TechFlow News — The New York State Department of Financial Services (NYDFS) is investigating Paxos, the issuer of the Pax Dollar (USDP) and Binance USD (BUSD) stablecoins, though the specific scope of the investigation remains unclear. An NYDFS spokesperson said the agency could not comment on ongoing investigations. As of press time, a Paxos spokesperson had not responded to requests for comment.
According to previous reports, sources indicated that the Federal Reserve and the Office of the Comptroller of the Currency (OCC), a U.S. financial regulator, are carrying out a broad de-banking operation targeting cryptocurrency firms. The OCC is expected to release a document soon, and Paxos, the issuer of BUSD, along with other blockchain companies, has reportedly been told by the OCC to withdraw its applications for banking licenses.
In response, Paxos tweeted, “Paxos has not been asked by the Office of the Comptroller of the Currency (OCC) to withdraw its application for a national trust bank charter, nor has it been denied such a charter. Paxos continues to engage constructively with the OCC.”Source link
