Paxos Expands To Arbitrum, Plans To Bring Its Tokenization Platform To The Network
In Brief
Arbitrum Foundation unveiled that Paxos will integrate with Arbitrum, making it the first Layer 2 to partner with the tokenization platform.
Organization responsible for the development and support of the Arbitrum ecosystem, Arbitrum Foundation, announced that Paxos, a regulated blockchain infrastructure and tokenization platform, will be integrating with the Layer 2 scaling solution on Ethereum, Arbitrum.
“We are excited that Paxos has decided to bring their stablecoin issuance and regulated tokenization platform to Arbitrum,” said Luke Xiao, Fintech Partnership Lead at Offchain Labs, in a written statement. “Arbitrum’s high-performance network and robust ecosystem make it a natural home for Paxos’ tokenization platform. This collaboration brings together Paxos’ industry-leading infrastructure and Arbitrum’s robust on-chain ecosystem. We’re excited to see the transformative impact this will have on DeFi and the broader Arbitrum ecosystem,” he added.
Paxos, a regulated blockchain infrastructure and tokenization platform, offers solutions that serve as the backbone for a more efficient and transparent financial system. By providing tools for tokenizing, storing, and trading assets, Paxos works with global enterprises such as PayPal, Interactive Brokers, Mastercard, Mercado Libre, and Nubank to streamline their blockchain operations.
Arbitrum is the first Layer 2 network that Paxos will enable, joining one of the largest on-chain ecosystems in the space and expanding its presence in the Ethereum ecosystem.
This collaboration marks a crucial step toward advancing institutional adoption on the Arbitrum network and bringing real-world assets on-chain. Through Arbitrum, Paxos will gain access to Ethereum’s liquidity while benefiting from faster transaction speeds and reduced costs. Additionally, Paxos will connect with Arbitrum’s decentralized finance (DeFi) ecosystem. This integration will allow enterprises and institutions to harness these advantages, creating opportunities for the development of new financial products and services.
Paxos follows a stringent regulatory framework to ensure its tokenization services comply with financial regulations across different regions. By integrating trust and credibility into its platform, it provides secure support for major enterprises and institutions that will now be able to utilize Arbitrum’s scalable and efficient network.
“We are excited to partner with Arbitrum to bring more real-world assets on-chain,” said Walter Hessert, Head of Strategy at Paxos, in a written statement. “Arbitrum is known for its speed, security, and scalability, which are critical to driving the long-term adoption of digital assets across industries. In the next three years, the adoption of stablecoins by both retail and institutional users will explode, and Paxos will lead that paradigm shift,” he added.
Offchain Labs Continues To Strengthening Its Connection With Ethereum
Offchain Labs functions as a firm that has spent more than five years focused on blockchain research and development. As the primary contributors to Arbitrum, it has played a crucial role in shaping the industry through its development of leading network scaling solutions.
Building on this foundation, Offchain Labs continues to innovate and refine products like Prysm, Arbitrum Orbit, Stylus, and Arbitrum Nitro. In October 2022, the company strengthened its connection with Ethereum by acquiring Prysmatic Labs, a key consensus client for Ethereum, aligning Offchain Labs more closely with the Ethereum ecosystem.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
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Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
