Hassan Maishera
TL;DR
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Paxos has entered into a strategic partnership with Hashnote.
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The partnership will enable the integration of PayPal's stablecoin and the yield-bearing USYC token between the two companies.
Paxos Enters into a Strategic Partnership with Hashnote
Digital asset manager Hashnote announced on Tuesday that it has partnered with Paxos. The two companies are now working on a plan to roll out an integration between PayPal's stablecoin and the yield-bearing USYC token.
PYUSD, PayPal’s stablecoin was launched last year in collaboration with Paxos. Thanks to its partnership with Paxos, Hashnote seeks to improve settlement for its USYC token, which is backed by investment in U.S. Treasury Bills.
While speaking to The Block, Hashnote CEO Leo Mizuhara said,
"Hashnote initiated this partnership with Paxos, selecting PYUSD as our stablecoin of choice, because we see it as the future frontrunner in the stablecoin space. The critical advantage for all our stakeholders comes from the ability to instantly mint and redeem between PYUSD and USYC, a process that not only enhances liquidity but also positions us at the forefront of yield generation in the digital asset realm."
Hashnoted pointed out that the PYUSD-USYC integration will facilitate a "two-way atomic settlement process," enabling instantaneous conversions between the two tokens.
At the moment, USYC is only accessible to investors outside the U.S. and is subject to eligibility restrictions and a $100,000 minimum investment. However, investors in the United States can still gain exposure to the USYC token through the Hashnote Feeder Fund.
