Paxos,
a
cryptocurrency
brokerage
firm,
has
received
a
preliminary
license
from
regulators
to
offer
digital
payment
token
services
in
Singapore,
the
company
said
Wednesday
in
a
statement.
The
in-principle
approval
for
a
new
Paxos
Digital
Singapore
Pte.
Ltd.
entity
from
the
Monetary
Authority
of
Singapore
allows
the
firm
to
offer
its
services
to
customers
under
the
Payments
Services
Act
(PSA)
while
awaiting
full
approval,
the
statement
said.
Upon
receiving
full
approval
to
conduct
business
in
Singapore,
Paxos
will
partner
with
enterprise
clients
to
issue
a
U.S.
dollar-backed
stablecoin,
the
firm’s
leaders
said.
“Global
demand
for
the
US
dollar
has
never
been
stronger,
yet
it
remains
difficult
for
consumers
outside
the
US
to
get
dollars
safely,
reliably
and
under
regulatory
protections,”
Paxos
Head
of
Strategy
Walter
Hessert
said
in
a
statement.
The
press
release
noted
Paxos
publishes
a
monthly
attestation
and
reserve
reports
for
its
stablecoins.
Paxos’
executives
hope
the
offering
will
help
the
company
court
new
customers
at
a
time
when
demand
for
stablecoins
is
high.
According
to
brokerage
firm
Bernstein,
the
stablecoin
market
is
expected
to
grow
from
$125
billion
to
$2.8
trillion
in
the
next
five
years.
The
announcement
comes
just
over
a
year
after
Paxos
first
received
an
operating
license
in
the
Southeast
Asian
country,
which
allowed
it
to
offer
tokenization,
custody
and
trade
services
under
the
same
bill
as
Wednesday’s
announcement.