Two companies in the crypto industry, Paxos and BitPay, have applied to the US Office of the Currency Controller (OCC) for bank status. According to the submitted documents, Paxos wants to open a bank in New York, where the company is based. The company already holds several U.S. financial regulator licenses.
Paxos issues stablecoins and offers other crypto services, including custody and brokerage. Recently, PayPal established a partnership with Paxos. The aim of the cooperation is to launch buy and sell options of cryptocurrencies using PayPal on the American market. According to Dan Burstein, Paxos' Chief Compliance Officer and Legal Counsel, if the company becomes a bank, it will become the first trustee of digital assets regulated at both the state and federal levels.
Burstein stressed that Paxos' mission is to modernize the financial market infrastructure and enable a reliable flow of assets at any time. The granting of bank status is to help achieve this goal and allow the company to operate freely and effectively throughout the country.