of crypto and blockchain-based solutions by enterprises has accelerated,” said Charles Cascarilla, the CEO and co-founder of Paxos.
He explained that Paxos is uniquely positioned to address the digital needs of global brands, which is why many enterprises with trillions in assets and billions of end-users chose to engage with the platform.
This year, the company issued more than $7.5 billion in stablecoins and launched Paxos Crypto Brokerage, a platform that provides crypto services to PayPal and Revolut. It also became the first company to settle U.S. equity trades on a blockchain and counts global banking giants Credit Suisse and Societe Generale among its partners.
- PayPal USD (PYUSD) will be issued by Paxos and the Ethereum blockchain, and is backed by U.S. dollar deposits, short-term Treasuries, and similar cash equivalents.
- The company said the stablecoin can be redeemed for U.S. dollars at all times, and exchanged for any other crypto supported by the platform, including BTC, ETH, BCH, and LTC.
PayPal logo and sign in front of PayPal Holdings headquarters building in North San Jose Innovation District in Silicon Valley, San Jose, California, USA, 17 March, 2019. Michael Vi/Shutterstock
- Social trading platforms are an excellent option for those new to the financial markets as they allow users to directly interact with professional and experienced traders.
- These platforms allow users to follow the trades of others, allowing them to leverage the community’s collective wisdom to make informed investment decisions.
- The investment team behind Temasek’s $275 million investment into FTX prior to its collapse “took collective accountability” and had their compensation cut.
- While the company was the second largest outside investor in FTX, it was one of the first to write off its entire investment only days after the collapse of the exchange.