NEW YORK, Sept 5 (Reuters) - The New York Department of Financial Services said on Thursday it has approved Paxos Trust Company’s application to issue a gold-backed digital token, as well as a stablecoin pegged to the U.S. dollar.
The stablecoin called BUSD was jointly developed by global cryptocurrency exchange Binance and Paxos and will be available on the latter’s platform later this month.
PAX Gold, on the other hand, is an asset-backed digital token, each representing one fine troy ounce of London Good Delivery gold stored in professional vault facilities in London. PAX Gold customers will own the underlying physical gold. (Reporting by Gertrude Chavez-Dreyfuss Editing by Chizu Nomiyama)