Hashnote Elevates Collateral Efficiency for PayPal USD With Paxos

MIAMI--(BUSINESS WIRE)--Hashnote, the on-chain first digital asset manager, supported by Cumberland and DRW, introduces its strategic collaboration with Paxos, a leading regulated blockchain infrastructure and tokenization provider, to address the needs of market makers, traders, and institutions by integrating PayPal USD (PYUSD) into Hashnote’s yield-bearing USYC. Achieved through cutting-edge technology, the two-way atomic settlement process allows for instantaneous conversion between USYC and PYUSD.

USYC token yield is backed by investment in US Treasury Bills, repurchase (repo), and reverse repurchase (reverse-repo) agreements. It delivers short-term, risk-free rate returns, leveraging the benefits of rapid on-chain transaction speed, transparency, and composability. Hashnote’s regulated and compliant approach mitigates the protocol, custody, regulatory, and credit risks typically associated with other token projects. USYC is only accessible to individuals and institutions outside the United States, subject to eligibility restrictions and a $100,000 minimum investment. US investors can get exposure to USYC through the Hashnote Feeder Fund.

Earlier in 2023, Paxos expanded its product lineup to include PayPal USD (PYUSD). PYUSD is an open and programmable stablecoin backed by US dollar deposits, US treasuries and cash equivalents and is issued by Paxos. Now Hashnote’s customers can transform their idle stablecoins into yield-generating assets without taking on any additional risks, seamlessly minting and redeeming USYC in and out PYUSD. The partnership between Hashnote and Paxos substantially raises the cap on immediate minting and redemption, ensuring sufficient liquidity for even the largest institutions.

The issuer of PYUSD, Paxos Trust Company, is regulated by the New York State Department of Financial Services. Hashnote is registered both with the U.S. Commodity Futures Trading Commission (CFTC) as a Commodity Pool Operator (CPO) and the Hashnote fund is registered as a mutual fund with the Cayman Islands Monetary Authority (CIMA). The Paxos and Hashnote partnership embodies a collaboration between companies focused on cryptocurrencies within a regulatory and security framework that benefits customers globally.

About Paxos

Paxos is the leading regulated blockchain infrastructure and tokenization platform. Its products are the foundation for a new, open financial system that can operate faster and more efficiently. Its blockchain solutions are used by leading global enterprises like PayPal, Interactive Brokers, Mastercard, Mercado Libre, Nubank and more. It is the issuer of numerous regulated digital assets including PayPal USD (PYUSD), Pax Dollar (USDP) and Pax Gold (PAXG). Prudentially regulated by the NYDFS in the US and MAS in Singapore, Paxos is a top-funded fintech company with more than $540 million raised from leading investors including Oak HC/FT, Declaration Partners, Founders Fund, Mithril Capital and PayPal Ventures. With offices in New York, London and Singapore, Paxos takes a global approach to modernizing the financial system. Learn more at https://paxos.com/.

About Hashnote

Hashnote is the world’s premier on-chain first asset manager. Employing the best parts of blockchain technology with the most trusted parts of traditional finance. Hashnote delivers transparent, secure, and simple on-chain investments to institutional and high-net-worth investors. Hashnote's principals are professionals with a combined 50+ years in traditional finance/banking, options trading, software engineering, and blockchain technology at global trading and investment companies. Hashnote builds what finance will look like in ten years.

Hashnote is built with the support of DRW Holdings, one of the largest and most respected trading firms in the world, and Cumberland, the first and biggest institutional crypto OTC liquidity provider. For more information, please visit https://www.hashnote.com/

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HASHNOTE MANAGEMENT LLC IS A MEMBER OF NFA AND IS SUBJECT TO NFA'S REGULATORY OVERSIGHT AND EXAMINATIONS. HOWEVER, YOU SHOULD BE AWARE THAT NFA DOES NOT HAVE REGULATORY OVERSIGHT AUTHORITY OVER UNDERLYING OR SPOT VIRTUAL CURRENCY PRODUCTS OR TRANSACTIONS OR VIRTUAL CURRENCY EXCHANGES, CUSTODIANS OR MARKETS.