- The stablecoin company is putting less emphasis on its ancillary products.
Stablecoin issuer Paxos reduced its staff by 20% despite having strong financials and positive growth forecasts for the stablecoin market.
Paxos informed staff members of the change via email, stating that the personnel reduction will enable the company to effectively capitalize on the enormous opportunity presented by tokenization and stablecoins.
Employee Reduction
With more than $500 million on its balance sheet, the company is in a very good financial position to flourish, the email continued. It has, however, made the decision to deprioritize adjacencies in favor of concentrating on its core goods.
Paxos intends to reduce the amount of securities and commodities settlement services it offers.
With 65 jobs lost due to the staff reduction, Paxos now employs between 200 and 300 people. Employees at Paxos, including those with approved parental or medical leave, are eligible for a severance compensation.
Paxos sells a variety of goods
Among the stablecoin products that Paxos offers are Pax Dollar (USDP), with a market capitalization of $135.9 million, and Pax Gold (PAXG), with a market capitalization of $429.8 million.
The company is also in charge of PayPal USD (PYUSD), which has a market value of $398.8 million. Paxos extended PYUSD’s capabilities to the Solana blockchain in May.
On June 5, Paxos International, the company’s subsidiary in the United Arab Emirates, declared the introduction of Lift Dollar (USDL), a stablecoin with a yield.
Following Binance’s decision to discontinue the stablecoin in February 2023, the business resumes redeeming and converting Binance USD (BUSD). BUSD continues to circulate even if supply has halted, with a market cap of $70.5 million.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
