Cryptocurrency wallet platform Blockchain has partnered with Paxos (PAX) to offer stablecoin storage service to its users.
Blockchain is one of the oldest and largest Bitcoin wallets. It supports the storage of Bitcoin, Ethereum, Bitcoin Cash, and Stellar, which now extended for the USD-pegged token. The company claims that it has 36 million wallet users and will offer the stablecoin-based services to its users across 100 global markets.
Mentioning this development, Peter Smith, co-founder and CEO of Blockchain, said: “We’re putting a U.S. Dollar bank account in anyone’s pocket, anywhere in the world. For users across the world, this will be a leap forward toward engaging in global commerce and liberating their finances from central authorities.”
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Launched in September last year, PAX is a USD-pegged digital token which is backed by the fiat in a 1:1 ratio. The currency was launched on Ethereum’s blockchain as an ERC-20 token, but the developers have decided to launch the token on Ontology’s blockchain as well. PAX coin on both the blockchains will exist parallelly with the same ticker.
“In bringing PAX to the Blockchain Wallet, we are creating a new way for millions of users to purchase PAX on a 1:1 basis. PAX pairs the reliability of USD with the ease and speed of crypto technology. We’re pleased that millions [of] more people can now access PAX’s benefits through Blockchain,” Scott Simpson, vice president of strategic partnerships at Paxos, added.
Demand for Stablecoins
Stablecoins have captured a wide market in the crypto sphere. Being backed with fiat, they are stable and do not swing like other digital currencies. Exchanges prefer to list trading pairs against them to circumvent the strict regulatory policy associated with fiat-based trading.
However, recently, the case with Bitfinex and Tether is creating a vacuum in the market. Tether being the largest stablecoin is losing credibility, and other companies are seeing an opportunity to get a piece of this lucrative market.