{"id":610846,"date":"2023-02-22T03:47:00","date_gmt":"2023-02-22T09:47:00","guid":{"rendered":"https:\/\/news.sellorbuyhomefast.com\/index.php\/2023\/02\/22\/paxos-ends-binance-relationship-but-vows-to-fight-on\/"},"modified":"2023-02-22T03:47:00","modified_gmt":"2023-02-22T09:47:00","slug":"paxos-ends-binance-relationship-but-vows-to-fight-on","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2023\/02\/22\/paxos-ends-binance-relationship-but-vows-to-fight-on\/","title":{"rendered":"Paxos Ends Binance Relationship But Vows to Fight On"},"content":{"rendered":"<div id=\"page\">\n<div id=\"content_box\">\n<header>\n<div>\n<p><img loading=\"lazy\" alt src=\"https:\/\/secure.gravatar.com\/avatar\/41169a86822e6585e2f87627f7d7ef3a?s=32&#038;d=mm&#038;r=g\"  height=\"32\" width=\"32\" decoding=\"async\"><\/p>\n<p><span><span>By <a href=\"https:\/\/fullycrypto.com\/author\/mahu_bs\" title=\"Posts by Mark Hunter\" rel=\"author\">Mark Hunter<\/a><\/span><\/span><\/p>\n<p><span><\/p>\n<p>17 hours ago<span>Wed Feb 22 2023 09:47:36<\/span><\/p>\n<p><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/p>\n<\/p><\/div>\n<\/header>\n<p><img loading=\"lazy\" width=\"1300\" height=\"890\" src=\"https:\/\/fullycrypto.com\/wp-content\/uploads\/2023\/02\/Paxos-Ends-Binance-Relationship-But-Vows-to-Fight-On.png\" alt=\"Paxos-Ends-Binance-Relationship-But-Vows-to-Fight-On\" decoding=\"async\" title data-layzr=\"https:\/\/fullycrypto.com\/wp-content\/uploads\/2023\/02\/Paxos-Ends-Binance-Relationship-But-Vows-to-Fight-On.png\">\t\t\t\t\t\t\t\t\t\t\t<\/p>\n<div>\n<p><span><span>Reading Time: <\/span> <span>2<\/span> <span>minutes<\/span><\/span><\/p>\n<ul>\n<li aria-level=\"1\"><span>Paxos has ended its relationship with Binance, but has vowed to fight its case over the BUSD stablecoin<\/span><\/li>\n<li aria-level=\"1\"><span>The company maintains that BUSD is not a security as the SEC had claimed<\/span><\/li>\n<li aria-level=\"1\"><span>The BUSD market cap has dropped 22% since Paxos was told to stop minting it<\/span><\/li>\n<\/ul>\n<p><span>Paxos has ended its relationships with Binance following \u201cconstructive discussions\u201d with the Securities and Exchange Commission (SEC). The New York-based crypto platform was last week forced to stop minting Binance\u2019s BUSD stablecoin after the <\/span><a href=\"https:\/\/fullycrypto.com\/paxos-deslists-busd-after-sec-warning\"><span>SEC sent it a Wells Notice<\/span><\/a><span>, which suggested that a lawsuit over the minting of what it called an unregistered security was imminent. Paxos said that it will continue to redeem BUSD tokens through the end of February, but to all intents and purposes its relationship with <\/span><a href=\"https:\/\/fullycrypto.com\/new-kid-on-the-block-to-tech-powerhouse-the-growth-of-binance\"><span>Binance<\/span><\/a><span> is over.<\/span><\/p>\n<h2><span>Paxos Stands by Claims That BUSD Isn\u2019t a Stablecoin<\/span><\/h2>\n<p><span>BUSD launched in September 2019, with Paxos, a New York Department of Financial Services (NYDFS)-registered business chosen as the minting platform. Things had been going fine, with BUSD amassing a $16 billion market cap, until last week\u2019s action by the SEC brought a halt to the relationship, with the agency informing Paxos that it considered the minting of BUSD an unregistered sale of securities.<\/span><\/p>\n<p><span>Paxos said it had no choice but to comply, although it firmly denied the SEC\u2019s allegations over BUSD being a security and insisted that it would <\/span><a href=\"https:\/\/fullycrypto.com\/paxos-busd-action-five-things-we-learnt\"><span>fight its corner in court if it had to<\/span><\/a><span>. This week it provided an update to employees, seen by <\/span><a href=\"https:\/\/www.theblock.co\/post\/213663\/paxos-in-constructive-discussions-with-the-sec-ends-relationship-with-binance\" target=\"_blank\" rel=\"nofollow noopener\"><i><span>The Block<\/span><\/i><\/a><span>, with CEO Charles Cascarilla informing Paxos staff that it hoped that continued \u201cconstructive discussions\u201d would bring about a resolution, but that \u201cwe will defend our position in litigation\u201d.<\/span><\/p>\n<p><span>Cascarilla added that the relationship with Binance \u201cno longer aligns with our current strategic priorities\u201d, although he claimed that this decision was independent from the action taken by the SEC and NYDFS. Paxos has fielded more than $2.8 billion in BUSD redemptions, with BUSD\u2019s market cap dropping 22% since news of the action against Paxos broke.<\/span><\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p><a href=\"https:\/\/fullycrypto.com\/paxos-ends-binance-relationship-but-vows-to-fight-on?utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=paxos-ends-binance-relationship-but-vows-to-fight-on\" class=\"button purchase\" rel=\"nofollow noopener\" target=\"_blank\">Read More<\/a><br \/>\n Mark Hunter<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Mark Hunter 17 hours agoWed Feb 22 2023 09:47:36 Reading Time: 2 minutes Paxos has ended its relationship with Binance, but has vowed to fight its case over the BUSD stablecoin The company maintains that BUSD is not a security as the SEC had claimed The BUSD market cap has dropped 22% since Paxos [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":610847,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22426,534,78811],"tags":[],"class_list":["post-610846","post","type-post","status-publish","format-standard","has-post-thumbnail","category-binance","category-financial","category-paxos"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/610846","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=610846"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/610846\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/610847"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=610846"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=610846"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=610846"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}